2 1968 QUARTERLY REVIEW FINANCIAL FLOWS TO DEVELOPING COUNTRIES CURRENT DEVELOPMENTS December 1991 i~~~~~~~~~~~~. . ''.''.''..'.''''''''' l- ~~~~~~~~~~~~~~~~~~~~............Xi.... ,,:,,. ^~~~~~~. .- ........... . ....................... ... ........ . .. .. . . THE WORLD B3ANKFIECP DEBT AND INTERNATIONAL FINANCE DIVISION I~ ~ 11 1 1 -X - : . , Quarterly Review Financial Flows to DeveloDinf Countries Table of Contents Page SUMMARY .................................. INTERNATIONAL LENDING AND CAPITAL MARKET ACTIMTIES.1. Borrowing on International Capital Markets ...................1 Commercial Bank Claims .. 3 Country Creditworthiness ..................................... . 4 Regularity Developments ..... .................. 5 NON-DEBT FLOWS AND FOREIGN DIRECT INVESTMENT .......................... 5 Emerging Stock Market Activities ................................... . 5 New Equities, Quasi-Equities, and Derivatives . SECTORAC IgRA` . .7 Foreign Direct Investment and Privatization .............. . N.8 . . . .. 8 RECONSTRUO ION AND DEVELOPMENT SECONDARY MARKETS FOR DEVELOPING COUNTRY DEBT ..... JAN 3 9...X 8 Price Trends and Trading Activities ..8......... 8 New Developments in Debt Conversions ............................... 10 OFFICIAL AND MULTILATERAL FLOWS .................... 11 Lending and New Initiatives by IFIs ...... ..........1.................. 11 Bilateral ODA and Export Credits ................................... 12 COMMERCIAL BANK PROVISIONING AND CAPITAL ADEQUACY ...... .. ........... 13 Provisioning and Reserves ........................................ 13 Capital Adequacy ..................... ........................ 14 DEBT RELIEF AGREEMENTS UPDATE .................. ..................... 16 Official Creditors ..................... ........................ 16 Commercial Creditors .................... ....................... 17 FEATURE ARTICLE: The Soviet External Debt and Developing Country Claims .... ......... 18 Composition of The Soviet External Debt ............ .. ................. 19 Debt and Creditworthiness Indicators ............. .. .................. 20 The Soviet Claims on Developing Countries ........... .. ................ 21 STATISTICAL APPENDIX ................................................. 22 Debt and International Finance Division December 1991 Quar%erly Review SUMMARY Continued buoyancy in new bond issues resulted in a products that are linked to the prices cif commodities. rebound in the total volume of cross-border financing Under the new rule, member banks wvill be required during the third quarter, setting a new record level of to obtain prior approval of these activities. quarterly borrowing. Bond market activities were particularly strong in Ecu and minor OECD currency Emerging stock markets showed some sectors, reflecting borrowers' as well as investors' weakness in the fourth quarter, although year-end desire to achieve greater currency diversification in rally pushed the Latin American indexes to new their portfolios. The volume of newly arranged highs. Performance continued to diverge widely commercial paper programs, medium-term borrowing across markets. Latin American markets remained facilities, and syndicated credits remained low by the year's leading performers with tCe regional index historical standards. Sluggish activities in these doubled in 1991. Argentina led the spectacular stock sectors were attributed to high spreads and pressures price rises in the region. The :omposite index on banks to restrain asset growth. moved up only about 13 percent during the year, reflecting poor stock market performance in the Funds raised by developing countries Europe/Middle East and Asia regions. expanded further in the third quarter, reaching almost $8 billion. But the volume was slightly below the An increasing number of developing country level recorded in the same period of 1990. corporations have floated new equities internationally, Significant increases in external borrowing were through American Depositary Receipt (ADR) or registered by Indonesia ($2.5 billion), Brazil ($0.8 Global Depositary Receipt (GDR). Strong billion) and Hungary ($0.7 billion), the only active institutional denand supported the active international Eastern European borrower. Korea ($0.8 billion) and issues of developing country equities. Most of issues Mexico ($0.6 billion) saw their borrowing decline launched in the U.S. market were subject to sharply during the reporting period. exemptions from resale restriction and disclosure requirements under SEC Rule 144E.. The recent receptive market conditions for developing country bonds continued through the The secondary market for developing fourth quarter, witnessing an expansion of the range country debt experienced a major setback in the of borrowers, the currency base, and the type of fourth quarter, sparked by huge sell-off of Brazilian instruments. Latin American borrowers launched sovereign debt in October. Bearish conditions their first Ecu and Spanish peseta issues during the prevailed through November, but most of major period. Brazil's Petrobras became the country's first instruments posted a modest recovery in December. borrower to tap the Euro Commercial Paper (ECP) Despite relatively light trading in the last few months, market. Mexico's Cemex issued a multi-currency the total trading volume in the secondary market is Euro Medium-Term Note (MTN), the first of its kind likely to reach the $100 billion mark in 1991 for the for a Latin American private sector borrower. In first time. early December, Mexico's Nafinsa issued five-year bonds with warrants into the Mexican Stock The U.S. Interagency Country Exposure Exchange Index, the first index-linked bond for a Review Committee (ICERC) raised the minimum Latin American borrower. Spreads on Latin requirement for U.S. bank provisions against American bond issues narrowed significantly this year Brazilian exposure to 50 percent, from the previous as market confidence in some of these economies, 40 percent level. In November, U.S regulators particularly in Mexico, improved, although there is upgraded the creditworthiness ofMexicoby removing now some sign of market saturation. the country from the risk category that requires special reserves by U.S. banks. Standard & Poor's upgraded implied ratings of Portugal and Singapore during the fourth quarter. The Paris Club implemented new exceptional S&P affirmed the implied rating of India and terms for highly-indebted low.-income countries removed the country from the rating agency's credit during the period. Nigeria achieved a debt buyback watch list. under the terms of a DDSR agreement. Settlement is scheduled for January. Both official and commercial The U.S Federal Reserve Board plans to creditors considered deferrals on heir claims on the regulate commodity swaps by state-chartered banks, former USSR. The current issue of Quarterly Review recognizing that an increasing number of banks are features a special report on Soviet external debt and engaged in offering loans, debt issues and derivative Soviet claims on developing countries. i Quarterly Review INTERNATIONAL LENDING AND CAPITAL Most currency sectors of the international MARKET ACTIVITIES bond market, with the notatle exception of the Deutsche mark and Swiss franc, have benefited from the acceleration of issuing activity. Several Borrowing on International Capital Markets currencies formerly less cominon in intemational financial markets, notably the Canadian dollar, French franc, Italian lira, and Spanish peseta, have The total volume of funds raised in international witnessed an unprecedented degree of interest as both capital markets rebounded slightly, to $102 billion in borrowers and investors sought to achieve greater the third quarter of 1991 from $99.5 billion in the currency diversification in their portfolios. A second quarter. The third quarter volume (based on noteworthy development has been the exceptional OECD statistics) was about 7 percent higher than the performance of the Ecu bond sector where the figure reported for the same quarter a year ago, and volume of issues brought to tde market through the topped the previous record level of quarterly third quarter exceeded by more than 40 percent the borrowing ($100 billion) set in the first quarter of previous record attained in 1990. As a result, the 1991. The overall buoyancy in international capital Ecu has become the second (to U.S. dollar) largest market activity this year, however, hides large currency of denomination in the Eurobond market. differences across major market segments. This trend is expected to cointinue, particularly in Borrowing on external bond markets expanded by 30 view of the recent EC decision to adopt the Ecu as percent on a year-to-year basis, spurred by an the official currency of the European Monetary Union exceptionally strong advance of straight bond issues by the end of the decade. and a rebound in offerings of equity-linked securities. The volume of newly arranged commercial paper Funds raised by developing countries totaled programs and similar medium-term borrowing $7.6 billion in the third quarter, compared with $7.1 facilities has remained well below the figures billion (excluding $4.5 billion in borrowing by Saudi recorded in recent years. New syndicated credits Arabia) in the second quarter and $4.3 billion in the remained low by historical standards, reflecting high first quarter of 1991. Indonesia, the largest spreads, pressures on banks to restrain asset growth, borrower, raised almost $2.5 billion (see Table 1). and limited demand for bank financed Brazil, the second most active developing country merger/acquisition and project related investment. borrower, raised $812 million, compared with a total Table I: International Borrowing by Selected Developing Countries, 1991 11 (USS millions) 1990 1991Q1 1991Q2 1991Q3 Total Bonds Total Bonds Total Bonds Total Bonds Chile 285.0 - - - - - - - China 1,513.6 - 1,029.3 - 214.0 - 524.0 145.6 India 1,242.2 523.0 239.6 150.4 - - - - Indonesia 5,461.5 825.0 1,058.0 200.0 1,473.4 60.0 2,475.0 - Malaysia 730.0 200.0 190.2 190.2 - - 108.0 - Mexico 1,250.0 769.9 368.1 321.5 932.8 625.0 559.8 559.8 Pakistan 350.0 - - - 94.5 - - - Korea 3,981.8 1,515.4 891.0 621.6 2,759.2 1,185.2 764.1 306.0 Thailand 1,465.5 50.0 380.8 - 580.1 - 534.4 - Turkey 2,498.3 660.5 137.3 - 624.4 262.7 781.6 - Venezuela 383.1 203.1 - - - - 225.0 225.0 Zimbabwe 156.0 - 20.0 - 65.0 - - - Czechoslovakia 376.6 376.6 - - - - - - Hungary 986.9 946.9 117.3 117.3 185.5 185.5 687.5 547.1 Poland - - 4.7 - - - - - USSR 3,250.1 297.6 - - - - - - 1/ Bonds include both international issues (in Euro - markets) and traditional foreign issues. Source: OECD Financial Statistics (Monthly), November 1991. l December 1991 of $25 million during the entire two-year period Mexico--totaling $350 million. CVRD is a state- preceding the third quarter. Hungary, the only active controlled diversified Brazilian company with Eastern European borrower, increased its borrowing interests in natural resources, industry and to almost $690 million, substantially higher than the transportation. Cemex is one of the largest cement level recorded in previous quarters. Korea, borrowed producers in Mexico. The CVRD issue was $200 $760 million in the third quarter, sharply down from million of 10 percent fixed-rate notes with a three- $2.8 billion in the second quarter. Mexican year maturity. This was CVRD's first entry into the borrowers reduced their borrowing to $560 million in international capital market since 1982. The notes the third quarter from $930 million in the second were placed simultaneously in Europe and the United quarter. States, where the U.S. placement was subject to exemptions from resale ristriction and disclosure One of the notable developments over the requirements under SEC Rule 144a, and went mainly last two years has been the steady absorption of to institutional investors. The Cemex issue represents developing country bonds by the intemational capital a multi-currency Euro Medium-Term Note (MTN) markets. The range of borrowers widened further in program for a total of $150 million, the first of its the third quarter. The governments of Venezuela, kind for a Latin American private sector borrower, Argentina, and South Africa as well as public sector offered in three $50 million tranches: the first tranche entities from Brazil, retumed to the Euromarkets with a 10 5/8 percent yield and a two-year maturity; following earlier issues by Mexican and Chilean the second tranche with a 10 7/8 percent yield and a entities. The currency base also widened, with the three-year maturity; and, the third tranche with an 11 first Latin American Ecu and Spanish Peseta 1/8 percent yield and a four-year maturity. This denominated bonds launched during the quarter. Cemex deal was listed on the London Stock Spreads on Latin American bond issues narrowed Exchange and was placed primarily in Europe, and significantly this year (although there is now some some through Rule 144a in the United States with sign of market saturation) as market confidence in institutional and individual investors. In late some of these economies, particularly in Mexico, November, Perez Companc, one of Argentina's improved. leading private sector corporates, launched a $100 million five-year Eurobond. The issue with a semi- New bond issues by Latin American annual coupon of 9 percent was priced to yield 10.3 corporate borrowers continued through the fourth percent. Perez Companc became the fourth private quarter. Citicorp brought out Eurobond issues for sector Argentine borrower to access the intemational two Latin companies--CVRD of Brazil and Cemex of capital markets this year. The issue came one week Table 2: Intemational Capital Market Borrowing (USS billions) Jan. - Aug. Instrument 1986 1987 1988 1989 1990 1990 1991 Bonds 228.1 180.8 227.1 255.7 229.9 149.5 195.0 Equities 11.7 18.2 7.7 8.1 7.3 7.0 7.9 Syndicated Loans 52.8 91.7 125.6 121.1 121.5 75.1 62.9 NIF 1/ and other Back-Up Facilities 29.3 31.2 16.6 8.4 7.0 5.6 3.7 ECP 2/ and other non-Underwritten Facilities 67.7 71.0 76.6 73.2 66.2 44.4 51.0 Total 389.6 392.9 453.6 466.5 431.9 281.6 320.5 Flows to Developing Countries 3! (percent) 6.0 7.6 6.0 5.7 7.0 7.2 7.0 1/ Note Issuance Facilities. 2/ Euro-Commercial Paper. 3/ Based on OECD definition and including Eastern European countries. Source: OECD Financial Market Trends. 2 Quarterly Review Figure 1: Spread on Intermational Bank Loans two-year deal priced to yield almost 700 basis points (Basis Points over LIBOR) over U.S. Treasuries. The country's leading petrochemical company, Copene, also came with a two-year $50 million issue at a spread over 04G comparable U.S. Treasuries of 775 basis points. Investor demand for these new issues was reportedly coming from flight capital accounts. From July of 120/ this year when Petrobras led Brazil's return to the Eate Ebwv international capital markets through December, lo- /Brazilian entities reportedly issued more than $1.5 billion in new bonds. Market sources indicate that sekopi&g countrin / large spreads attached to the latest issues from the se- + / /country reflected the fact that the issuers were not well known internationally, buat spreads were believed 60- to be also affected by investor concerns over the rapidly increasing frequency of new issues by borrowers from emerging developing countries. 40- N0-9 Commercial Bank Claims Source: OED . The contraction in interbank lending activities between BIS reporting banks accelerated in the second quarter of 1991. Cross-border interbank claims declined by a record $108 billion during the after the Republic of Argentina launched its second second quarter, after a $54 billion contraction in the two-year Euromarket deal at a spread of 375 basis first quarter. These two consecutive quarterly points over U.S. Treasuries, significantly lower than declines in interbank lending operations is 510 basis points on its first offering earlier this year. unprecedented, and is in s]harp contrast to a $156 billion expansion in cross-border interbank claims Apasco, Mexico's second largest cement registered during the first two quarters of 1990. The producer, tapped the Eurobond market with its first slowdown in activity was widespread. Most financial straight dollar issue via Swiss Bank Corporation. centers and virtually all major nationality groups of The $100 million five-year issue, rated as Ba2 by banks recorded an absolute contraction in their Moody's, was priced at a spread of 375 basis points, outstanding international assets and liabilities. compared with the current secondary market spread Activities of Japanese banrcs, which accounted for of 300 basis points applicable to Mexican public about 55 percent of the total contraction, appeared to sector issues. Markets sources indicate that the have been depressed by their need to shore up asset Apasco deal confirms a trend towards narrower positions. Interbank Ectivity within Europe spread differentials between public and private sector contracted by $29 billion, following a $28 billion issuers from emerging developing countries, expansion in the first quarter. Interbank operations reflecting the market perception that private sector involving reporting offshore centers also recorded a risk has generally been improving. sharp decline in claims, by $26 billion. Many national banking groups seemed to have reassessed A $200 million Euro Commercial Paper their business prospects in interbank markets where (ECP) program was arranged, in early December, for profit margins are very thin. In fact, the decline in Petrobras, Brazil's state-owned oil company. The international business in the first two quarters of 1991 deal through Chase was the first ECP program for a was largely concentrated on inter-office and other Brazilian borrower. The program allows for the interbank transactions. By contrast, a considerable issuance of short-term paper with maturities of up to volume of new credits was extended to the non-bank one year. The first tranche of 90-day paper totalling sector within the BIS reporting area. $125 million has already been placed at a yield of less than 10 percent. Brazilian private sector In the syndicated loan market the volume of borrowers continued to tap the Eurobond markets new facilities dropped to $32 billion in the second through the fourth quarter. Banco Bradesco, Brazil's quarter, from $40 billion in the first quarter of 1991. largest privately owned bank, launched a $50 million Recession in major OECI) countries weakened the 3 December 1991 demand for funds from corporate borrowers. Standard & Poor's (S&P) added the Sizeable new credits were, however, arranged for government of Mexico to its sovereign assessment borrowers from Italy, Sweden, Saudi Arabia, and service on November 13. The Mexican government's some South-East Asian countries. capacity to service long-term external senior debt was classified by S&P as 'only adequate, with minimal One of a few areas where outstanding claims protection likely during unfavorable circumstances." have expanded was the European Currency Unit S&P's sovereign assessment service assigns one of (Ecu)-denominated loan sector. Bank claims in Ecu six standardized credit quality descriptions to unrated continued to rise, expanding another $15 billion in governments that are frequent borrowers in the second quarter. This reflected a particularly international capital markets. strong growth in direct credits to non-bank entities, notably Swedish institutions following the linking of S&P raised the Republic of Portugal's long- the Swedish Krona to the Ecu. term credit rating to A+i from Ai and short-term rating to A-l+i from A-li. The 'i" signifies an In the second quarter of 1991 international implicit rating. Portugal's rating upgrades announced banks' outstanding claims on countries outside the on October 25 were attributed to a considerable BIS reporting area declined by $9 billion, following a $5 billion drop in the previous three months. Deposits of this group of countries, which fell by $20 billion in the first quarter, contracted by another $6 Table 3: Soveratig Fore) Currcy Debt billion in the second quarter, reflecting a substantial (LfTen Ratg) 1/ ing withdrawal of deposits by OPEC countries in the R Middle East. Banks also continued to reduce their Argentina B3 Algerian and Nigerian exposures (by $0.5 billion and Brzil B2 $0.4 billion, respectively). Outstanding claims on China Baal Indonesia, which had jumped by 40 percent in the Greece Baal twelve month period ending in March 1991, declined Hungary Bal by $0.5 billion, after new restrictive guidelines on India Ba2 Indonesian banks' external borrowing had been issued Korea Al by the government. Malaysia A3 Mexico Ba2 Portugal Al Banks' outstanding claims on non-OPEC Singapore Aa3 developing countries, which had expanded by more Thailand A2* than $4 billion in the first quarter of 1991, fell by Venezuela Baa over $6 billion in the second quarter. This drop was largely attributed to a $5 billion decrease in 1/ Rating by Moody's Investors Service as of November international banks' Latin American exposure. Bank 25, 1991. claims on Brazil fell by $4 billion. In Asia, new * Short-term debt rated at P-1. Short-term debt of other commercial bank borrowing by Thailand and Korea developing countries unrated. expanded by $1.4 billion and $1 billion in the second Note : Rating systems for investment grade bonds are as expande by 1.4billio and $1billio in thesecondfollows: quarter, respectively, reflecting recent deterioration of current account positions. Bank claims on Eastern Moody, S & P's 2 Europe continued to fall, contracting another $3 Aaa AAA billion in the second quarter. Despite the build-up of Aal AA+ interest arrears, claims on the Soviet Union dropped Aa2 AA by $2 billion, mainly because of the non-renewal of Aa3 AA- short-term trade credits. Al A+ A2 A A3 A- Baal BBB+ Country Creditworthiness Baa2 BBB Baa BBB- Moody's Investors Service made no change in its credit ratings of developing countries in the 2/ Same rating system used by most other rating fourth quarter of 1991. (See Table 3 for Moody's agencies, including, IBCA, Fitch, Duff& Phelps, and latest ratings of developing country debt.) Japanese rating agencies. 4 Quatnerly Rewew easing of its debt burden, associated with the subordinated capital imposed for commercial banks country's strong economic performance. On October under the Basle accord. The securities 7, the Republic of Singapore's implied rating of long- commissioners also agreed on shared jurisdiction of term senior debt was upgraded by S&P, from AAi to the regulatiion of the increasingly automated global AA+i, on account of the country's strengthening financial markets. extemal financial position. Earlier, on September 25, S&P affirmed the implied double B plus (BB+i) Japanese life insurance companies, perhaps long-term senior rating of the Republic of India and the world's most resourceful institutional investors, removed the country from S&P's credit watch list. are contemplating a revised set of capital adequacy standards. These investors hold total assets of some In November, the Interagency Country $1 trillion, of which almost 15 percent is in foreign Exposure Review Committee (ICERC) removed securities. With increased risks due to deregulation, Mexico from the risk category that requires special financial liberalization and the globalization of reserves by U.S. banks. There are four risk financial products, there is a growing need for categories that affect U.S. regulators' view of bank unified minimum solvency reserves to ensure sound loans. They are, in decending order of quality, Other management and to safeguard policyholders' interests. Transfer Risk Problems (OTRIP), Sub-standard, Insurers will likely be required to establish capital Value-impaired, and Lost. Mexico had been in the adequacy standards to protect policy-holders, similar OTRIP risk category. to the BIS risk-weighted standards applied to commercial banks. Regulatory Developments Portugal has introduced a new code for its financial markets, providing tougher regulatory The U.S. Federal Reserve Board has decided control over the country's financial system. The to regulate commodity swaps by state-chartered code contains more than 680 articles and marks a banks, recognizing that an increasing number of major change in the legal sysbtm for the transaction banks are engaged in offering loans, debt issues and of all types of securities. A new regulatory agency, derivative products that are linked to the prices of Commissao do Mercado de Valores Mobiliarios, was commodities. Under the newly adopted regulation, also created under the code, empowered to supervise member banks will be required to obtain prior and inspect the primary and secondary securities approval of these activities. About 1000 banks are markets. Important changes mnade under the code affected by the rule. National banks that are included the introduction of nevw financial instruments regulated by the Comptroller of the Currency are such as options and financial futures. Also permitted to engage in commodity swaps and other introduced was a guideline on information disclosure, commodity-linkedtransactionswithoutobtainingprior including mandatory disclosure on offers and approval. The new Fed rule also would require bank information required periodically from companies holding companies to get prior approval for listed on the stock exchange, implementing EC commodity swap operations to be done overseas. directives in this area. All off'ers become subjected to a requirement of prior registration with the A preliminary agreement on the convergence commission, which will receive a preliminary of international capital adequacy rules for securities communication of the intentioD. to make the offer. companies emerged at the meeting of the Intemational Organization of Securities Commissions (IOSCO) in late September. The accord is still in NON-DEBT FLOWS AND FOREIGN DIRECT draft form and will be sent by IOSCO's technical INVESTMENT committee to the BIS for further assessment. The outline centers on three key accords. First, equity Emerging Stock Market Activities position risk is proposed to be covered by capital equivalent to 8 percent of gross equity positions taken After a strong performance in the third and 4 percent of net positions. Second, market risk quarter of this year, stock markets in developing should be judged through a so-called building block countries showed some weakness in the fourth quarter approach, which involves two main elements--market (particularly in November), although a year-end rally risk itself and specific event-type risk relating to the set new highs in some Latin Arnerican markets. But safety of the securities held. Third, up to 70 percent the performance continued to diverge widely across of a securities company's capital can take the form of different markets. Latin American markets remained subordinated loans, roughly equivalent to the rules on the year's leading perfornmers, propelled by 5 December 1991 spectacular stock price rises in Argentina. IFC's offset by a dramatic surge in Colombia, especially regional price index (on a U.S. dollar basis) for Latin during the second half of the fourth quarter. America more than doubled this year. The composite Colombia's fourth quarter rally, a rise of more than index moved up only about 13 percent, reflecting 140 percent over the end-third quarter level, was poor performance in the Europe/Middle East and attributed to continuing foreign investor enthusiasm Asia regions. for the latest Latin market to make its stocks available internationally. Market performance in Argentina and Brazil was strong in October, when the their price indexes The fourth quarter performance in Asian recorded gains of 376 percent and 120 percent, markets was mixed. Stock market prices were down respectively, from the end of 1990. The powerful or flat in Korea, India, and Indonesia during the rally in Argentina in late October followed the reporting period. In contrast, Pakistan registered a government's deregulation decree that eliminated strong gain, pushing up its index by almost 80 various taxes, including the turnover tax, the capital percent. The Philippines posted a gain of 7 percent, gains tax and the foreign exchange transaction tax. spurred by speculative demands, particularly for The decree also eliminated fixed minimum petroleum and commercial stocks. A similar gain stockbroker commissions. Both markets have pulled was recorded in Thailand, where several government back significantly since then, largely as a result of a announcements--including a central bank profit taking in Argentina and currency devaluations announcement that financial institutions would be in Brazil, losing 17 percent and 21 percent, allowed to set up mutual funds--created a more respectively, in the month of November. A powerful favorable market environment. But the regional year-end rally pushed up stock indexes in these index for Asia as a whole declined about 4 percent in countries above the previous record highs. Mexico, 1991, compared with the end-1990 level. representing about 53 percent of the weight in IFC's Latin American index, rose more than 100 percent Stock prices in the Europe and Middle East this year, but was sluggish in the fourth quarter, region remained generally depressed in the fourth widening the discounts on several Mexican country quarter. Turkey, however, experienced some funds by more than 5 percentage points. Weakness rebound (by around 15 percent), reducing this year's in these major Latin American markets was largely loss to about 54 percent (see Figure 2). Figure 2: Emerging Stock Market Perfonrance, Through Forth Quarter 1991 1/ 400-1 350- 300 250- 200- 150- 100 50 0 ME -50 Arg Bra Pak Mex Chi Phi Ven Indi The Kor Indo Tur 1/ Percentage price change from end-1990 to to end -1991. Source: Emerging Market Data Base WC . 6 Quanrtly ReWew The Shenzhen Stock Exchange in southern global ADR offering, with Salomon Brothers as the China has become international, following the signing listing agent. About half of the new ADR issues of underwriting agreements which offer shares of wereplacedwithinstitutionalinvestors. GrupoCarso Chinese enterprises to foreign investors. The first is a holding company and thli partnership holds underwriting agreements included international 'B" controlling interest in Telmex, whose shares are now share flotations of several local companies, which actively traded in the New York Stock Exchange. will be lead-managed by Standard Chartered. Actual Most of the new ADR issues have a substantial offering of international shares is expected to take portion structured for resale under Rule 144a. place by the spring of 1992. In addition, the first clearing and settlement agreements were signed with Argentina's public offering of 3.5 billion Citibank and Standard Chartered. shares in Telefonica de Argentina (Telintar) was heavily oversubscribed at $24 for each American A recent survey (conducted by New York- Depositary Share (ADS) and Global Depositary Share based Kleiman International Consultants, Inc. for (GDS) or at 24 cents a share, well above the 16.5 thirty major institutional investors in the United cent minimum price. The sale of the govemment's States, the United Kingdom, and Japan) reveals that 30 percent stake in the company brought some $850 new intemational institutional investment in emerging million. The shares began trading in London, at a developing country markets increased an average of price level above $26, immediately following the 2 percentage points in 1991 to 9.5 percent of all auction. The strong investor demand was apparently intemational funds, as compared to 7.5 percent in prompted by the huge success in the recent offering 1990 and 2.5 percent in 1989. A significant of Telmex, which went from $;27.25 to as high as development this year was a dramatic shift in the $46. Earlier in October, a $6C0 million Argentine regional asset allocation. The booming bourses in Fund was launched, reflecting bullishness in the Latin America currently receive 36 percent of these Argentine stock market. This was the first U.S. institutional funds, more than double the 16 percent investment company set up to invest primarily in committed in 1990. The share of emerging markets Argentine equity securities. Shares will be listed on in the Pacific Rim has declined to 34 percent in 1991, the New York Stock Exchange. from 68 percent a year ago. Commitments to the emerging markets in Southem and Eastern Europe The launch of pioneering $100 million index- dropped 3 percentage points to 8 percent of the total, linked Eurobond issue for Nafrisa, Mexico's state- while investment in South Asia more than tripled, owned development bank, drewv a strong investor from 5 percent to 18 percent. Two thirds of the demand in early December. The Bankers Trust- survey respondents expect their share of asset managed deal was the first stock index-linked bond allocation to emerging markets to remain constant in for a Latin American borrower. T'he five-year bonds 1992, and the remaining one third anticipates some were issued with warrants into the Mexican Stock increase in the range of 2 percentage points. Exchange Index, which has prompted a growing foreign interest, particularly from European institutional investors looking to diversify their New Equities, Quasi-Equities, and Derivatives portfolios. The bonds are convertible in the last three years of the maturity, provided the index is at least American Depositary Receipt (ADR) issues 35 percent higher than its level at launch. The by Mexican companies intensified during the fourth maximum appreciation of the market index that quarter of 1991. International de Ceramica S.A. investors can take advantage of is 96 percent. The (Interceramic) of Mexico set up an ADR facility for bonds were price at par with a 6 percent coupon. its series-B shares, which can be owned by both Investors thus receive a minimum return of 6 percent Mexican and non-resident investors, for investors in over the life of the bond even if the index does not the United States. Each ADR represents five series- rise to the strike level. The maximum return is just B shares of the company. Morgan Guaranty Trust above 20 percent per annum. The innovative Co. has been appointed depositary of the new ADRs. offering represents a low-cost fixed rate funding for Morgan, the world's leading ADR depositary with Nafinsa. The issuer is also hedged against a strong more than 110 sponsored ADR clients, also acts as rise in the stock index by its substantial holdings of depositary for ADRs under SEC Rule 144a. Earlier, Mexican stocks. a $65 million ADR issue was brought by Empaques Ponderosa, currently listed on the National The number of listed options on Mexican Association of Securities Dealers' (NASD) PORTAL stocks has grown since the Chicago Board Options system. Grupo Carso also launched a $228 million Exchange introduced stock options on Telmex ADRs 7 December 1991 last September (see September 1991 issue of the quoted internationally--the Philippine Long Distance Quarterly Review). Goldman Sachs launched an issue Telephone Company (PLDT) and the brewer San of 2 million call warrants on the shares of Grupo Miguel. The Meralco transaction is seen as an Televisa, Mexico's leading manufacturer of television important test of international investor sentiment tubes, which floated its shares internationally in early towards the Philippines ahead of a number of large December. The initial primary offering (IPO) was privatizations, including Philippine Airlines, National worth $740 million. Over half of the total 60 million Steel, and National Bank. Although the Philippine L-shares was placed in the United States in the form stock market has been very volatile over the last of 16 million ADSs, with each ADS equivalent to several years, its performance has been excellent this two L-shares. Another 9.5 million were placed year, rising more than 70 percent (see Emerging internationally as GDSs, with each GDS again Stock Market Activities section of this Quarterly equivalent to two L-shares. The remaining shares Review). were issued in Mexico. The strike price on the warrants is set at 98.5 percent of the initial price of After a few months' delay, Brazil's GDSs, with the warrants expiring in January 1993. Usiminas, the state-owned steel company, was privatized in early November. The net proceeds of the sale of nearly three quarters of the government's Foreign Direct Investment and Privatization equity control amounted to $1.17 billion, exceeding the minimum bid price by about 14 percent. The A Vietnam Growth Fund was launched, in winning bids came from a consortium of institutional late November, by Credit Lyonnais, to raise $50 investors, led by Brazil's Banco Bonzano Simonsen. million from institutional investors for direct investment in Vietnam. The Credit Lyonnais fund is The newly privatized Banamex, Mexico's the first onshore vehicle for foreign investment and largest financial institution, signed an agreement with the first to be authorized by the Vietnamese Citibank on the placement of a $180 million government to invest directly in Vietnamese subordinated debt issue. The fund was raised companies. The closed-end fund will be listed on the through the securitization of future credit card Hong Kong stock exchange. The launch of the fund receivables due from Visa International and Master coincided with the beginning of the government's Card Intemational. The issue was placed with U.S. privatization program, involving some 400 companies institutional investors and closed on October I 1. earmarked for sale over the next few years. Credit Lyonnais is acting as advisor to the government on France's Credit Lyonnais has launched a privatization, as well as on the establishment of joint bank venture with Hungary's Magyar Hitel Bank capital markets in the country. The fund may be to create Credit Lyonnais Bank Hungary. Credit invested directly in privatized companies and in joint Lyonnais will provide some 95 percent of the capital ventures. (about $16 million equivalent). The bank is primarily aimed at funding trade and other joint ventures in In early December, Baring Brothers, a U.K. Hungary. merchant bank, completed the international offer of shares in Manila Electric Company (Meralco), the first Philippine privatization to take place through an SECONDARY MARKETS FOR DEVELOPING equity flotation. The offering involved 8.6 million B- COUNTRY DEBT shares (under Philippine regulations, foreign investors can hold only class B shares), which were sold Price Trends and Trading Activities internationally as GDS, each representing five shares. The price was set at 605 pesos per GDS, relatively The secondary market for developing cheaply with a P/E ratio of about 5, but the U.S. country debt experienced a major setback in the dollar price of the issue has not been fixed yet. The fourth quarter of 1991. After a sustained rally after Meralco GDSs, to be listed in Luxembourg, were the cessation of the Gulf war earlier this year, distributed internationally, with roughly 60 percent in secondary market prices plunged in October, sparked Far East, 30 percent in Europe, and 10 percent in the by huge sell-offs of Brazilian sovereign debt by large United States under rule 144a. The issue was the banks and brokers. Bearish conditions prevailed second international equity deal to emerge from the through November. Most major instruments posted Philippines this year, following J.P. Morgan's Ayala a modest recovery in December. Trading volume in Land offering. Only two other Philippine stocks are the fourth quarter was considerable lighter than that in the preceding quarters of this year, reflecting the 8 Quarterly Review subdued market environment. Despite sluggish Figure 3: Secondary Market Prii*s trading in the last few months, total trading volume pere of fe value) in the secondary market is expected to top the $100 (Inpercentoffacevalue) billion mark for the first time this year (see Table 4). The price of Brazil's MYDFA plunged by 6 almost 40 percent in October (see Appendix Table 16 s for the definition of benchmark debt instruments 5y (;untris quoted in this section). The MYDFA price fell from so M l 36 at the end of the third quarter to as low as 22 in 45 early November, before it recovered to 30 in late, December. The sharp decline in October was 40 attributable to a number of factors, including lack of 35 market confidence in the government's ability to carry out important fiscal and market related policy 30 reforms, delay in the implementation of the country's privatization programs, and lack of substantive 25 SVN9S progress in the debt reduction talks. Weakness in o \ Brazil's MYDFA, one of the most active issues among value-impaired sovereign debt, spilled over to ___,,,,,,,,,,,_.,,,,,,,,___ most other developing country debt. Despite the 199 1990 1991 strong performance of its domestic stock market, Soam: Snmon oNthen ando Euwk. Argentine GRA suffered from a 20 percent decline in price through November, but about half of its earlier loss was recovered in December. with interest rates in the United States. Price Prices of Brady bonds were less affected by volatility of Brady bonds was much lower that of the crash in Brazilian MYDFA. Mexican and value-impaired sovereign debt (see Figure 3). Venezuelan par bonds lost around 5 percent of their value through November, but bounced back with The price of Philippine debt (Central Bank most of earlier losses recouped. The U.S. Federal Restructured) fell only slightly to 49 by the end of the Reserve's discount rate cuts gave a boost to Brady year, from 52 at the end of the third quarter, partly bonds, whose yields have been strongly correlated because of increased demand generated by the Table 4: Discounted Bank Debt Reduction and Trading Volume (USS millions) 1985 1986 1987 1988 1989 1990 1991e/ A. Total Debt Reduction 742 1,601 7,608 18,102 13,254 29,138 11,078 Debt Equity Swaps 497 822 3,271 6,794 4,433 9,907 3,216 Local Currency Conversion 156 438 796 1,673 2,428 2,718 2,652 Debt Buyback/ Exchange 0 0 0 1,862 1,011 10,696 4,648 Local Currency Payments 0 63 87 3,431 2,269 5,482 561 Private Sector Restructuring 89 279 3,454 4,341 3,113 336 0 Source: Institute of International Finance. e/ Estimate. B. Secondary Market Trading 4,000 7,000 12,000 50,000 60,000 65,000 100,000 Source: IECDI volume estimates are based on interviews with traders. Because of the lack of a standard reporķing system, these figures are rough orders of magnitude on trades which may reflect multiple accounting for underlying transactions. 9 December 1991 debt/equity auction in early December. Philippine body for the secondary markets for the value- New Money bonds, whose price had slipped steadily impaired claims on developing countries, is from its peak of 75 in July, received some support attempting to bring order in the area of from U.S. investors attracted by widening yield standardization of documentation and procedures. spreads. At the end-December price of 64, these This recent move coincided with the large October New Money bonds yield 16 percent to maturity. price collapses, centered on Brazilian obligations. Nigeria's Restructured Debt price also fell by 4 The adoption of a new method of interest assignment percentage points during the fourth quarter. Nigerian will prove a major advance in the way that interest debt prices softened after the announcement of the passes through the system. The documentation is buyback price (of 40) in mid-October, inspiring more likely to evolve into something approaching the participants than originally expected to tender debt standardization seen in the Euromarket for debt into the buyback. securities. The Brady bonds are cleared through Euroclear, the Belgium-based settlements system, but In the face of continuing political, social and there is currently no standard system for the economic uncertainties, the price of Poland's DDRA settlement of developing country loan assets. remained depressed, dropping to around 21 at end- 1991, compared with 26 at the end of the third Legislation has been proposed that would quarter and a peak of 32 reached in May 1991. As provide for a swap of Mexican official debt to the civil war continued unabated, indicative prices of United States for environmental improvement Yugoslav debt slipped further, reaching around 27 projects. The swap is a part of the Enterprise for the (based on a bid price for National Bank debt) by the Americas Initiative. The measure, if adopted, will end of 1991. It was as high as 52 at the start of the allow a partial forgiveness of Mexico's Paris Club year. Trading volume has also dried up and bid- debt to the United States in exchange for Mexico's asked spreads for Yugoslav debt have widened commitment to undertake environmental improvement substantially to 3 percentage points. projects along the 2,000 mile border between the two countries. Under the envisaged plan, the United The unprecedented gyrations in secondary States would agree to write off a portion of $400 market prices during the last several months million official debt owed by Mexico to the U.S. underscores a need for appropriate hedging Commodity Credit Corporation. Mexico, in return, instruments that could help alleviate the effects of would set aside a percentage of the face value of debt excessive swings in the market value of developing forgiven to establish an environment fund in pesos. country debt. Given the increasing participation of This fund would be used to complement the Mexican institutional investors, seeking to manage price risks government's recently announced commitment of of secondary market securities and also to enhance $460 million for border projects over the next three their portfolio return, there appears a large potential years. for developing country debt derivatives. Market sources indicate that several derivative contracts, A new fixed-income fund to invest in debt including futures and options with cash settlement, to securities issued by Latin American borrowers was be written on developing country debt indexes will be brought to market in November by Shearson Lehman, formally launched by OM Stockholm in early 1992. which has an active developing country debt trading Developing and agreeing on a standard price index of unit. The Latin American Bond Fund (LABF), an developing country debt will be an important first open-ended fund to grow in size as new investments step towards establishing an active derivatives are made, is targeted at long-term investments in market. higher quality instruments such as Mexican and Venezuelan Brady bonds and new bond issues. But it will also take short-term trading positions in New Developments in Debt Conversions restructured bank debt for possible capital gains. Investors in the fund will have an option to swap Despite the dramatic growth in the recent their shares in the LABF for other Shearson-managed years, the secondary markets trading developing offshore funds without premium. A number of funds country securities remain largely unregulated. investing in Latin American debt securities Developing country debt trading on secondary denominated both in dollars and in local currencies markets has been viewed as lacking in rigorous have been launched this year, but the LABF was the standards to ensure integrity and transparency. The first offered since the secondary market for LDC Debt Traders Association, a self-regulatory developing country debt suffered its October setback. 10 Quarterly Review OFFICIAL AND MULTILATERAL FLOWS decision on projects that rec[uire technical assistance, while the World Bank is in charge of final decisions Lending and New Initiatives by Ils on projects that require financial or investment support. Countries with an annual per capita GNP of On December 12, the Global Environment $4,000 or less are eligible for funding from the GEF. Facility (GEF) approved its first grant, $4.5 million for a project to protect the biological diversity of In November, the World Bank decided to Poland's endangered forest ecosystems. The GEF, expand the authority of the Enhanced Co-financing which is run jointly by the World Bank, UNDP and Operation (ECO) progranm in order to support UNEP, is aimed at providing resources to help infrastructure projects in developing countries. The finance programs and projects on the global move is expected to facilitate commercial bank environment (see March 1991 issue of Quarterly participation in the financing of aid-assisted projects Review for details). Governments are mainly in developing countries. The expanded ECO responsible for identifying projects that are eligible program could be used to support infrastructure for GEF support. A non-government organization projects in such countries as Colombia, India, may also submit proposals, but they must first be Indonesia, Malaysia, Pakistan, and Thailand, which approved by the government of the country in which are restructuring and privatizing many of their state- the project would be carried out. A group of run infrastructure companies. Under the broadened environmental experts from 25 countries reviews ECO facility, the Bank can partially cover risks on proposals and can recommend projects for GEF loans extended by commercial banks backing projects support. Staff from the UNDP make the final in the host country. Table 5: Multilateral Development Banks: Comparison of Loan Charges 1/ (Percent) Structure of Loan Charges IDB ADB AFDB IBRD A: Lending Rate a/ Old: 8.38 b/ Old: 7.72 New: 7.89 6.58 8.03 New: 7.73 (variable) (variable) (variable) (variable) B. Spread on cost base 1.00 0.40 0.50 0.50 c/ (variable) (variable) (fixed) (fixed) C. Commitment Fee 0.25 dl 0.75 el 1.00 0.25 f/ D. Other Service Charges none gl none none none gl 1/ As of January 1, 1992, except for IDB whose rates are as of July 1, 1991. a/ The variable lending rates are set semi-annually. The rate differential reflects, among other factors, the difference in currency composition of the borrowing pool. For example the ADB's pool is comprised mostly of low- nominal- rate currencies such as Japanese Yen, whereas the IBRD's pool is more balanced in terms of major currencies. bl The lending rate is fixed at the time of the disbursement. ci For those borrowers eligible for interest rate waiver, the spread could be effectively reduced to .25 percen: for fiscal year 1992. d/ A one-semester reduction of the commitment fee to .25 percent was approved for the second half of 1991. e/ A .75 percent commitment fee is applicable to the following proportions of the loan amount less the cumulative disbursement: 15 percent in the first year; 45 percent in the second year; 85 percent in the third year and 100 percent in the forth year and beyond. f/ A one-year reduction in commitment fee to .25 was approved by the Board for fiscal year 1992. While contractually the commitment fee remains at .75 percent, the fee can be reduced to a minimum of .25 percent on an annual baniis by Board decision. gl This fee is currently set at zero. Note: The IMF's interest charge for ordinary resources (such as stand by credits or compensatory and contingency financing facilities) was 7.85 percent at the end of 1991, including 1.17 percent of refundable rate. The charge (net of the refundiible rate ) is derived from 96.6 percent of prevailing SDR rate. IMF's concessional rate for SAF or ESAF credits was 0.5 percent as of end - December 1991. Source: FRS and IECDI updates. 11 December 1991 The World Bank approved a $500 million Bilateral ODA and Export Credits structural adjustment loan to India, in support of the country's market-oriented reforms. This was the first The latest data released from Japan's adjustment loan that the Bank has approved for India. Overseas Economic Cooperation Fund (OECF) show The package consisted of a $250 million loan from that Japan's total ODA in calendar 1990 amounted to the IBRD and an SDR 183.3 million ($250 million $9,239 million, slightly higher than the figure equivalent) credit from IDA. India's structural reported earlier by the OECD. That total 1990 ODA adjustment program, intended to make changes represents an increase of 3.1 percent from 1989 in mainly in government policies affecting industry, dollar terms and 8.2 percent on a yen basis. The trade, finance, and public enterprises over the next OECF share accounted for 47 percent of Japan's total four to five years, is expected to help promote the ODA and 62 percent of Japan's total bilateral ODA. private sector and to restore sustained economic The average interest rate of OECF loans committed growth, and to improve the country's in fiscal 1990 (ending in March 1991) was 2.61 creditworthiness in international capital markets. The percent, a drop of 3 basis points from the previous Bank's commitments to the country to finance fiscal year. The average repayment period for OECF economic reforms and development projects may total loans committed in the fiscal year 1990 was 28 years, as much as $3 billion in fiscal 1992, ending in June including 9 years of grace. The average grant 1992. Earlier in October, the IMF approved a stand- element of OECF loans to foreign governments by credit for India authorizing drawings up to SDR committed during the fiscal year was 59 percent, 1,656 million (about $2.3 billion equivalent) over the virtually unchanged from the previous fiscal year. next 20 months in support of the government's As for procurement conditions, all 190 OECF loans economic and financial programs. were untied. Japanese enterprises represented 27 percent of the total contracts given OECF The IMF approved several Enhanced concurrence in fiscal 1990, with developing country Structural Adjustment Facility (ESAF) credits, enterprises accounting for 52 percent and those of providing resources on concessional terms to low- industrial countries other than Japan accounting for income countries facing protracted balance of the remaining 21 percent. payments problems, in support of medium-term macroeconomic and structural adjustment programs. Leading industrial nations have agreed on a The ESAF credits were extended to Guyana (SDR new set of guidelines, aimed at limiting tied aid in 17.7 million), Guinea (SDR 57.9 million), Uganda export credits to developing countries. The (SDR 39.8 million), and Brundi (SDR 42.7 million). agreement, hammered out after two years of negotiation, bans such development funds to middle- The Inter-American Development Bank income Third World countries if the exports being (IDB) reported a record $5.3 billion in loans for 52 financed are considered to be commercially viable. economic and development projects in Latin America Least developed countries would still remain eligible and the Caribbean in 1991, up from $3.8 billion in for tied aid under the accord, subject to final 1990. The IDB, which has set a lending goal of approval by member states of the OECD. It has $22.5 billion for 1990-93, expects to approve $6.3 often been argued that the widespread use of interest billion in loans in 1992 and $7.2 billion in 1993. rate subsidies distorts competition, including that for commercial banks supporting their own corporate Following the Executive Directors' approval customers seeking business overseas. (in principal) in November 1990, the IBRD's interest rate waiver scheme has been implemented for the Representatives from the Group of Seven first time in fiscal year 1992 (ending in June 1992). industrial countries and several other nations pledged Under the scheme, loan interest rates could be $250 million on December 8 to support Brazil's waived up to 25 basis points, reducing effectively the efforts to preserve the Amazonian rainforests. The loan spread to 25 basis points (see Table 5 for Brazilian efforts include measures to protect the updated loan charges at MDBs). The waiver on environment and improve the living standards of the interest charges is applicable to all IBRD borrowers 14 million people living along the Amazon. Funds who have serviced their loans in a timely manner pledged by the aid donors will finance programs to over the previous six months. protect parks, preserve the biodiversity of the region, 12 Quarterly Rewew strengthen government environmental agencies, and Gulf Arab governments agreed in late monitor the environment. The implementation of the December on a framework for a $10 billion fund to environmental protection program will be coordinated channel aid to Arab allies whose economies were by the World Bank and the Commission of the severely affected by the Gulf crisis. The six member European Communities. countries, including Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United A rab Emirates, of the Gulf Cooperation Council endorsed a plan to make the future aid only to private sector in the recipient states and only for programs approved by the IMF Table 6: Stance of Export Credit Cover 1/ and World Bank. No further details are yet to be available. Score Score Country MLT 21 ST 3/ A total of $700 milliorn was pledged by 11 China 84 85 donor nations and 15 inteniational agencies for Czechoslovakia 91 84 Lebanon on December 12. This marked the first Indonesia 78 78 time the international communi ty has joined forces to Korea * 79 85 coordinate aid for the country. Civil war has Romania 75 85 inflicted heavy losses on the Lebanese economy. The pledged fund will support xebuilding of homes, Algeria 54 52 businesses, and infrastructure destroyed during 16 Colombia 46 70 years of civil war. The World Bank is planning to Ghana 48 64 undertake a comprehensive assessment of Lebanon's Hungary 42 85 economy early in 1992, with assistance from other India 65 90 aid agencies working in the country. The last time Iran 65 90 the Bank approved a loan to the country was 1977. Mexico 44 68 Philippines 49 79 Iran established an Export Development Poland 46 61 Bank in October, reflecting the government's plan to South Africa 42 52 diversify the country's narrow export base. The new Turnksya 62 85 bank, capitalized at IR 50 lillion (around $700 USSR 51 84 million), is the first of its kind in Iran. It will Venezuela 49 76 provide typical services given by export-import banks and export credit agencies, incluiding short- and long- Argentina 25 63 term export credit and insurance against commercial Brazil 28 70 and political risks. The bank is also commissioned to Ecuador 27 67 provide credits to foreign investments and joint Kenya 40 58 ventures that could help promote exports from Iran. Morocco 39 65 Nigeria 21 41 Angola 18 33 COMMERCIAL BANK PROVISIONING AND Bulgaria 3 30 CAP1TAL ADEQUACY Cole d'lvoire 0 67 Egypt 12 S3 Provisioning and Reserves Iraq 0 0 Peru 0 45 The U.S. Interagency Country Exposure Syria 3 21 Review Committee (ICERC), comprising Yugoslavia 12 26 representatives of the Federal Reserve Board, the Zaire * 7 25 Office of the Comptroller of the Currency, and the Zambia * 0 0 Federal Deposit Insurance Corporation, decided to 1/ As of end - September 1991. hike the minimum requirement for U.S. bank 2/ Medium to long-term . provisions against medium- and long-term Brazilian 3/ Short-term . exposure to 50 percent, from the- previous 40 percent */ As of end - December 1990. (see Table 7). This was the second such increase in Allocated Transfer Risk Reserves (ATRRs) for Brazil Sources: Bere Union and ECDI. this year. U.S. regulators had raised ATRRs for Brazilian debt by 20 percentage points to 40 percent 13 December 1991 developing country and highly leveraged-transaction Table 7: Provisions Required for Selected Country loans, their reserves fell by 8.6 percent, causing the Compaxison Between U.S. and U.K. Commercial reserve-to-loan ratio to fall to 3.5 percent. Money Required Provisions (percent) center banks recorded their second consecutive U.S. Banks 1/ U.K. Banks 2/ quarterly decline in nonperforming assets, pushing the relative percentage of these assets to 4.2 percent. Argentina 70 76-89 As was the case in the previous quarter, heavy Bolivia 90 76-89 developing country write-downs contributed to this Brazil 50 70-84 trend. For money center banks as a whole, their Costa Rica 60 24-37 total developing country portfolio amounted to $24. 1 Cote d' Ivoire 75 85-99 billion at the end of September 1991, including $16.3 Ecuador 60 76-89 billion medium- and long-term loans, which was Peolaund 1600 90-96 supported by reserves of almost $5 billion. Capital Adequacy 1/ Based on Allocated Transfer Risk Reserve (ATRRS) The Basle Committee on Banking as of December 1991. Te Bse Cmite o akn 2/ Based on the revised matrix ofthe Bankof England. Supervision has issued its final guidelines on the treatment of general provisions and general loan-loss Source: CFS with IECDI updates. reserves in bank capital. The Committee's final ruling is in line with current practice, but it has clarified one significant point. In the previous draft version it appeared to be possible to make general last March. ICERC's latest movement appears to provisions against future losses. It is now ruled that underscore the persistent concerns in the international such anticipatory provisions can only be made against financial community on prospects for an early and losses not yet identified rather than potential losses comprehensive debt agreement. The regulators also based on unknown future conditions. The upgraded Mexico's creditworthiness, reflecting Committee's decision was viewed as an attempt to increased confidence in the country's political and harmonize significant differences in the way some economic reform programs. banks are treating country risk. Under the BIS capital adequacy guidelines, general provisions or Profitability measures of U.S. commercial loan-loss reserves against unidentified losses are banks generally declined in the third quarter of 1991, counted toward banks' Tier 2 capital, normally up to despite the continuing upward trend in net interest a maximum of 1.25 percentage points. margins. For money center banks, losses at Citicorp and Continental Bank offset completely the net Total capital as a percentage of U.S. money income at the other nine institutions combined, center banks' risk-weighted assets continued to climb, yielding a zero percent return on average assets reaching 10.78 percent at the end of the third quarter, (ROA). Citicorp reported a third quarter net loss of compared with 10.64 percent in the second quarter of $885 million, compared with a $221 millionnet profit 1991 and 9.38 percent in the third quarter of 1990 in the same quarter of 1990, largely because of a (see Table 8). The rise in BIS ratios reflects active $745 million write-down of non-performing Brazilian issuance of equity-linked securities and prudent debt and another $140 million of other non- management of risk-adjusted asset levels. New issues performing developing country debt. Among all of equity-linked securities are estimated to total $1 banks, Citicorp is the most heavily exposed to Brazil billion during the third quarter. U.S. money center with a total portfolio of $2 billion before write-offs. banks' Tier 1 ratio stood at 6.24 percent at the end of Citicorp's coverage of Brazilian medium- and long- the third quarter, virtually unchanged from the term exposures stood at 43 percent at the end of previous quarter but about 80 basis points higher than September. the level recorded in the third quarter of 1990. Following its third-quarter restructuring action, For the first time since the third quarter of Citicorp--with a Tier 1 ratio of 3.64 percent and a 1990, money center bank average earning assets rose, total capital ratio of 7.28 percent--is the only U.S. albeit only by 0.3 percent, on quarter-to-quarter money center bank that currently fails to meet the basis, while the net interest margin of 3.11 percent minimum requirement (4 percent for Tier 1 capital represents the highest level in two years. As money and 8 percent for total capital) to be implemented by center bank charge-offs remained high, especially for year-end 1992. 14 Quanerly Reuew Table 8: BIS Capital Adequacy Ratios: U.S. Money Center Banks, 1991 (percent) Third Quarter 1991 Second Quarter 1991 Total Tier 1 Total Tier 1 Bank of New York 9.35 5.60 8.l 5.12 Bankers Trust 10.90 6.00 10.40 5.75 Chas Manhattan 9.69 5.17 9.20 4.90 Chemical 9.25 5.22 8.78 5.04 Citicorp 7.28 3.64 8. 16 4.08 Manufacturers Hanover 9.70 6.10 10.0(1 6.20 J.P.Morgan 10.80 6.90 10.40 6.60 Republic Bank of New York 24.91 14.10 24.27 13.66 Bank of Boston 9.00 4.80 9.3(1 4.80 First Chicago 9.26 5.57 9.3(1 5.50 Continental 8.40 5.50 9.00( 7.10 Average 10.78 6.24 10.641 6.25 Source: Salomon Brothers. Japanese city banks saw their BIS capital increase in Tier 1 capital would have amounted to adequacy ratios improve slightly during the first half about a 10 basis points increase in the Tier 1 ratio. of fiscal year 1991, ending in September 1991. The Mitsui Taiyo Kobe Bank remains the only city bank average Tier 1 ratio increased to 4.46 percent at the to have not achieved the 4 percent minimum 1993 end of September 1991, from 4.39 percent in March Tier 1 standard, despite the improvement made 1991 (see Table 9). This improvement was attributed during the reporting period. Mitsubishi Bank was the to an increase in retained earnings, the positive only city bank whose Tier 1 ratio declined, as a impact of currency movements, and very slow growth result of the highest percentage increase in risk- in risk assets. Had risk asset growth been zero, the weighted assets for the first hall. Total Tier 2 capital Table 9: BIS Capital Adequacy Ratios: Japanese City Banks, 1991 (percent) Third Quarter 1991 First Quarter 1991 Total Tier I Total Tier I Dai-Ichi Kangyo 8.38 4.57 8.77 4.51 Mitusi Taiyo Kobe 7.56 3.78 7.35 3.68 Sumitomo 8.94 5.15 8.87 5.07 Fuji 8.72 4.63 9.10 4.56 Mitsubishi 8.72 4.36 8.74 4.37 Sanwa 8.50 4.68 8.50 4.60 Tokai 8.34 4.17 8.05 4.02 Bank of Tokyo 8.44 4.22 8.29 4.14 Daiwa 8.90 4.63 8.97 4.48 Kyowa Saitama 9.02 4.51 8.93 4.46 Hokkaido Takushoku 8.82 4.41 8.74 4.37 Average 8.58 4.46 8.57 4.39 Source: Salomon Brothers. 15 December 1991 declined by 3.3 percent over the course of the first DEBT RELIEF AGREEMENTS UPDATE half of fiscal 1991, as the weakness in the Japanese stock market reduced securities gains, which were not The major development in this period was fully offset by capital raised through subordinated the implementation by the Paris Club of new debt issues. The average Tier 2 ratio fell to 4.11 exceptional terms for highly-indebted low-income percent in September, from 4.18 percent in March. countries. Regarding commercial bank restructuring, As a result, the overall average capital adequacy ratio Nigeria achieved a debt-buyback under the terms of remained virtually unchanged during the reporting a debt and debt service reduction (DDSR) agreement. period. Both official creditors and commercial banks are arranging deferrals on their claims on the former Renewed weakness in the Japanese stock USSR. market in the fourth quarter of 1991 put increasing pressure on most city banks in meeting the capital requirement under the Basle accord. On December Official Creditors 5, the Nikkei-225 stock average broke its 1991 record low, and closed at just above the critical 21,000 Sixteen months ago, then Chancellor of the level. It is estimated that, at below the 21,000 mark, Exchequer John Major proposed a significant many Japanese city and trust banks would be in enhancement of the concessionality of official debt danger of breaching the BIS minimum standards. relief for low-income countries. His Trinidad terms Tier 1 capital could be more vulnerable because it proposal (made at the Trinidad meeting of the can only be boosted by improved earnings or by new Commonwealth Finance Ministers in September equity issues. Current business prospects are not 1990) called for the restructuring of the entire stock very buoyant, and the depressed stock market would of a debtor country's eligible debt. A siginificant make the flotation of new equities an infeasible share (he used two thirds as a benchmark) would be capital enhancing alternative for most banks. As a forgiven. The remainder would be rescheduled over result, Japanese banks may be forced to reduce their 25 years. During a five-year grace period, all risk assets to meet the BIS standards by March 1993. interest payments would be capitalized. According to a recent global banking survey Following several months of discussion on by Merrill Lynch, three Singapore-based banks were this and similar proposals, the July 1991 G-7 among the major banks with the highest BIS capital economic summit participants noted in their adequacy ratios measured in Tier 1, reflecting their communique the need to increase the concessionality traditionally conservative approach to lending. The of Paris Club reschedulings for low-income debtor Overseas Chinese Banking Corporation topped the list countries. The communique of the October 1991 with a 17 percent Tier 1 ratio, followed by several Development Committee meeting made the same Spanish and Danish banks and a U.S. bank (Republic point. In December, the Paris Club moved to soften Bank of New York). Merrill Lynch's analysis also the terms of reschedulings for low-income countries. showed that Singapore banks have the lowest overheads and that Spanish banks record the highest The Paris Club introduced new exceptional operating profit margins. Japanese and French banks terms in agreements with Nicaragua (December 17) stood at the lowest end of the scale in the survey, and Benin (December 18), but these fell short of debt based on 67 banks in 14 countries. These findings relief envisaged under the Trinidad Terms proposal. were consitent with recent BIS statistics, showing that These agreements dealt only with maturities falling commercial banks in some minor OECD countries due during 15-18 month consolidation periods, plus appear to be better placed. The BIS data revealed arrears (which, for Nicaragua, accounted for a that, for example, most Spanish banks enjoy capital substantial portion of total debt). The agreements adequacy ratios far in excess of the minimum also included a 'good-will clause' promising to requirement: an average Tier 1 ratio of about 8 consider further debt relief on eligible maturities percent and a total capital ratio of almost 12 percent, falling due after the expiration of the consolidation as of June 1991. The surplus capital may allow these period, and, in addition, the Paris Club agreed to institutions to cover asset growth for the next few meet at the end of 3 years (Nicaragua) or 4 years years. 16 Quarterly Review (Benin) " . . to consider. . . the matter of the . . . Regarding the debt relief terms, the creditors stock of debt." At that time, the debtor country must offer two main options: (a) a debt fogiveness option; have fully implemented the earlier Agreed Minutes, and (b) an interest reduction option that is equivalent made comparable arrangements with other creditors in net present value terms. (See Table 10). There is for debt relief and have maintained eligibility for a third option: consolidate at market rates, with a access to IMF resources by successfully continuing repayment period of 25 years, including a 14-year adjustment programs. grace period. This is the same as Option B under the Toronto terms. It appears tc be an option for those If the remaining stock of debt is restructured creditor countries that are, at the present time, on no less favorable terms than in the initial unwilling to agree with the other industrialized agreements, the new exceptional terms will be an exit creditor countries on debt cancellation or its vehicle for official creditors, to be implemented in equivalent. According to press reports, the United three stages: two Paris Club agreements dealing with States and Australia selected this option in the current maturities due during relatively short Nicaragua agreement. Since all participating creditor consolidation periods, followed by a final agreement countries in the Benin agreement agree to the dealing with the remaining stock of debt. Therefore, principle of debt cancellation, only Options A and B three successive agreements will be required to appeared there. implement this process for severely-indebted low income countries. ODA debt is not eligible for the debt cancellation options, but is to be consolidated at concessional rates "on a very long-term basis." In practice, many creditors have already cancelled ODA Table 10: New Paris Club Exceptional Terms for claims. lHighly Indebted Low Income Countries Three other Paris Club agreements were NEW TERMS: signed in this period. An accord with Gabon in October rescheduled debts falling due during a 15- ODA To be rescheduled with very long month period beginning October 1. The rescheduling maturities. includes principal due on previously rescheduled debt Non-ODA Option A: 50% cancellation and 50% plus arrears. However, the arrears and the consolidated at market rates, to be consolidated previously rescheduled debt must be paid paid over 23 years including a 6 - year grace. at a faster rate than consolidated original maturities Option B: Consolidated at (see Table 11). concessional rates, so as to reduce payments due by 50% in net present Agreements with the Cote d'Ivoire and with value, to be repaid over 23 years the Dominican Republic app.y the exceptional terms without a grace period. Option C: Consolidated at market designed for highly-indebted lower-middle income rates, to be repaid over 25 years at countries. The Dominican agreement consolidates market rates. (Same as Option B arrears along with current maturities; the Ivorian under Toronto Terms). This option agreement requires that arrears be repaid at a faster selected by creditors not wishing to rate. ODA debt under these terms is repaid with a participate in debt cancellation or its 20-year maturity, including 10 years of grace. Non- equivalet ODA debt is repaid with a 15-year maturity including THEIR APPLICATION: 8 years of grace. Eligible debt may be swapped for local currency obligations: 10 percent of non-ODA The Nicaragua and Benin agreements applied the debt or $10 million, whichever is higher. There are above terms to consolidation periods of 15 and 22 I months, respectively, and to arrears as of the start of no limits on swappig ODA debt. consolidation periods. The agreements commit the participating creditor countries to consider the stock of debt at the end of a 3-year period for Nicaragua and a 4- Commercial Creditors year period for Benin. A good-will clause in the agreements commits the participating creditor countries On December 20, Nigeria signed a debt to consider further debt relief at the end of the present r u rn aeemen w0, its commerca ba consolidation periods. restructurng agreement with its commercial bank creditors. The agreement involves a buyback at a 60 Source: Paris Club press releases . percent discount and debt exchanges (see September 17 December 1991 1991 issue of the Quarterly Review). The deal is The commercial bank advisory committee scheduled to close in January. (BAC) for the Soviet Union reached an agreement in principle on rolling over principal payments due There has been no progress in concluding between December 5, 1991 and March 31, 1992 on other outstanding DDSR agreements, largely because medium and long-term debt. It is understood that the of difficulties countries have experienced in USSR had been current on interest payments. The implementing the necessary adjustment programs. cut-off date for loans affected by this agreement is January 1, 1991. Paris Club creditors have carried on discussions with officials in charge of managing the Soviet debt. These discussions follow an earlier FEATURE ARTICLE: Soviet External Debt and preliminary agreement with G-7 creditors on a Developing Country Claimns deferral of principal payments. In a meeting concluded in Paris on December 21, they neared Continuing economic and political agreement on arranging a deferral of principal uncertainties led the Soviet Bank of Foreign payments due between December 5, 1991 and Economic Affairs, known in Russian as December 31, 1992. The group was scheduled to Vneshekonombank, to suspend principal payments to meet again on January 3rd with a view to finalizing commercial banks on December 5, 1991. This the agreement. (The current issue of Quarterly suspension followed an earlier draft agreement with Review carries a special report on Soviet debt.) The the Group of Seven countries to defer $3.6 billion in draft agreement calls for equal treatment by Soviet 1992 official debt payments and extend $1 commercial bank creditors. Table 11: Paris Club Agreements, October - December 1991 Consolidation Period Payment Terms Cut-off Start No. of Maturity Grace Date Country Date Date Months CYrs) (Yrs) Oct. 24 Gabon 01-Jul-86 01-Oct-91 15 Debt not yet rescheduled 8 2 Arrears and principal on previously rescheduled debt 6-1/4 1-1/4 Nov. 20 Cote d'lvoire a/ b/ 01-Jul-83 01-Oct-91 12 ODA debt (excl. arrears) 20 10 Non-ODA debt (excl. arrears) 15 8 Arrears 11-1/2 6 Nov. 22 Dominican Republic a/ b/ 30-Jul-84 01-Oct-91 18 ODA debt Cmcl. arrears) 20 10 Non-ODA debt (incl. arrears) 15 8 Dec. 17 Nicaragua c/ 01-Nov-88 01-Jan-92 15 Long-term commercial credits and loans from governments plus short-term debt guaranteed New Menu Terms commercial credits contracted prior to (see table 10) December 17,1991 Dec. 18 Benin c/ 31-Mar-89 01-Jan-92 22 Long-term commercial credits and loans from governments, not yet New Menu Terms rescheduled, plus interest on (we table 10) previously rescheduled debt a/ Exceptional terms agreement for lower-middle income countries. b/ Swaps eligibility: 10% of non-ODA debt of S10 million. No limit on ODA debt. c/ New exceptional terms for heavily-indebted low-income countries. 18 Quarterly Revew billion in liquidity support. A steering committee of As of end-1990, commercial bank debt not commercial bank creditors (chaired by Deutsche guaranteed by creditor governments, including Bank) has subsequently agreed to defer principal arrears, accounted for about half of all convertible payments on Soviet debt, falling due between currency debt. Official bilateral debt, including the December 1991 and March 1992. Against this guaranteed portion of comnmercial debt, represented backdrop, the current issue of Quarterly Review takes about 35-40 percent of external debt. The remaining a closer look at the Soviet external debt situation. 10-15 percent was owed to suppliers and other Also examined here are the developing country creditors. Table 12 summarizes different estimates claims held by the former Soviet Union. and provides ranges for the total convertible debt owed to different creditor groups. In 1990, the shift The external debt statistics of the Soviet in the source of finance--from commercial to official Union are subject to a considerable margin of error. debt--accelerated due to the deteriorating political and Conventional indicators based on various estimates, economic conditions in the S,oviet Union and a fall in however, show that the country is moderately the market perception of Soviet creditworthiness. indebted by international standards. Estimates from This shift reversed a trend of rapidly increasing alternative sources of total Soviet external convertible commercial bank lending daring the second half of currency debt at the end of 1990 vary between $55 the 1980s. billion and $56 billion excluding arrears, and $60 to $61 billion including arrears. The total Soviet debt According to central bank and export credit is projected to be in the range of $57 billion to $71 agency statistics on the nationality composition of billion at the end of 1991, depending on the projected commercial bank debt, German banks appear to be amount of new borrowings and repayments during the largest creditors, representing almost $22 billion 1991. The first segment of this feature article, or 40 percent of all loans. iSee Figure 4). At least discussing Soviet external debt, draws heavily from half of their exposure (in terms of debt stock) is the just published World Debt Tables 1991-92 estimated to be guarantzed directly by their (WDT). government or by the Gerrnan export credit agency, Hermes. French banks are the most heavily exposed in terms of the share of unguaranteed loans. Only Composition of the Soviet External Debt about 14 percent of their loans are guaranteed, Table 12: Convertble Currency Debt of the Soviet Union, by Creditor, End 1990 (USS billions) nF o.w. Salomon Brc,thers USAID Creditor Total arrears (without arr ars) (without arrears) Total 60.0 4.0 57.5 57.1 Commercial Banks, unguaranteed 28.4 1.2 30.5 24.7 Officially guaranteed 22.6 0.4 23.0 21.7 Other (mainly suppliers) 8.9 2.4 4.0 7.7 Total bank loans (BIS) 42.1-50.3 n.a n.a n.a. Paris Club (may 1991) 24.2 n.a. n.a. n.a. Note: The BIS shows two figures for the debt of the Soviet Union to BIS banks at the end of 1990.The higher figure of US$ 50.3 billion includes transferable ruble debt owed to the former German Democratic Republic state bank (about DM 15 billion-DM 16 billion at an exchange ate of DM 2.34: TR 1, that is about US$8 billion-US$9 billion). Source: lIF, Salomon Brothers, USAID internd study, BIS, and Paris Club. 19 December 1991 significant arrears. This trend continued in 1991. Figure 4: Convertible Currency Debt of the Soviet Union: | While the magnitude of the decline is uncertain, By Creditor Country (as of end-1990) short-term debt is likely to be less than 20 percent of current unguaranteed commercial bank debt and 10 percent of total debt. Others (l7.7%) Debt and Creditworthiness Indicators U.& (8.0Zo) _iGernany (42.3%) The lack of direct access to original disaggregated debt data leads to very limited tWy (8.7%) : : . l information about scheduled Soviet debt service. Most recent studies of the Soviet Union estimate total lapall (8.9%)9 | | l debt service payments due in 1991 on medium- and F}allce(14.37) l long-term loans in a range of $10 billion to $14 billion, of which $5 billion to $9 billion are SDUrl oiDamortization and $5 billion to $6 billion are interest. | rleT-2The net repayment of short-term debt in 1991 would amount to about $9 billion, and total debt service leaving an unguaranteed exposure close to $5 billion. obligations for 1991 could be as high as $23 billion British, Japanese, and Italian banks also hold sizable to $26 billion, including the arrears of $4 billion to exposures. Virtually all the claims of Japanese banks $5 billion outstanding at the end of 1990. For 1992, are unguaranteed. Estimates of official claims on the available estimates of total debt service vary widely Soviet Union stood at around $24 billion in May from $6.3 billion (EC study) to $10 billion (IIF 1991, with Germany as the largest creditor by far, study), and are subject to a large margin of error. holding about a third of the Soviet bilateral debt, followed by Italy, Japan, Austria, and France. Owing to the difficulties of measuring the size and strength of the Soviet economy, conventional All the available data, albeit very debt indicators need to be defined and interpreted provisional, suggest that a relatively large proportion with caution. The interest-to-export ratio has the of Soviet external debt is short term. Estimates of advantage that it does require the use of a ruble short-term debt (a maturity of up to one year) vary exchange rate. Its disadvantage is that Soviet exports considerably, ranging from 16 percent (estimated by are currently extremely volatile. Debt-to-GDP ratios the joint IMF/World Bank/OECD/EBRD study) to are heavily dependent upon the exchange rate used to about 30 percent of all commercial bank debt convert GDP figures, and even the estimate of the (reported by the BIS and IIF). During 1990, the Soviet GDP in ruble is uncertain. Available data Soviet Union made large repayments on short-term suggest that the Soviet Union's debt service-to-export bank loans, although it also began to accumulate ratio and debt-to-export ratio would be in the range Table 13: Soviet Claims on Developing Countries by Region and Creditor Type (USS mnillions, as of end-1990) N-Africa Sub-Saharan East Asia South Europe Latin Total & Africa & Asia & The America M. East Pacific Mediterranean & The Caribbean Suppliers 1 531 140 1 345 1,018 Financial Institutions - 2,033 - 761 23 2,817 Bilateral 13,367 7,686 1,152 580 1,515 3,124 27,424 Export Credit - - 2 326 1 329 Total 13,368 10,250 1,152 722 2,603 3,493 31,588 Source: World Bank Debtor Reporting System. 20 Quarterly Review Table 14: Currency Composition of Soviet Claims on Developing Countries (US$ millions, as of end-1990) N-Africa Sub-Saharan East Asia South Europe Latin Total & Africa & Asia & The America M. East Pacific Mediterranean & The Caribbean U.S. Dollar 10,198 5,527 - 183 1,330 3,054 20,292 Ruble 3,107 2,946 1,152 215 1,138 385 8,943 D. Mark - 1,350 - - 32 46 1,428 Others 63 427 - 324 103 8 925 Total 13,368 10,250 1,152 722 2,603 3,493 31,588 Source: World Bank Debtor Reporting System. of 25-30 percent and 140-170 percent, respectively, The DRS data, currently compiled for 114 implying that the country is moderately indebted. developing countries, show that Soviet claims are However, the highly volatile and unstable political concentrated in two regions: North Africa and the and economic conditions raise some doubts about the Middle East ($13.7 billion or 43 percent of the total), ability of the new republics to maintain hard currency and Sub-Saharan Africa ($10.3 billion or 33 percent). export revenues at current levels in the short term. These regions were followed by Latin America and the Caribbean ($3.5 billioii), Europe and the In the face of rapidly unfolding political Mediterranean ($2.6 billion), East Asia and the changes, it is not yet certain how the Soviet external Pacific ($1.2 billion), and South Asia ($0.7 billion), debt would be divided among the republics. A as shown in Table 13. Syria, with $9.8 billion, tops preliminary agreement indicates, however, that a the list of developing countries. indebted to the Soviet large proportion of the country's foreign debt would Union, followed by Angola ($4.1 billion), Yemen be taken up by major Soviet republics, including ($2.8 billion), and Nigeria ($1.3 billion). Russia (61.34 percent), Ukraine (16.37 percent), Byelorussia (4.13 percent), and Kazakhstan (3.27 Almost two thirds cf the Soviet Union's percent), with the remaining 15 percent of foreign claims on DRS countries are denominated in U.S. debt to be assumed by the other Soviet republics. dollars. Rubles accounted fbr 28 percent of the Division of Soviet external assets among the republics Soviet claims, based on offical exchange rates. (The remains to be resolved. ruble share would be smaller at current exchange rates). The Deutsche mark represented about 5 percent, and other currencies tfie remaining 3 percent The Soviet Claims on Developing Countries (see Table 14). Although the Soviet Union is an indebted One conceivable method of alleviating the country, it holds a substantial volume of claims on short-term liquidity problem facing the Soviet Union developing countries. For those countries included in is for the new republics to raise hard currency funds the World Bank's Debtor Reporting System (DRS), by selling off some of their developing country these claims amounted to $31.6 billion as of the end claims. It is difficult to obtain solid estimates of the of 1990. This DRS figure represents about half of all true market value of developing country debt owed to developing country claims (some $65 billion) reported the Soviet Union, mainly because most of these by the Soviet authorities. The statistical discrepancy countries' debts are not actively traded in the is attributable to two factors: non-DRS reporting secondary markets. Nevertheless, indicative prices countries and unreported claims for military suggested by traders and benchmark debt prices for expenditures. For example, Vietnam and Cuba, both countries in comparable risk classes indicate that the non-DRS reporting countries, are estimated to owe current secondary market value of these developing some $12 billion and $10 billion, respectively, to the country claims could be in the range of $5 billion to Soviet Union. Claims for military expenditures are $10 billion. often not captured in DRS data. 21 Quarterlv Review Financial Flows to Develovinf Countries STATISTICAL APPENDIX Table 1 . External Debt . ................................................... 23 Table 2 . Financial Flows (Long-Term) to Low and Middle Income Countries .................. 24 Table 3 Debt Owed to Multilateral Institutions ..................................... 25 Table 4 . Bank and Trade-Related Non-Bank Claims ................................... 26 Table 5 Commercial Bank Claims on Developing Countries ............................. 27 Table 6 . Maturity Distribution of Bank Claims on Developing Countries ..................... 28 Table 7a. U.S. Commercial Bank Claims on Developing Countries ......................... 29 Table 7b . Claims on Developing Countries of Banks in The United States .................... 30 Table 8a . UK Commercial Bank Claims on Developing Countries .......................... 31 Table 8b . Developing Country Claims of Banks in The United Kingdom ........... ........... 32 Table 9a . German Commercial Bank Claims on Developing Countries ............. ........... 33 Table 9b . Developing Country Claims of Banks in Germany ............................. 34 Table 10a. French Commercial Bank Claims on Developing Countries ....................... 35 Table 10b. Developing Country Claims of Banks in France ........... .. ................. 36 Table 11 . Swiss Commercial Bank Claims on Developing Countries ........................ 37 Table 12 . Italian Commercial Bank Claims on Developing Countries ........................ 38 Table 13 . Japanese Commercial Bank Claims on Developing Countries ...................... 39 Table 14a. Dutch Commercial Bank Claims on Developing Countries ........................ 40 Table 14b. Claims on Developing Countries of Banks in The Netherlands ....... .. ............ 41 Table 15a. Funds Raised on International Capital Markets ............................... 42 Table 15b. Loans Raised on International Capital Markets .............. ................. 43 Table 16 . Secondary Loan Prices ............................................. 44 Quarterly Review Groups ............................................. 45 Debt and International Finance Division 22 December 1991 Table 1 EXTERNAL DEBT (In millions of US$) 1985 1986 1987 1988 1989 1990 1991p/ DRS Reporting Countries 965,833 1,062,230 1,194,199 1,182,107 1,199,400 1,280,509 1,280,830 Long-term 789,116 893,440 1,012,555 996,246 999,687 1,047,041 1,050,186 Official 304,136 368,608 449,242 452,547 474,243 524,638 534,104 Private 484,980 524,832 563,312 543,698 525,444 522,403 516,082 Short-term 136,463 126,254 138,869 150,815 167,774 198,965 194 291 IMF Credit 40,254 42,536 42,775 35,046 31,939 34,503 41,103 By Geographi Regon Africa, South of eSahara 98,695 116,083 143,531 145,916 154,751 173,737 175,836 East Asia & Pacific 169 075 186,404 205,219 206 369 207,411 234,684 245,020 Europe & the Mediterranean 129,355 144,203 166,386 162,128 164,063 184,102 172 833 Latin America & the Caribbean 390,892 410,946 446,120 428,150 422,761 431,091 429,174 North Africa & the Middle East 109 310 124,417 140,257 142,745 146,188 141,544 135,607 South Asia 68,505 80,176 92,686 96,799 104,226 115,351 122,360 Memno Item: Eastem Europe 62,900 71,371 82,514 80,776 82,050 90,228 81,263 Severely Indebted Middle Income Countries 418,459 449,364 498,400 485,134 486,718 505,576 486,536 Algeria 18,374 22,796 24,748 25,074 26,063 26,806 25,655 Arfentina 50,944 52 451 58,458 58 735 64,776 61,144 56,273 Bolivia 4 805 5,575 5,836 4,901 4,135 4,276 4,037 Brazil 105,966 113,550 123,668 115,666 111 311 116,173 116,803 Bulgaria 3,994 5,244 7,072 9,128 10,213 10,927 12,391 Congo 3 031 3,482 4,351 4 161 4,326 5 118 5 053 to.) Cote d'lvoire 9,745 11,087 13,554 13,993 15,613 17,956 18,455 Ecuador 8,703 9,334 10,473 10,745 11,315 12,105 12,292 Mexico 96,867 100 881 109,460 100 781 95,416 96 809 97 823 Morocco 16,527 18 152 20,973 20,969 21,660 23,524 19,373 Nicaragua 5,736 6 730 7,864 8,587 9,568 10 497 10,676 Peru ~~~~~~~~~~~~~~~~~~~~~~~14,279 16,154 18,644 18,998 1,2 115 2,3 Poland 33,336 36,670 42,620 42,146 43,029 49,386 36,325 Syria 10 819 12,918 15 997 16 383 16,881 16 446 15 352 =.a.czuela 35,334 34,340 34,680 34,865 32,491 33,305 35,998 Severely Indebted Low-Income Countries 116,738 133,730 157,787 160,908 164,460 165,013 162,157 Moderately Indebted Low-Income Countries 105,476 123,373 145,157 149,706 159,238 183,789 195,440 Moderatdy Indebted Middle-Inwome Countries 138,620 156,311 177,383 175,057 177,960 193,701 194,841 Other Selected Countries 332,725 370,312 412,989 414,409 418,268 440,570 446,426 Chile 1/ 20,384 21 144 21,471 19,580 18 017 19,114 19,312 China 16,722 23,746 35,303 42,406 44,847 52,555 57,999 Colombia 1/ 14 245 15,362 17,008 16 995 16,878 17,241 18 086 E ypt 3/ 41,836 46 041 50 783 52,027 51,159 39,885 35,944 uR-Iary I/ 13,954 16,906 19,584 19,602 20,390 21,316 21,666 India 2/ 41 210 48,538 55,856 58 524 64,374 70,115 76 075 Jamiaica I/ 4,068 4,187 4,696 4,532 4,537 4,598 4,399 Korea 47,133 46,724 39,808 35,716 32,5796 34,4014 32,164 Malaysia 20,835 22 709 24 202 21 036 19,166 19 502 19 737 Nigeria 3/ 19,550 23,580 30,893 31,540 32,769 36,068 35,828 Philippines 1/ 26,946 28,519 29,803 28,972 28,468 30,455 30,599 Thailand 17,552 18,505 20 305 21,664 23,450 25,868 27,377 Trkey 1/ 26,010 32 842 40,799 40,827 41,419 49,149 50,331 Yugoilavia 22,278 21 507 22,476 20,987 19,998 20,690 16,907 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. p/ Projection. Source: World Bank Debtor Reporting System. Table 2 FINANCIAL FLOWS (LONG-TERM) TO LOW-AND MIDDLE-INCOME COUNTRIES, 1982-91 (in billions of USS) 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991p/ Aggregate Net Resource Flows (Long-Tenn) 91.0 71.9 63.2 60.2 54.8 51.5 66.4 71.0 81.5 84.8 Official Development Finance 35.3 34.0 33.3 34.1 36.0 35.9 37.3 40.1 49.3 51.1 Official Grants 10.4 9.9 11.4 13.2 14.1 15.0 18.1 19.0 26.5 25.2 Official Loans (net) 24.9 24.1 21.9 20.9 21.9 21.0 19.2 21.1 22.8 26.1 Bilateral 13.4 13.1 9.5 8.7 8.4 8.3 7.9 9.3 8.0 10.2 Multilateral 11.5 11.0 12.4 12.2 13.5 12.7 11.4 11.8 14.8 15.8 Private Loans (net) 44.5 29.3 21.5 15.5 9.2 2.1 9.5 7.3 7.0 9.0 Commercial Banks 31.7 20.4 16.2 5.8 2.2 -1.4 2.0 3.3 4.0 3.1 Other Private 12.8 8.9 5.3 9.7 7.0 3.5 7.6 4.0 3.0 5.9 Foreign Direct Investment (FDI) 11.2 8.6 8.4 10.6 9.6 13.5 19.6 23.6 25.2 24.7 Agregate Net Transfers (Long-Term) 29.2 13.6 -0.2 -4.6 -7.3 -12.4 -5.8 4.0 16.0 11.5 Memorandum Itms: Private Grants 2.3 2.3 2.6 2.9 3.3 4.0 4.2 4.2 4.3 4.6 Net Use of IMF Credit 6.6 11.1 4.5 -0.2 -2.5 -5.8 -5.5 -2.3 0.0 1.8 Real Aggregate Net Resource Flows (Long-Term) (Import Unit Vabse Index) 83.0 67.4 61.9 61.8 57.8 51.4 66.4 70.6 81.9 80.8 Import Unit Value Idex 109.6 106.6 102.1 97.8 94.6 100.3 100.0 100.4 99.5 105.1 Notes & Sources: Country coverage: 114 low-and middle income countries; as covered in World Bank Debt Tables, 1991-92. Loans: DRS; excludes short-term flows. FDI: IMF, balance of payments figures, which include reinvested profits. Official and private grants; OECD. Aggregate net transfers equals aggregate net resource flows less interest payments (DRS basis) and reinvested and remitted profits (IMF). Aggregate net resource flows excludes use of IMF credit. Import unit value index from IMF, International Financial Statistics Yearbook 1990 and World Economic Outlook, Washington, D.C., October 1991. p/ Projection. Table 3 DEBT OWED TO MULTILATERAL INSTITUTIONS (In miMions of US$) 1983 1984 1985 1986 1987 1988 1989 1990 Claims By Creditors IBRD 37,025 36,624 50,676 68,305 89,048 84,225 84,684 95,855 IDA 18,567 20,863 24,213 28,007 33,305 36,119 39,284 45,035 IMF 33,888 36,045 40,254 42,536 42,775 35,046 31,939 34,503 IDB 8,028 9,443 12,018 14,754 17,745 18,042 19,103 21,512 ASDB 4,319 5,155 5,939 6,741 7,570 8,854 10,340 15,504 AFDB 746 821 1,213 1,627 2,330 2,754 3,545 4 797 Otber 10,320 10,991 13 876 17,515 21,803 22,442 24,285 25,944 Toa Debt Owed 112,892 119,941 148,189 179,485 214,577 207,482 213,180 243,150 Liabilities By Debtor Africa, South of the Sahara 18,000 19,106 23,352 28,448 35,528 35,925 37,736 43,518 East Asia & Pacific 18,860 19,224 23,677 29,222 35,020 33,298 34,303 39,259 Europe & the Mediterrnean 13,830 13,949 17,432 21,028 24,374 20,362 18,545 20,991 Latin Arnerica & the Caribbean 30,664 35,015 45,426 57,085 69,442 66,955 67,654 ,980 North Africa & the Middle East 8 835 8 953 10,984 13 426 16 528 16,278 17,642 17,542 South Asia 22,702 23,693 27,319 30,277 33,685 34,665 37,300 43,860 Low Income Asia 23 161 24,334 28,719 33,254 37,804 39 557 43,170 50,693 Low Incore Africa 13,787 14,782 18,116 22,080 27,466 28,040 29,851 34,500 Oil Exporters 16 726 18,595 23,562 31,403 41,245 42,043 46'443 56,925 Middle Income Oil Importers 59,353 62,527 78,375 93,991 109 668 99,313 95 517 103,284 Eastem Europe 3,377 3,578 4,431 5,427 5,777 4,240 3,062 4,184 Severely Indebted Middle-Income Countries 25,193 28,665 37,341 47,514 58,478 56,422 57,497 68,526 Algeria 403 445 583 926 1,204 1,361 2,078 2,601 Areent" 2,729 2,660 4,324 5 416 7,836 7,726 7,451 7,966 oflvia 805 783 806 1,134 1,290 1 500 1,692 1 849 Ln Brazil 7,766 9,807 11,977 14,528 16,287 14,746 13,511 13,245 Bulgaria Congo 278 269 346 412 525 583 560 593 Cote d'lvoire 1,611 1,609 1,872 2,212 2,858 2,652 2,532 3,132 Ecuador 804 891 1 183 1,894 2 338 2 347 2,289 2,391 Mexico 5,463 6,753 8,986 12 237 15,543 15,137 15 843 20,854 Morocco 2,350 2,434 3,207 3,816 4,712 4,556 4,756 5,219 Nicaragua 663 677 742 786 863 918 928 976 Peru 1,682 1,725 2,045 2,395 2,982 2,853 2,790 2,947 Poland 52 87 635 932 924 749 496 1 032 S r e 434 403 531 727 954 997 1,014 1,069 Vcrueb 152 121 105 98 161 297 1,558 4,651 Severely Indebted Low-Income Countries 17,603 18,682 22,314 26,497 32,438 32,S99 34,309 36,987 Moderately Indebted Low-Income Countries 26,770 28,154 32,956 37,786 44,719 46,686 50,412 59,310 Moderately Indebted Middle-lacome Countries 19,592 20,541 26,707 33,032 39,894 38,571 38 778 43,057 Other Selected Countries 47 508 48 839 59,936 71,676 82,404 77,439 77,162 84,064 Chile 1/ 1,249 1,696 2,620 3 625 4,683 4,713 4,820 5 299 China 401 574 1,324 2,882 4,008 4,766 5,669 6,545 Colombia I/ 2,155 2,334 3,409 4,561 5,773 5,613 5,651 6,103 Egypt3/ 3,624 3,671 4,079 4,606 5,560 5,363 5,428 3,848 ungary 1/ 636 1 137 1,392 1,892 2,044 2,314 2,298 2,885 India 14,513 14,918 17,232 19,036 20,611 20,634 21,230 24,420 Jamaica 1/ 1,209 1,185 1,443 1,584 1,837 1,575 1,485 1 532 Korea 5,205 5,385 6,099 6,862 6,406 4,572 3,851 3,794 Malaysia 1,428 1,297 1,312 1 344 1,576 1,472 1,461 1 812 Nigeria 3/ 883 955 1,431 2,234 3,059 2,844 3,168 3,726 Ph Iapanes I/ 3,928 3,712 4,647 5 453 6,268 5,865 6,158 7,185 ;9il nd 3,326 3,302 4,218 4,849 5,404 4,308 3,599 3,722 Turkey 1/ 5,031 4,951 6,273 7,793 9,766 9,105 8 674 9 631 Yugosl,via 3,919 3,722 4,458 4,956 5,409 4,297 3,669 3,559 I/ Also included in Moderately Indebted Middle-Income Countries. 2V Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Inconme Countries. r-- -. P-,P rJmior Reoortine Svstem. Table 4 BANK AND TRADE-RELATED NON-BANK CLAIMIS (in millions of US$) Total Bank Guaranteed Trade- 1985 1986 1987 1988 1989 1990Q2 Claims Claims Related Non-Bank Clains AN Developing Countries 669,737 721,219 776,110 755,654 755,939 733,934 770,834 634,795 84,790 136,039 By Geographic Region Africa, Southof e Sahara 45,402 48,862 55,383 54,432 52,857 54,919 58,688 39,599 7,905 19,089 East Asia & Pacific 121,728 129,053 139,524 138,190 136,439 138,288 161 486 142,917 9,000 18,569 Europe& the Mediterranean 119,075 133,630 151,211 147,414 159,746 161,962 168,764 137,421 17,385 31,343 Latin Anmerica & the Caribbean 268,173 277,625 284,950 272,430 258,312 231,798 232 709 202,046 16,930 30,663 North Africa & the Middle East 102 603 117 303 126,621 123,176 126,789 125 357 126,219 93,237 28,538 32,982 South Asia 12,756 14,746 18,421 20,012 21,796 21,610 22,968 19,575 5,032 3,393 Severely Indebted Middle-Income Countries 282,437 299,967 315,361 301,166 290,570 266,702 269,463 223,051 26,869 46,412 Algeria 17,071 19,355 21,158 19,860 20,285 20,374 20,481 16,746 9,099 3,735 ArY entina 31,419 35,482 39,092 38,693 35,787 33,683 33,471 29,763 1,139 3,708 Bolivia 786 840 813 716 453 436 464 287 64 177 Brazil 83 223 88 827 88,802 83,978 77,887 73 959 74 458 65,234 4,712 9,224 Bulgaria 3,485 4,864 6 188 7,703 8,324 8,074 8,520 7,926 471 594 Congo 1,326 1,632 1,743 1,645 1,537 1,528 1,705 1,025 321 680 Cote d'Ivoire 3 554 4,048 4,245 4,122 4,186 3,971 4,142 3,070 267 1,072 Ecuador 5,641 5,824 5,745 5,528 5,202 4,951 4,779 4,092 534 687 Mexico 79 133 79,289 82,244 75,036 75,507 58 949 61,428 55 089 5,831 6,339 Morocco 6:115 6,797 7,557 7,200 7,201 7,420 7,917 5,339 2,030 2,578 Nicaragua 934 726 731 694 624 638 1,190 911 19 279 Peru 6,655 6,366 6,412 6,486 5,967 6,110 6,128 3,788 362 2,340 Poland 14,936 18,556 23,076 20,789 21,044 - 22,680 24,823 11,292- 910 13,531 Svri 1 469 1 529 1,632 1 369 1 326 1,172 1 293 925 38 368 Mer7=uela 26,690 25,832 25,923 27,347 25,240 22,757 18,664 17,564 1,072 1,100 Severely Indebted Low-lncome Countries 47,565 50,562 57,804 56,758 55,282 57,669 54,881 27,331 6,696 20,225 Moderately Indebted Low-Income Countries 33,534 37,076 43,384 44,174 47 413 48,921 54,893 46,690 7,742 8,203 Moderaty Indebted Middle-lacome Countries 72,062 77,677 85,226 81,172 77,401 75,766 81,098 66,290 13,917 14,126 Other Selected Countries 182,240 191,839 205,042 201,230 196,495 199 451 213,751 177,086 25,575 36,665 Chile 1/ 14 933 14 603 13 476 11,548 9,880 9,050 9,501 8,635 599 866 China 13,947 15,617 20,649 27,631 26,682 28,774 34,333 31,014 1,596 3,319 Colombia 1/ 7,857 8,466 8,965 9,255 8,841 8,445 8,703 6,640 1,403 2,063 Egypt 3/ 14,287 15,779 18 172 17 642 18,689 18,996 13,737 6,867 2,401 6,870 kHungary 1/ 9,142 10,445 12,807 11,815 12,219 11,380 11,431 11,018 955 413 India 2/ 8,041 9,672 12,849 14,342 15,950 15,827 16,640 14,769 3,176 1,871 Jamaica 1/ 870 750 791 807 983 1,040 984 632 159 352 Korea 40 138 38,873 33 259 31 480 31 503 32,219 36 072 32,131 2,784 3,941 Malaysia 12,719 13,349 12,340 10,037 9,141 8,259 9,217 8,434 459 783 Nigeria 3/ 12,010 13,024 14,950 13,627 11,865 12,199 12,602 6,869 2,201 5,733 Philippines I/ 15,787 16,306 16,471 14,507 11,914 11,606 11,797 9,364 630 2,433 Thailand 9,017 8,781 10,450 10,559 12 376 14,327 17,869 15 917 484 1 952 Turkey 1) 11 138 13 596 17 114 16,630 16,705 17 818 21,268 17,520 6 791 3,748 Yugoaiavia 12,354 12,578 12,749 11,350 9,747 9,511 9,597 7,276 1,937 2,321 Offbore Banking Centers 55,114 66,113 76 720 78,778 89,226 97,262 114,016 111,363 3,173 2,653 Oil Exporters 126,365 145 607 156,798 158 082 167,377 161,529 163,782 130,827 24,921 32 955 DRS repoters 67,410 79,054 82,988 83,753 81,589 79,228 81,778 62,085 15,373 19,693 DRS Reporting Countries 592,963 629,777 674,510 652,555 640,880 626,988 658,718 543,442 67,840 115,276 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-ncomne Countries. 3/ Also included in Severely Indebted Low-Incomoe Countries. Source: OECD/BIS, Statistics on External Indebtedness. Table 5 COMMERCIAL BANKS CLAIMS ON DEVELOPING COUNTRIE (in millions of USS) Claims Liabilities Exchange-Rate Adjusted Flows 1989 1990 1991Q1 1991Q2 1990 1991Q1 1991Q2 ' 1989 1990 1991Q1 1991Q2 AD Developing Countties 623,794 638,554 631,082 616,019 680,813 645,207 631,837 (7,789) 6,033 (1,884) (7,524) By Geographic Ree%on Africa, South of he Shara 37,036 41,034 37,977 37,231 41,815 37,246 36,225 (2,421) (210) (1,521) (43) East Asia & Pacific 118,060 145,329 149,619 149,085 138 614 130,824 130 114 452 10 ,84 6,452 30 Europe & the Mediterranean 129,793 135,217 139,462 133,584 81262 70,340 67,087 9,485 3,796) 1,175 (,304) Latin Amnerica & the Caribbean 234,223 208,752 206,076 200,678 146,673 148,362 145 340 (18,650) (4,22 (200) (4,018) North Africa &the Middle East 83,580 84,852 74,929 73,424 228891 216,409 210750 1,936 3,172 (7,110) (307) South Asia 21,102 23,370 23,019 22,017 43,558 42,026 42,321 1,409 210 (680) (882) Severely Indebted Middle-income Countries 248,965 224,561 219,923 214,139 126,382 125,798 122,398 (16,108) (5,481) (879) (3,456) Algeria 13,572 14,745 13,550 12,719 2,510 2,098 1,909 (329) (471) (309) (465) Areentina 32,369 30,760 29,751 29,090 20,629 21,212 20,991 (5,356 (577) (186) (408) Borivia 341 283 262 264 943 937 939 (233 8 (15) 5 Brazil 70,849 66,924 65 563 61,117 23,428 23,835 22,995 (5,500 (239) (39) (3,993) Bulgaria 7,755 7,902 7,767 7,258 579 630 707 742 (150) (152) (279) Congo 1,085 1,020 942 968 315 279 256 (275) (49) (33) 64 Cote d'lvoire 3,259 3,243 2,736 2,616 2,426 1,892 1,818 (520) (103) (260) (20) Ecuador 4,582 4,080 3,903 3,974 2,507 2,542 2,630 (294) (202) (117) 83 Mexico 70,147 55,462 56 480 57 501 28,758 28,230 28,463 (1,241 786 1,082 1,227 Morocco 5,170 5,310 4,980 4,765 3,633 3,465 3,307 (64) (5) (95) (129) Nicar gun 400 915 904 919 209 222 245 (76) (i5) (4) 17 _J Peru 4,066 3,851 3,675 3,579 3,424 3,585 3,385 (692) (147) (59) (52) Poland 10,286 11,381 11,734 11,239 7,816 6,349 5,303 (631) 236 322 (101) S n' 962 932 917 896 4,521 4 611 4 ,36 (50) (162) 4 (10) | VSenazuela 24,122 17,753 16,759 17,234 24,684 25,911 24,614 (1,589) (4,391) (1,018) 605 Severdy Indebted Low-Income Countries 31,926 35,112 33,169 31,968 48,754 46,987 46,668 (1,851) (406) (909) (618) Moderately Indebted Low-income Countries 38 043 48 750 49,567 48,193 25,546 24,536 24,951 3,125 3,063 893 (1,101) Moderately Indebted Middle-Income Countries 61,050 63,872 62,141 59,701 56,463 55,203 56,255 (5,673) (163) (952) (1,642) Other Selected Countries 152,803 174,421 175,726 172,791 142,378 137,613 137,402 (4,476) 5,567 3,778 (1,466) Chile 1/ 9 061 8,677 8,686 8,074 9,776 9 174 9,109 (1,787) 327 (28) (566) Chins ~~~~~~~~~~~~~~~~~~22,660 30,956 30,847 30,178 40,457 41,495 40,543 (503) 3,451 586 (533) Colombia 1/ 6,629 6,740 6,464 6,295 8,060 7 899 7 852 (419) (16) (189) (122) .gypt 3/ 6,585 6 531 6 372 5 846 17 440 1 ,556 19 008 (219) (155 39) (325) Hungagry 1/ 11 884 11,026 10,307 9,869 1,784 2 347 2,106 508 (762) (619) India 2/ 12,895 14,749 14,533 13,796 8,937 8,135 8,969 1,168 337 (480) (667) Janaica 1/ 692 624 606 547 812 842 818 107 (37) (9) (57) Korea 27,406 32,179 34,450 35,322 10,372 9,699 10,592 1,171 855 2,760 1,012 Malaysia 8,517 8,434 8,082 7,576 9,790 8,016 7,834 (526) 327 (112) (467 Nigeria 3/ 7,441 6,981 6,478 5,901 5,151 4,622 4,685 (1,508) (484) (110) (421) Phil'inppnes I/ 9,641 9,489 9,074 8,840 4,709 4,945 5,53 (2,614) (184) 38 18 Thailand 11,020 15,930 18,035 19,455 6,393 5,889 5,034 1,705 892 2,2200) (19,84) Turkey 1/ 10,784 14,969 15,568 15 441 10,715 9,589 10,057 21 450 746 94 Yugoihvia 7,588 7,136 6,224 5,651 7,982 6,405 5,242 (1,580) (434) (648) (428) Offshore Banking Centers 765,148 1,060,121 1,013,720 988,180 1,052,132 1,001 301 960,388 149,844 58,268 (27008) (13,305) Oil-Exorters 136,474 128,784 126229 123,957 205471 194,814 188,942 7,302 (2,870) (4,271) '385 DRS repoters 63,385 59,732 54,862 53,622 89,186 82,776 78,920 (2,885) (1,859) (3,060) (340) DRS Reporting Countries 547,942 693,084 677,276 665,523 607,527 578,810 572,604 1,549 8,930 (5,557) (5,658) 1/ Also included in Moderately Indebted Middle-lncome Countries. 2/ Also included in Moderately Lndebted Low-Income Counties. 3/ Also included in Severely Indebted Low-Incomne Countries. Source: Bank for Lnternational Setlements, International Bankine and Financial Market Developments. Table 6 MATURITY DISTRIBUI1ON OF BANK CLAIMS ON DEVELOPING COUNTRIES (inl illions of US$) _ __ __-- -1990Q4-- Un- Estinated Short- 19S7 1988 1989 1990 Q2 > I yr & allocated Short- Termn Total < I yr < 2 yr > 2 yr Terun (% of Total) |Al Developing Countries 569,500 544,644 S43,069 S21,174 S46,638 248,051 34,265 241,076 23,246 213,S91 39 By Georapbic ReRion Africa, South of the Sahara 36,499 33 195 32,507 31 976 32,314 16,170 2,360 11,836 1,948 13 641 42 East Asia & Pacific 101,410 100,492 102,052 102,126 117,235 66 686 7,287 37 894 5 368 60,573 52 Europe & the Mediterranean 117,227 117,372 127,502 129,084 132,409 49,395 10,961 65,748 6,305 38,726 29 Latin Amrnica & the Caribbean 237 ,64 219,512 204,124 180,036 184,293 69,972 7 152 100,956 6,213 61,245 33 North Africa & the hMiddle East 64,540 61,486 63,827 62,968 63 532 39,320 5,603 17 142 1,467 33 568 53 South Asia 11,960 12,587 13,057 14,984 16,855 6,508 902 7,500 1,945 5,838 35 Severdy Indebted MiddeleIncome Countries 2S0,99 233,072 220,152 198,450 201,794 76,480 9,590 109,339 6,385 65,471 32 Algeria 14,662 14,031 14,168 14,567 15,183 6,663 2,210 5,875 435 4,714 31 Argentina 33,203 32,448 27,054 25,125 26,106 7,296 506 17,803 501 6,761 26 Bolivia 583 341 284 213 230 151 15 62 2 137 60 Brazil 69 249 63 861 61 012 55,326 55 482 22,207 3,134 29 353 788 18 335 33 Bulgaria 5,254 6,780 7,803 7,882 7,882 4,267 790 2,634 191 3 477 44 Congo 1 311 999 868 783 841 562 49 227 3 513 61 Cote d'lvoirc 3,556 3,257 3,252 3,072 3,083 2,138 229 642 74 1,905 62 Ecuador 5 312 4,545 4,064 3 656 3,586 1,652 185 1,646 103 1,457 41 Mexico 69,930 62 760 59 747 47,062 50,396 18,546 1,197 27,348 3,305 17 264 34 Morocco 5,229 4,592 4,596 4,573 4,851 1,525 289 3,023 14 1,069 22 ao Nicaragua 461 451 388 381 889 698 41 63 87 674 76 PerN 4,212 3,694 3,136 2,978 2,964 1,983 116 743 122 1,815 61 Poland 11,909 10,309 10,049 10,812 10,812 3,271 311 6,964 266 2,960 27 Syria..,. 914 0 637 575 506 379 25 99 3 365 72 25,184 25,004 23,094 21,445 18,983 5,142 493 12,857 491 4,025 21 Severely Indebted Low-Income Countries 31,924 28,831 26,891 26,911 27 088 13,030 2,156 10,914 988 10,731 40 Moderately Indebted Low-Income Countries 28,724 30,110 31,828 33,822 39,768 19,414 3,004 1S 229 2,121 17 053 43 Moderaity Indebted Middl-Income Countries 67,556 60,815 60,353 59,286 63,094 26,410 4,804 29,091 2,789 21,479 34 Other Selected Countries 145,427 140,162 139 976 140,061 154,380 71,827 10,610 64,724 7,219 62,520 40 Chile 1/ 12,843 11 038 9,329 8,624 8,901 4,345 343 4,104 109 4,022 45 China 11,987 16,652 17,983 18,799 22,273 8,824 1,844 10,550 1,055 7,602 34 Colombia 1/ 6,266 6,554 6,299 6 164 6,353 2,329 630 3,288 106 1,763 28 Egypt 3/ 6 813 6 138 6 087 5,942 5 967 2 988 710 2,214 55 2 327 39 Hungary I/ 12,442 11,720 11,953 11,281 11,281 2,568 1,387 6,519 807 1,181 10 India 2/ 8,362 9,318 10,579 10,804 12,149 4,086 683 6,615 765 3,638 30 Jamaica 1/ 487 485 485 462 489 170 55 223 41 102 21 Korea 23,793 21,482 23,306 24 370 28,744 20 377 1,380 5,782 1,205 19,223 67 Malaysia 9,975 8,353 7,825 6,892 7,266 2,053 477 3,593 1,143 1,725 24 Niger_ 3! 10,806 8,992 7,307 6,982 V,353 2,246 455 3,764 SS 1,722 27 Philippines 1/ 13,105 11,573 9,645 9,099 9,337 3,205 387 5,330 415 2,472 26 T hailand 7,513 8,338 10 591 11 028 13,569 8,783 715 3,703 368 8,197 60 Turkey I/ 11 146 10 690 10,918 12,582 14 731 7,719 1,225 4,777 1,010 6 680 45 Yugo=avia 9,889 8,829 7,669 7,032 6,967 2,134 319 4,462 52 1,866 27 Offshor Banking Centers 375,045 358,883 396,825 408,154 453,104 378,225 11,541 SO,392 12,946 369,937 82 Oil Exoorter 110,478 111 662 118 503 114,539 111,195 46 724 9,183 52,598 2,690 36 797 33 DRffreporten 62,224 58,874 56,679 55,168 52,866 22,556 3,923 24,947 1,440 18,208 34 DRS Reporfing Countries 530,504 497,061 489,054 468,702 498,558 229,872 29,483 218,209 20,994 200,362 40 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source; Bank for International Setlements, The Maturity and Sectoral Distribution of Intemational Bank Lending Table 7a U.S. COMMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES * (in millions of US$) 1984 1985 1986 1987 1988 1989 1990Q2 1990Q3 1990Q4 1991Q1 1991Q2 AN Developng Cotries 142,850 130,680 118,325 107,898 92,877 79,723 70,517 69,892 69,561 67,782 65,987 By Geograpic Region Africa, South of the Sahara 5,671 4,467 2,896 2,826 2,212 2,203 1,685 1,612 1,524 1,346 1,396 East Asia & Pacific 26,432 22,782 18,565 16,532 13,584 12,949 12,249 12,633 12,642 12,837 12,985 Europe & the Mediterranean 10,889 10,212 8,410 7,656 6,634 5,799 5,407 5,371 5,893 4,997 5,087 Latin Amenrica & the Caribbean 87,165 82,396 78,945 74,670 64,701 53,233 45,857 45,064 44,292 43,455 41,372 North Africa & the Middle East 10,820 8 682 7,235 4,723 4,509 4 264 4,278 4,258 4,212 4,179 4,392 South Asia 1,873 2,141 2,274 1,491 1,237 1,275 1,041 954 998 968 755 Severely Indebted Middle-Income Counries 77,359 73,021 70,098 65,895 57,390 47,036 40,597 39,819 38,969 38,428 36,426 Algeria 1,020 829 848 130 646 528 538 562 552 543 500 Argentina 7,975 8,411 8,524 8,812 7,879 4,500 3,376 3,298 3,497 3,453 3,381 BoEivia 212 113 96 66 38 10 4 4 8 12 11 Brzil 23,869 22,796 22,404 21,275 19,391 16,284 13,083 12,385 11,444 10,980 8,790 Bulgaria 100 114 112 88 151 76 100 58 57 51 76 Coted'lvoire 471 358 365 363 311 213 146 138 76 75 73 Ecuador 2,144 2,143 2,170 1,919 1,519 1,029 835 812 689 699 650 Mexico 26,525 24,934 23,654 22,722 17,887 16,060 15,088 15,184 15,212 15,229 15,433 Morocco 911 905 892 820 727 618 585 570 575 570 529 Nicaragua 225 91 66 43 16 5 Peru 2,357 1,654 1,344 901 518 215 121 122 116 108 109 Poland 693 550 469 386 289 313 320 270 280 277 286 Syria 44 32 42 50 33 41 27 29 23 20 19 Venezuela 10,813 10,091 9,112 8,320 8,001 7,149 6,374 6,387 6,440 6,395 6,564 Severe Indebted Low-Income Countries 5,511 4,167 3,300 2,489 1,843 1,813 1,404 1,255 1,171 1,066 1,156 Moderately Indebted Low-Income Countries 4,373 3,946 3,508 2,736 2,111 2,106 1,936 1,913 2,084 2,215 2,098 Moderately Indebted Middle-Income Countries 21,230 20,168 18,697 17,551 15,182 12,574 11,691 11,776 11 740 11,388 11.167 14738 18305 17953 Other Selected Countries 38,939 35,815 29,300 25,212 22,597 19,695 18,554 19,018 19,738 18,305 17,953 Chile 1/ 6,697 6,569 6,459 5,999 5,044 3,945 3,263 3,063 3,085 3,009 2,987 China 878 573 491 439 376 342 354 323 340 370 322 Colombia 1/ 2,967 2,625 2,148 2,068 2,117 1,921 1,840 1,888 1,882 1,753 1,636 Egypt 3/ 1,284 996 651 437 293 189 208 168 195 195 199 ffiungag I/ 765 606 346 380 319 247 255 253 202 213 280 India 2/ 755 935 999 989 817 831 636 640 676 605 360 Jamaica I/ 330 261 205 160 188 152 134 171 162 144 131 Korea 9,956 9,165 5,997 3,849 3,857 3,972 3,834 4,326 4,293 3,971 4,029 Malaysia 1,726 1,087 741 477 423 324 313 316 345 385 377 Nigeria 3/ 1,539 1,199 903 901 817 694 607 592 522 496 526 Philippines 1/ 5,454 5,418 5,107 4,674 3,993 3,233 3,294 3,201 3,197 3,123 3,092 Thailind 2,191 1,877 1,114 816 943 1,002 1,109 1,271 1,383 1,484 1,580 Turkey 1/ 2,018 2,106 2,074 2 108 1,539 1 188 1 273 1,507 1 528 1,560 1,454 Yugoslavia 2,379 2,398 2,065 1,915 1,871 1,655 1,434 1,299 1,928 997 980 Offshore Banking Centers 38,784 34,176 32,339 32,294 29,012 27,840 27,937 26,592 23,731 24,030 24,989 Oil Exporters 17 560 15 268 13 215 11,059 11,396 10,460 9,339 9 250 9,252 9,420 9,978 DRS reporters 14,720 12,901 11,581 9,852 10,013 8,886 7,861 7 914 7,889 7,779 7,952 DRS Reporing Coeuntri 141,131 129,954 116,650 105,011 90,598 77,217 68,810 68,191 68,108 66,346 64,184 * Consolidated claims of U.S. banks and their worldwide operations. 1/ Also included in Moderately Indebted Middle-Income Countries. 21 Also included in Moderately Indebted Low-Incone Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Federal Financial Institutions Examinations Council, U.S. Country Exposure Lending Survey. Table 7b CLAIMS ON DEVELOPING COUNTRIES OF BANKS IN THE UNITED STATES * (in millions of USS) 1984 1985 1986 1987 1988 1989 1990Q2 1990Q3 1990Q4 1991Q1 1991Q2 AR Developing Countries 135,818 129,110 127,243 124,202 124,979 116,549 97,245 96,240 89,329 89,678 86,754 By Geographk Reno Africa, South of e Sahara 1,733 1,590 1,321 1,306 1,516 1,579 1,536 1,540 1,582 1,680 1,617 East Asia & Pacific 17,983 16,569 15,417 14,590 14,158 12,761 11,790 12,142 12,842 13,216 14,015 Europe & the Mediterranean 6,622 6,745 7 230 5,894 7,142 7,779 7,241 7,656 7,408 8,269 8,537 Latin America & the Caribbean 103,694 98,663 98,369 97,479 91,469 82,589 64,672 62,926 55,961 55,145 51,392 North Africa & the Middle East 4,969 4,744 4,238 4,098 9,285 9 672 9,636 9,070 9,229 8,868 8,975 South Asia 817 799 668 835 1,409 2,169 2,370 2,906 2,307 2,500 2,218 Severely Indebted Middle-Income Countries 90,619 86,273 86,637 86,139 81,022 73,143 56,699 54,709 48,099 47,607 44,824 Algeria Argenina 11,225 11,634 12,495 12,520 12,322 9,790 8,139 8,133 7,506 7,114 6,614 Bolivia 208 167 139 134 110 30 24 55 49 Brazil 26,745 25,653 26,086 26,447 26,348 24,256 21,349 19,391 18,772 19,013 15,994 Bulgaria 23 22 42 48 68 98 87 85 83 100 92 Congo Cote d'voire 170 165 110 134 178 113 77 60 59 Ecuador 2,469 2,438 2,536 2,410 2,210 1,768 1,570 1,599 1,479 1 427 1,433 Mexico 35,186 32,175 31,367 31,034 26,852 24,997 14,941 15,877 15,576 15 722 16,059 Morocco 604 591 624 560 525 730 741 707 682 704 755 Nicaragua 99 115 116 116 55 55 56 . 56 52 Peru 2,411 1,967 1,689 1,357 1,036 793 714 684 698 730 755 Poland 196 172 189 239 232 258 230 193 212 321 432 0 Syri 58 58 52 52 36 45 32 146 51 31 31 Venezuela 11,225 11,116 11,192 11,088 11,050 10,210 8,739 7,894 2,869 2,445 2,499 Severely Indebted Low-Income Countries 1,940 1,765 1,582 1,580 1,632 1,762 1,645 1,362 1,516 1,301 1,410 Moderately Indebted Low-Income Countries 1,672 1,581 1,430 1,466 1,806 2,577 2,951 2,956 3,014 2,952 2,770 Moderatel Indebted Middle-Income Countries 18,231 17,115 16,715 16,367 16,356 15,187 13,776 12,602 13,548 12,466 13,005 Other Selected Countries 30,991 29,451 26,518 23,856 23,631 22,985 21,642 22,223 22,187 22,797 22,441 Chile I/ 7,011 6,719 6,656 6,492 5,466 4,696 3,830 3,579 3,566 3,445 3,179 China 729 704 834 1,058 824 703 593 567 643 744 1,052 Colombia 1/ 3,583 3,351 2,967 2,898 3,146 2,917 2,731 2,704 2,717 2,560 2,463 Esypt 3/ 775 757 598 546 527 508 477 437 388 315 324 Hungary I/ 895 663 515 472 377 384 221 214 190 199 174 India 2/ 465 490 388 574 600 669 842 921 711 632 519 Jamaic-a 1/ 268 237 207 195 220 303 263 258 242 230 194 Korea 9,653 9,596 7,586 5,261 5,304 5,422 5,458 6,032 5,931 6,355 6,066 Malaysia 780 428 398 135 130 477 150 273 337 327 274 Nigeria 3/ Philippines 1/ 2,589 2,242 2,234 2,088 1,897 1,347 1,359 1,335 1,248 1,447 1,507 Thailand 1,163 1,000 649 642 925 1,185 1,326 1,331 1,624 1,811 2,047 Turkey 1/ 1 175 1,253 1 578 1,767 2,797 3,024 3,281 3 434 3,429 3 731 3,701 Yugoslavia 1,905 2,011 1,908 1,728 1,418 1,350 1,111 1,138 1,161 1,001 941 Offshore Banking Centers 122,975 124,279 136,845 147,781 156 573 192,361 188 167 196,057 227,936 229 495 244,531 Oil Exporters 12 800 12 449 12,741 12 997 14,295 13 501 11,655 10,835 5,435 5,128 5 348 DRS repozters 11,563 11,429 11,487 11,335 11,278 10,473 9,021 8,122 3,207 2,673 2,849 DRS Reporting Countries 197,274 190,987 187,950 188,154 182,890 185,502 156,738 159,746 159,349 156,848 157,931 *All resident banks. 1/ Also included in Moderately lIdebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: U.S. Treasury Bulletin, Ouarterlv series. I'ahle ga UK COMMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES * (in millions of US$) 1984 1985 1986 1987 1988 1989Q2 1989Q4 1990Q2 1990Q4 1991Q2 All Developing Coumtries 62,735 64,706 65,441 64,952 60,310 56,531 52,551 46,564 44,958 41,204 By Geographic Region Africa, South of the Sahara 5,748 6,058 6,052 6,352 5,809 5,039 4,539 4,633 4,140 3,594 East Asia & Pacific 9,123 8,840 8,269 7,360 6,331 6,194 5,267 5,218 5,501 5,739 Europe&theMediterranean 10,614 11 953 12,074 11,710 11,770 10,996 11,210 11,150 10,780 9,574 Latin America & the Caribbean 30,083 30,101 30,880 30,714 27,304 26,266 23,623 18,046 16,856 16,271 North Africa & the Middle East 6,233 6,401 6,367 6,816 7,241 6 439 6,338 6,044 5,981 4,508 South Asia 934 1,353 1,799 2,000 1,855 1,597 1,574 1,473 1,700 1,518 Severely Indebted Middle-Income Countries 28,785 28,888 30,036 30,481 27,505 26,604 24,577 19,327 18,226 17,193 Algeria 658 633 823 832 812 747 784 750 760 655 Arfentina 3,394 3,677 4,110 4,206 4,108 3,868 3,343 2,625 2,352 2,244 Bolivia 124 94 99 109 33 33 26 26 8 Brazil 9,344 9,140 9,515 9,673 7,585 7,345 6,890 5,173 4,694 4,226 Bulgaria 208 434 457 411 575 508 532 467 473 209 Congo 57 71 91 85 69 42 39 28 37 37 Cote d'lvoire 345 335 356 347 354 312 292 272 247 148 Ecuador 725 760 809 864 799 806 750 603 546 542 Mexico 8,746 8,669 8,674 8,773 8,291 8,036 7,500 5,146 4,909 5,270 Morocco 361 385 421 425 374 445 447 412 401 308 Nicaragua 108 98 88 83 71 37 35 54 35 34 Peru 708 649 663 670 588 533 464 429 276 295 Poland 1,146 1,136 1,119 1,276 1,132 1,125 1,182 1,226 1,279 1,107 Syria 90 117 169 102 89 82 81 77 69 62 Venezuela 2,771 2,690 2,642 2,625 2,625 2,685 2,212 2,039 2,140 2,056 Severely Indebted Low-Income Countries 5,446 5,640 5,469 5,842 5,378 4,780 4,224 4,363 3,800 3,266 Moderately Ind.bted Low-Income Countries 2,304 2,693 3,130 3,272 3,057 2,571 2,502 2,358 2,626 2,441 Moderately Indebted Middle-Income Countries 6,881 6,970 7,281 6,759 6,131 5,615 4,904 4,339 4,473 4,128 Other Selected Countries 16,207 16,691 16,741 15,678 13,549 12,233 10,780 10,082 10,306 9,579 Chile 1/ 2,095 2,178 2,089 1,725 1,289 1,150 626 530 567 524 China 210 457 267 411 756 947 938 945 1,025 843 Colombia 1/ 786 756 794 715 743 722 785 657 643 546 Egypt 3/ 750 727 637 730 729 670 629 644 650 582 nungary 1/ 812 661 589 602 548 535 518 420 330 331 India 2/ 494 838 1,267 1,479 1,367 1,091 1,100 1,059 1,219 1,083 Jamaica 1/ 50 51 45 42 52 54 69 70 68 63 Korea 2,763 2,707 2,442 2,040 1,376 1,290 1,130 1,214 1,343 1,560 Malaysia 1,657 1,451 1,390 949 463 510 329 279 484 495 Nigeria 3/ 2,394 2,495 2,818 2,981 2,452 1,936 1,704 1,507 1,065 741 Philippines 1/ 1,676 1,531 1,623 1,500 1,446 1,237 956 795 797 736 Thailand 418 399 212 145 155 184 190 239 228 332 Turkey 1/ 406 636 887 944 826 814 892 959 1,142 1,156 Yugoslavia 1,696 1,804 1,681 1,415 1,347 1,093 914 764 745 587 Offshore Banking Centers 20,629 21,528 25,627 29,703 27,225 26,509 27,622 29,075 28,509 25,393 Oil Exporters 11,159 12,165 12,901 13,103 13 208 12 118 11,547 11,152 10 341 8,712 DR reportes 7,476 7,395 7,972 8 104 7,515 6,841 6,039 5,481 5,185 4,509 DRS Reporting Counties 58,916 59,677 60,430 60,061 54,027 50,416 47,004 40,411 39,380 37,031 * Consolidated claims of UK banks and their worldwide operations II Also included in Moderately Indebted Middle-lncome Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Bank of England, Ouarterlv Bulletin. Table Xb DEVELOPING COUNTRY CLAIMS OF BANKS IN TME UNITED KINGDOM * (in millions of USS) 1984 1985 1986 1987 1988 1989 1990Q2 1990Q3 1990Q4 1991Q1 1991Q2 All Developing Countries 88,497 100,278 102,919 103,679 96,855 100,052 96,157 96,105 96,601 90,876 88,714 By Geographic Region Africa, South of the Sahara 11,032 11,640 11,322 10,386 10,096 8,599 8,794 8,796 8,347 7,554 7,146 East Asia & Pacific 9,840 11,433 11,144 11,931 10,294 9,501 11,114 11,117 11,492 11,927 11,747 Europe & the Mediterranean 22,978 28,863 31,345 33,495 33,127 34,311 33,378 33,322 32,568 29,431 27,836 Latin America & the Caribbean 37,360 39,872 40,117 38,350 34,346 30,901 25,274 25,274 26,431 26,540 27,690 North Africa & the Middle East 5,630 6,011 6,177 6,158 5,994 14,096 14,418 14,417 14,276 11,988 11,285 South Asia 1,657 2,459 2,814 3,359 2,998 2,644 3,179 3,179 3,487 3,436 3,010 Severey Indebted Middle-Income Countries 37,620 40,613 41,587 41,346 37,993 35,095 29,519 29,519 30,476 30,087 30,780 Algeria 1,428 1,636 2,109 2,254 2,225 2,076 1,977 1,977 1,912 1,723 1,592 Argientina 3,786 4,479 5,087 5,175 5,123 4,239 3,283 3,283 3,029 2,900 2,815 Bolivia 140 118 112 120 38 30 12 12 11 12 10 Brazil 13,161 13,311 13 123 12,588 10,186 9,330 7,392 7,392 7,202 7,124 6,739 Bulgaria 275 741 1,055 1,388 1,837 1,978 1,750 1,750 1,637 1,408 1,220 Congo 93 105 124 126 88 48 31 31 19 16 14 Cote d'lvoire 507 527 518 482 499 484 384 384 391 284 269 Ecuador Mexico 12,002 12,976 13,012 12,739 11,831 11,225 9,491 9,491 10,584 11,722 12,990 Morocco Nicaragua 112 121 109 111 85 47 46 46 45 44 44 Peru 532 642 630 631 548 466 322 322 323 304 291 Poland 2,167 2,338 2,366 2,511 2,210 2,211 2,289 2,289 2,250 2,051 1,928 3 Syria 127 159 199 145 109 98 85 85 83 68 74 M V=enezuela 3,290 3,460 3,143 3,076 3,214 2,863 2,457 2,457 2,990 2,431 2,794 Severely Indebted Low-Income Countries 8,684 9,167 8,349 8,770 8,627 6,969 7,272 7,274 6,839 6,716 5,908 Moderately Indebted Low-Income Countries 2,955 3,876 4,333 4,889 4,681 3,819 4,292 4,295 4,665 4,583 4,152 Moderately Indebted Middle-Income Countries 7,922 9,384 10,045 9,831 8,740 8,341 8,758 8,758 8,437 7,870 7,968 Other Selected Countries 21,980 25,878 25,855 25,990 23,633 21,012 22,609 22,609 22,510 21,828 20,983 Chile 1/ 2,234 2,545 2,350 2,004 1,396 802 751 751 817 831 800 China 247 1,392 632 590 1,070 1,246 1,650 1,650 1,805 1,690 1,632 Colombia 1/ 736 703 744 607 731 757 632 632 591 530 494 Egypt 3/ 1 380 1,327 955 964 888 880 859 859 841 1 159 772 Hungary 1/ 1,793 2,359 2,589 3,003 2,684 2,647 2,150 2,150 2,004 1,839 1,823 India 2/ 839 1,348 1,757 2,271 2,023 1,692 2,004 2,004 2,258 2,234 1,862 Jamaica 1/ 84 68 65 56 48 57 93 93 57 61 53 Korea 2,981 3,438 3,518 3,554 3,001 2,988 3,702 3,702 3,960 3,832 4,131 Malaysia 2 233 2 265 2,345 1,913 1,522 1,179 1,321 1 321 1,309 1 241 1,239 Nigeria 3/ 3,465 3,850 4,113 4,587 4,036 3,079 2,694 2,694 2,347 2,125 1,859 pD.h;1;,,,,; 1/ 1 6 1 R1 1 6V 1 424 1 t24 9SR 1 242 1-242 1.167 1.116 1.065 Thaifnd 667 668 623 '596 96 593 635 794 794 783 924 963 Turkey 1/ 749 1,440 1,817 2 009 1 939 2 398 3,338 3 338 3,322 3 132 3,273 Yugoslavia 2,947 2,994 2,725 2,412 2,378 1,694 1,379 1,379 1,249 1,114 1,017 Offshore Banking Centers 89,363 89,554 104,843 120,176 112,896 119,231 131,506 131,506 131,203 123,430 116,467 Oil Exporters 12,543 16 281 19,074 20 323 21 027 26,520 23,704 23 703 23,338 20,642 20,292 DRS reporters 8,362 9,182 9,640 10,134 9,624 10,939 9,913 9,912 10,023 8,812 8,959 DRS Reporting Countries 101,980 108,548 110,621 109,914 101,534 97,325 95,652 95,656 96,997 92,591 89,866 * Al resident banks. 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Bank of England , Ouarterlv Bulletin. T'able 9a GERMAN COMMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES * (in millions of US$) 1984 1985 1986 1987 1988 1989 1990Q2 1990Q3 1990Q4 1991Q1 1991Q2 All Developing Countries 45,625 56,673 68,018 81,782 78,387 85,622 89,907 112,865 119,444 114,196 109,486 By Geograpbk Region Africa, South of the Sahara 3,408 4,065 4,947 5,814 4,869 5,003 5,090 5,639 6,008 5,296 4,751 East Asia & Pacific 5,306 6,417 7,274 8,777 8,839 9,656 10,187 11,215 10,565 12,281 11,328 Europe & the Mediterranean 13,166 17,007 20,881 25,848 25,519 29,214 30,787 47,187 52,542 49,430 47,287 Latin America & the Caribbean 14,978 17,968 20,376 23,500 22,397 22,739 24,118 27,244 27,707 26,613 26,077 North Africa & the Middle East 6,152 7,507 9,524 11,579 10,959 12,128 12,636 13,985 14,028 12,344 12,698 South Asia 2,614 3,708 5,016 6,263 5,804 6,882 7,089 7,595 8,594 8,232 7,344 Severely Indebted Middle-Income Countries 17,636 21,531 24,958 29,065 27,851 28,503 29,947 32,692 33,565 32,683 32,207 Algeria 796 829 883 1,095 1,254 1,346 1,508 1,713 1,815 1,712 1,626 Argentina 2,425 3,056 3,682 4,476 4,716 4,767 5,459 5,743 6,099 5,559 5,648 Bolivia 71 98 124 145 136 163 181 205 218 198 205 Brazil 4,850 6,099 7,257 8,574 7,704 8,138 8,586 9,392 9 505 8,679 8,602 Bulgaria 423 646 1,010 1,340 1,681 1,892 1,904 1,983 2,185 2,549 2,367 Congo Cote d'lvoire 152 198 231 282 245 268 277 281 315 291 281 Ecuador 283 328 367 420 430 497 559 631 646 605 599 Mexico 3,515 3,818 3,909 4,145 3,725 3,256 3,040 3,324 3,353 3,233 3,270 Morocco 434 577 732 868 836 930 991 1,057 1,110 993 974 Nicaragua 46 58 69 63 68 595 592 623 Peru 330 455 579 730 680 751 796 866 910 832 806 t..) Poland 2,310 3,084 3,747 4,340 3,742 3,793 4,022 4,424 4,026 4,917 4,730 Syria 119 181 256 327 321 371 400 591 600 542 522 Venezueia 1,927 2,117 2,123 2,254 2,318 2,262 2,226 2,484 2,188 1,981 1,956 Severely Indebted Low-Income Countries 3,698 4,590 5,657 6,750 5,752 6,113 5,378 5,869 6,612 5,891 5,217 Moderately Indebted Low-Income Countries 4,296 5,477 7,123 8,667 8,022 9,210 9,397 9,629 10,886 9,459 9,100 Moderately Indebted Middle-lIcome Countries 4,885 6,513 7,819 10,756 10,749 11,860 12,337 13,177 14,942 14,090 13,189 Other Selected Countries 12,356 15,838 19,241 23,867 22,917 25,338 26,769 28,913 29,780 29,318 27,501 Chile 1/ 850 1,003 1,014 1,048 941 1,007 1,192 1,283 1,388 1,329 1,156 China 386 783 786 1,236 1,820 1,746 1,855 1,977 2,146 2,001 1,004 Colombia 1/ 333 444 624 764 844 899 963 1,004 1,035 915 873 Egypt 3/ 942 1,356 1,810 2,309 2,129 2,424 2,673 2,869 2,993 2,684 2,599 tiungary I/ 1,099 1,375 1,633 2,592 2,450 3,059 3,011 3,073 3,635 3,397 3,227 India 2/ 1,588 2,190 2,972 3,684 3,409 4,306 4,378 4,715 5,120 4,737 4,508 lamiaica I/ Korea 1,048 1,084 1,320 1,182 1,154 1,543 1,761 2,151 938 2,387 2,579 Malaysia 558 557 663 740 648 659 677 625 686 609 596 Nigeria 3/ 1,431 1,582 1,785 1,803 1,273 1,068 1,178 1,253 1,283 1,197 1,046 Philippines 1/ 473 552 612 570 472 436 383 352 400 379 377 Thailand 361 524 616 771 761 945 1,086 1,228 1,103 1,563 1,768 Turkey 1/ 1,685 2,430 3,027 4,561 4,777 5,067 5,383 5,897 6,594 5,973 5,814 Yugoslavia 1,602 1,959 2,378 2,606 2,238 2,179 2,229 2,487 2,461 2,149 1,953 Offshore Banking Centers 14,491 18,654 27,863 38,641 39,861 46,144 49,338 53,04S 55,147 55,941 55,078 Oil Exporters 8 860 10,141 12,257 13,670 13,676 15 765 16,765 22,526 24 062 29 858 29,320 DRS reporters 4,653 4,989 5,340 5,889 5,638 5,706 6,026 6,681 7,010 6,594 6,170 DRS Reporting Countries 39,827 49,135 58,499 70,497 67,091 72,281 74,741 82,399 84,936 83,463 80,087 * Partly consolidated aggregate claims of German banks and their worldwide operations. 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. .euPrve feutsche Bundesbank, Statistische Beihefte zu den Monatsberichten der Deutschen Bundesbank, Reihe 3. Table 9b DEVELOPING COUNTRIES CLAIMS ON BANKS IN GERMANY* (in millions of US$) 1984 1985 1986 1987 1988 1989 1990Q2 1990Q3 1990Q4 1991Q1 1991Q2 All Developing Countries 25,839 35,206 45,408 56,922 54,318 61,834 65,527 87,397 94,286 90,013 85,328 By Geographic Region Africa, South of the Sahara 2,867 3,599 4,497 5,192 4,293 4,470 4,424 4,881 5,282 4,519 4,274 East Asia & Pacific 2,735 3,728 4,785 6,050 5,675 6,442 6,629 7,534 6,800 7,635 6,715 Europe & the Mediterranean 8,354 11,035 13,801 17,635 17,271 20,671 22,397 38,763 44,157 42,362 40,368 Latin Amnerica & the Caribbean 4,567 7,066 9,201 11,574 11,512 12,805 13,954 16,252 17,019 16,718 16 324 North Africa & the Middle East 4,756 6,140 8,198 10,324 9,941 11,033 11,478 12,860 12,965 11,245 10,916 South Asia 2,560 3,638 4,926 6,148 5,626 6,411 6,646 7,106 8,064 7,535 6,731 Severely Indebted Middle-Income Countries 7,129 10,288 13,081 16,024 16,173 17,727 18,784 20,640 21,774 22,110 21,790 Algeria 654 708 750 917 1,089 1,213 1,375 1,580 1,671 1,578 1,451 Arfentina 641 1,245 1,663 2,220 2,277 2,570 2,930 3,121 3,443 3,075 3,290 Bo ivia 71 98 124 145 136 163 181 205 218 198 205 Brazil 1,976 2,940 3,925 4,792 4,599 4,893 5,081 5,459 5,658 5,130 4,979 Bulgaria 333 476 747 969 1,255 1,488 1,539 1,595 1,774 2,175 2,005 Congo Cote d'lvoire 152 198 231 282 245 268 277 281 315 250 244 Ecuador 78 98 122 137 148 217 240 297 311 292 309 Mexico 536 869 1,001 1,193 1,334 1,417 1,388 1,489 1,552 1,835 1,855 Morocco 292 449 616 765 738 861 889 956 1,009 897 873 Nicaragua . 46 58 69 63 68 595 592 623 Peru 189 283 384 514 476 536 565 623 663 600 643 ba Poland 1,587 2,083 2,483 2,851 2,651 2,767 2,869 3,156 2,788 3,854 3,711 Syria 119 181 256 327 321 371 400 591 600 542 522 Venezuela 501 614 722 842 841 895 1,051 1,288 1,177 1,091 1,079 Severely Indebted Low-Income Countries 3,147 4,117 5,192 6,116 5,163 5,580 4,702 5,112 5,886 5,092 4,720 Moderately Indebted Low-Income Countries 3,704 4,939 6,602 8,145 7,435 8,270 8,418 8,510 9,691 8,019 7,781 Moderately Indebted Middle-Income Countries 2,494 3,758 4,934 7,652 7,855 9,019 9,733 10,615 12,100 11,609 10,653 Other Selected Countries 7,830 10,776 13,976 18,245 17,086 19,593 20,932 22,814 23,513 23,058 21,318 Chile 1/ 142 238 283 343 318 505 683 709 781 771 649 China 299 502 620 979 1,177 1,427 1,602 1,678 1,850 1,687 708 Colombia 1/ 137 251 416 572 589 663 783 814 868 761 728 Egypt 3/ 932 1,350 1,795 2 297 2,117 2 424 2,663 2,869 2,993 2,623 2,542 }fungary 1/ 376 505 655 1,428 1,345 1,762 1,873 2,121 2,471 2,738 2,450 India 2/ 1,534 2,120 2,882 3,569 3,231 3,835 3,935 4,225 4,590 4,098 3,959 Jamiaica 1/ Korea 311 382 560 705 577 877 925 1,182 1,474 1,675 Malaysia 192 271 369 446 375 338 310 264 221 182 179 Nigeria 3/ 1,083 1,265 1,447 1,368 908 763 763 845 872 786 741 Philippines 1/ 113 147 216 314 276 298 278 277 324 298 341 Th,isanr ?S5 403 489 St 401 6MI 628 703 7S6 718 739 Turkey 1/ 1 379 2 028 2 589 3,905 4 170 4 451 4 775 5,190 5 782 5,171 5 033 Yugoslavia 1,078 1,316 1,655 1,755 1,510 1,644 1,715 1,936 2,006 1,750 1,574 Offshore Banking Centers 5,516 7,408 11,715 16,152 14,637 18,726 17,718 19,759 19,956 18,194 16,736 Oil Expmrters 5,711 6,786 8,429 9,564 9,014 10,838 12,051 17,998 19,771 26 311 25,377 DRS reporters 2,677 2,935 3,350 3,743 3,523 3,642 3,959 4,635 5,032 4,713 4,449 DRS Reportig Cownties 21,645 29,811 38,132 48,146 46,117 52,047 53,955 59,902 62,660 62,020 59,042 * All resident banks. 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Deutsche Bundesbank, Statistische Beihefle zu den Monatsberichten der Deutschen Bundesbank. Reihe 3. Table 10a FRENCH COMMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES r (in millions of US$) 1985 1986 1987 1988 1989Q3 1989Q4 1990Q1 1990Q2 1990Q3 1990Q4 All Devdoping Countries 70,448 81,442 87,687 95,390 84,730 89,973 85,075 83,182 86,289 84,237 By Geograpbic Reg'on Africa, SouthoftheSahara 9,755 11,145 12,890 15,537 11,671 11,740 11,495 11,579 11,813 12 107 East Asia & Pacific 6,832 9,829 8,179 9,907 11,832 13,601 12,475 12,895 14,366 15 019 Europe & the Meditcrranean 13,659 16,909 18,915 21,129 20,328 21,774 21,463 19,662 19,109 16,745 Latin America & the Caribbean 21,306 22,614 23,463 24,863 21,989 21,764 18,831 18,165 19,423 18,559 North Africa & the Middle East 15,381 17,253 19 712 19,554 17,091 19,215 18,982 19,055 19,634 19,813 South Asia 3,516 3,692 4,528 4,400 1,818 1,880 1,828 1,826 1,944 1,994 Severely Indebted Middle-Income Countries 28,854 30,984 33,409 31,569 31,957 32,345 29,614 28,927 30,728 29,660 Algeria 3,730 4,806 5,856 5,077 4,780 5,335 5,749 6,022 6,403 6,530 Argentina 1,877 2,005 2,136 2,299 2,381 2 265 2,258 2,087 2,158 2,169 Bolivia 36 34 27 22 21 21 21 Brazil 8,081 8,655 8,917 8,579 8,494 8,463 8,411 7,962 8,552 8,466 Bulgaria 731 966 936 863 839 866 755 Congo 934 1,102 1,204 898 822 809 787 711 751 751 Cote d'lvoire 1,651 1,961 2,283 1,991 1,974 2,045 1,939 1,956 1,997 2,036 Ecuador 150 191 161 135 161 173 188 Mexico 5,346 5,528 5,535 4,559 5,056 4,995 2,179 2,202 2,307 2,400 Morocco 2,165 2,286 2,495 2,004 1,967 2,081 2,107 2,164 2,306 2,321 Nicaragua 69 52 56 57 53 54 54 Peru 666 625 738 659 660 660 864 690 to Poland 1,742 1,680 1,790 1,419 1,392 1,383 1,381 1,342 1,458 1,375 ut Syria 275 359 386 352 268 319 328 311 288 259 Venezuela 2,387 2,602 2,806 2,779 2,840 2,810 2,736 2,436 2,530 1,644 Severely hidebted Low-Income Countries 4,961 5,421 5,998 7,740 7,566 7,564 7,354 7,600 7,817 8,026 Moderady Indebted Low-Income Countries 2,799 2,997 3,431 3,977 3,665 3,898 3,708 3,732 4,104 4,276 Modetely Indebted Middle-Income Countris 2,224 4,239 5,144 7,954 8,104 8,551 8,450 8,731 9,068 9,247 Other Selected Countries 12,658 17,049 14,665 16,952 17,900 19,298 18,580 18,870 19,895 20,474 Chile 1/ 395 460 563 583 528 499 608 China 1,374 1,853 2,125 2,165 2,362 2,592 2,656 Colombia 1/ 432 405 414 415 419 533 503 Eypt 31 2,431 2,629 2,985 2,670 2,590 2,782 2,636 2,705 2,696 2,787 ungary 1/ . 699 679 736 647 634 590 469 India 2/ 947 1,115 1,313 1,347 1,296 1,378 1,395 1,395 1,394 1,462 Jamnaica 1/ 40 40 34 30 40 31 30 Korea 2,683 5,517 3,289 3,522 3,676 4,309 3,783 3,528 4,058 4,537 Malaysia 951 870 609 528 449 439 398 440 432 Nigeria 3/ 2,530 2,793 3,013 2,498 2,271 2,037 2,034 1,924 1,893 1,837 Philippines 1/ 1,347 1,560 1,319 867 1,098 1,141 1,045 1,239 1,171 1,176 Thailand 863 . 623 773 815 897 1,009 1,086 Turkey 1/ . 863 1,041 1,274 1,271 1,379 1,437 1,695 1,849 1,894 Yugodavia 1,770 1,703 1,704 1,223 1,109 1,178 1,156 1,107 1,141 997 Offshore Banking Centers 26_595 26,012 36,579 27.745 34.750 30,482 31,160 33,563 37,249 39,617 Oil Exporters 18,001 21,306 24,207 24,921 26,281 27,810 27,917 25,283 24,618 23,034 DRS reporters 9,581 12,206 13,938 13,869 13,398 14,344 14,551 14,260 14,478 13,737 DRS Reporting Countries 59,308 69,627 71,529 76,767 73,624 76,064 72,095 71,173 75,546 75,481 * Consolidated claims of French banks and their worldwide operations. 1/ Also included in Moderately Indebted Middle-Incomne Countries. 2/ Also included in Moderatelv Indebted Low-Income Countries. 3/ Also included in Severely lIdebted Low-lncone Countries. Source: Banque de France, Bulletin Trimestriel. Table 10b DEVELOPING COUNTRIES CLAIMS OF BANKS IN FRANCE * (in millions of USS) 1985 1986 1987 1988 1989Q3 1989Q4 1990Q1 1990Q2 1990Q3 1990Q4 Al Developing Cowntries 63,119 65,095 72,730 67,383 67,923 69,740 67,716 65,642 66,811 66,793 By Geograpbc Region Africa, South of e Sahara 12,157 10,070 11,611 10,537 10,421 10,447 10,246 10,242 10,505 10,601 East Asia & Pacific 5,192 5,624 4,772 6,607 6,132 6,591 6 682 6,822 7 580 8,031 Europe & the Mediterranean 14,173 14,494 15,868 15,864 16,926 17,603 17,895 16 264 15,618 15,014 Latin America &the Caribbean 17,827 19,378 20,608 18,627 18,814 18,821 16 094 15,112 15,739 15,271 North Africa & the Middle East 12,809 14 458 16,460 14,594 14,556 15 154 15,677 16,091 16 154 16,588 South Asia 961 1,071 3,411 1,155 1,074 1,123 1,122 1,112 1,215 1,286 Severely hndebted Middle-Income Countries 25,022 28,010 30,731 28,489 28,660 28,872 26,489 25,132 26,370 25,570 Algeria 3,587 4,616 5,536 4,799 4,547 4,919 5,302 5,398 5,812 5,757 Argentina 1,634 1,772 1,937 2,093 2,029 1,988 1,988 1,847 1,884 1,879 Bolivia . 35 35 27 22 21 21 21 Brazil 7,750 8,291 8,548 7,824 7,796 7,745 7,716 7,242 7,443 7,416 Bulgaria 668 852 806 750 720 743 687 Congo 908 1,066 1,145 847 787 789 770 704 759 723 Cote d'Ivoire 1,595 1,902 2,181 1,895 1,929 1,972 1,902 1,790 1,920 1,887 Ecuador . 137 170 150 119 108 112 128 Mexico 3 638 4,192 4 634 3,665 3,908 3 891 1 297 1,248 1 329 1 438 Morocco 2,105 2,190 2,394 1,926 1,902 2,006 2,035 2,022 2,106 2,116 Nicaragua 65 48 52 53 49 49 50 Peru 548 736 655 656 639 661 664 Poland 1,707 1,640 1,740 1,316 1,300 1,251 1,236 1,219 1,329 1,260 Syr'a 260 346 367 333 256 298 315 302 281 253 Venezuela 1,838 1,996 2,251 2,337 2,366 2,322 2,327 1,823 1,920 1,294 Severely Indebted Low-Income Countries 4,332 4,772 5,251 6,735 6,457 6,419 6,313 6,563 6,714 6,948 Moderately Indebted Low-lncome Countries 2,232 2,560 1,801 2,777 2,544 2,722 2,674 2,692 3,031 3,049 Moderately Indebted Middle-Income Countries 1,739 2,593 3,484 7,034 6,988 7,106 7,371 7,589 7,542 7,673 Other Selected Countries 10,168 10,822 9,855 12,996 12,331 12,762 12,908 13,170 13,777 14,069 Chile 1/ . . 335 313 435 435 409 401 457 China 376 247 . 724 1,105 1,329 1,467 1,611 1,903 2,053 Colombia 1/ 313 275 296 316 295 389 361 Egypt 3/ 2,263 2,422 2,761 2,485 2,366 2,502 2,449 2,518 2,509 2,643 Hungary 1/ . 597 592 611 550 573 518 416 India 2/ 639 772 . 735 693 735 747 733 741 802 Jamaica 1/ 48 . 40 36 31 25 34 24 23 Korea 1,602 1,754 1,996 1,921 1,578 1,697 1,646 1,695 1,834 1,841 Malaysia 678 669 491 375 364 355 315 327 354 Nigeria 3/ 2,036 2,307 2,490 2,012 1,856 1,613 1,509 1,453 1,446 1,438 Philippines 1! 142 Xj:i r97 I I22 972 X42 1,u45 968 987 1, ui Thailand 151 150 116 117 157 127 148 167 187 Turkey 1/ . 1,054 1,002 1,048 1 157 1,380 1,448 1,528 Yugoslavia 1,681 1,600 1,633 1,148 1,049 1,102 1,080 1,038 1,083 953 Offshore Banking Centers 12,040 12,504 20,288 21,772 23,074 27,233 26,258 29,251 31,740 35,028 IOil Exporters 15 398 19 165 21 291 20,991 21 909 22,351 23,176 20,863 20,240 19 421 DRS reporters 8,538 11,125 12,629 12,126 11 ,830 12,122 12,459 11,934 12,211 11,715 DRS Reporting Countries S3,846 54,593 57,056 60,463 60,888 62,333 59,988 58,369 60,582 61,921 * All resident banks. 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Banque de France, Bulletin Trimestriel. Table 11 SWISS COMMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES (in milaions of USS) 1984 1985 1986 1987 1988 1989 1990 Al Developing Countries 13,484 16,835 19,713 24,609 21,948 21,810 25,473 By Geograp&ic Rer Africa, South of the Sahara 1,212 1,388 1,649 1,815 1,771 1,882 2,178 East Asia & Pacific 903 1,163 1,618 1,835 1,589 1,796 2,130 Europe & dte Mediterranean 2,897 4 236 5,390 7,247 7,152 7 567 8,411 Latin America & tie Caribbean 6,022 6,804 6 896 7,442 6,763 6,412 7,901 North Africa & the Middle East 2,287 2,847 3,619 5,446 4,213 3,753 4,279 South Asia 163 396 541 823 461 401 573 Severely Indebted rMidle-Income Countries 5,882 6,833 7,305 8,131 7,316 6,947 8,466 Algeria 171 209 226 392 296 301 338 Arendna 1,120 1,276 1,329 1,512 1,428 1,207 1,414 BoDlvia 22 15 17 20 30 10 12 Brazil 1,630 1,707 1,900 2,402 2,127 2,197 2,862 Bulgaria 126 222 368 450 483 444 482 Congo 7 9 3 2 3 2 2 Cote d'lvoire 90 88 131 121 95 111 104 Ecuador 85 85 49 45 41 72 107 Mexico 1,427 1,744 1,746 1,629 1,403 1,322 1,716 Morocco 80 85 114 130 123 103 151 Nicaragua 14 83 94 92 96 103 110 Pezu 130 205 93 88 191 84 108 Poland 330 407 477 502 372 379 449 Syna, 38 43 41 33 32 35 23 Menez.el. 612 655 718 713 597 579 587 Severely Indebted Low-Income Counties 1,379 1,644 2,016 2,106 1,946 1,892 2,066 Moderately Indebted Low-Income Countries 339 547 742 996 644 625 893 Moderately Indebted Middle-Inhme Countries 2,144 2,538 2,619 3,374 2,947 2,578 3,413 Other Selected Countries 3,501 4,514 4,947 6,018 4,772 4,319 5,791 Chile 1/ 583 544 330 255 249 193 304 China 7 78 20 81 196 276 363 Colombia 1/ 152 148 203 158 190 194 181 Ejypt 3/ 444 535 694 690 564 454 504 lungary 1/ 169 251 249 389 315 297 294 India 2/ 116 327 449 699 336 250 379 Jamaica 1/ 4 22 16 38 4 13 21 Korea 299 368 473 398 247 336 584 Malaysia 156 212 230 174 65 58 79 Nigeria 3/ 271 279 325 466 364 311 320 Philipines 1/ 166 199 185 270 185 199 178 Thailand 72 111 128 206 246 267 401 Turkey 1/ 778 1,075 1,277 1,780 1,479 1,202 1,865 Yugoslavia 283 364 368 415 332 269 317 Offshore Banking Centers 10,310 13,300 19,091 21,028 19,620 18,116 21,133 Oil Exnorters 2,123 2 942 3,949 6,270 5,472 5,992 6,380 DRSreportcrs 1,559 1,696 1,901 2,376 2,017 1,994 2,291 DRS Reporting Contries 15,319 18,201 20,925 24,606 21,431 20,971 25,007 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Banque Nationale Suisse, Les Bancues Suisses. Table 12 ITALIAN COMMERCIAL BANK CLAIMS ON DEVELOPING COUNIS (in millions of USS) 1986 1987 1988 1989 1990 1991Q1 1991Q2 All Devdeping Countries 12,442 13,448 13,642 14,656 16,444 16,052 15,922 By Geographic Reg on Africa, South of te Sahara 837 821 602 680 641 609 808 East Asia & Pacific 163 111 99 58 142 89 114 Europe & the Mediterranean 4,986 5,666 6 377 7,066 7,396 6,745 6,523 Latin Arerica & the Caribbean 4,830 4,915 4,650 4,560 5,637 5,471 5,362 North Africa & the Middle East 1,018 1,014 881 962 858 976 1,042 South Asia 608 921 1,033 1,329 1,770 2,163 2,074 Severey Indebted Middle-income Countries 4,726 6,360 6,091 5,940 7,612 7,461 7,337 Algeria Argentina o1,055 1,311 1,249 1,054 1,710 1,598 1,693 Bolivia I ~ ~~~ ~ ~ ~ ~~~~~~~~ 1 5 5 6 7 Brazil 965 956 932 845 941 964 876 Bulgaria 222 234 323 431 448 458 Congo Cote d'Ivoire 43 42 28 22 43 30 19 Ecuador 186 142 98 135 156 155 142 Mexico 1,452 1,454 1,415 1,442 1,728 1,677 1,620 Morocco 267 362 361 354 327 444 429 Nicaragua Peru 260 213 155 139 118 112 112 LI) Poland 1,197 1,150 1,089 1,548 1,454 1,428 Venezuea 496 460 469 533 605 572 552 Severely Indebted Low-income Countries 130 130 113 202 446 513 789 Moderatdy Indebted Low-Income Countries Moderately Indebted Middle-Income Countries 577 876 989 937 881 785 81S Other Selected Countries 1,091 1,354 1,412 1,493 1,613 1,556 1,835 Chile 1/ 198 169 176 209 219 234 188 ChirA Colombia 1/ 188 186 122 160 97 95 103 Egypt 3/ ungary 1/t. 387 558 471 365 310 342 India 2/ Jamaca 1/ Korea Malaysia Nigeria 3/ 130 130 113 202 446 513 789 Phines 1/ 163 111 99 58 142 89 114 Turke 1/ Yugoalvia 412 371 344 394 344 315 300 Offshore Banking Centers . 12,885 18,493 21,300 20,425 OilEorte67 50er6 582 735 5,565 5,138 5,189 DRS reporters 627 590 582 735 1,051 1,085 1,341 DRS Rqerting Counries 6,595 8,645 8,251 8,399 9,948 9,710 9,946 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-lncome Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Banca d'Italia, Bolfetino Economico. Table 13 JAPANESE COMMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES * (in millions of US$) 1987Q1 1987Q3 1988Q1 All Developing Countries 73,751 75,199 82,711 By Geographk Regn Africa, South of e Sahara 2,878 3,044 3,322 East Asia & Pacific 21,292 21,248 24,971 Europe & the Mediterranean 10,244 11,227 12,014 Latin America & the Caribbean 33,623 33,776 35,617 North Africa & the Middle East 4,053 4,021 4,216 South Asia 1,661 1,883 2,571 Severely Indebted Middle-Income Countries 34,869 35,230 37,183 Algeria 2,695 2,690 2 852 Aentina 5,227 4,982 5,611 BOOlivia 3 2 3 Brazil 9,241 9,132 9,723 Bulgaria 952 1,132 1,172 Congo Cote d'lvoire 154 156 160 Ecuador 801 791 879 Mexico 10,495 11,058 11,372 Morocco 485 471 525 Nicaragua 16 16 15 Peru 337 335 337 Poland 676 674 708 Syria Venezuela 3,787 3,791 3,826 Severely Indebted Low-Income Countries 2,619 2,683 2,914 Moderately Indebted Low-Income Countries 6,756 6,992 8,216 Moderately Indebted Middl-Income Countries 8,692 8,757 9,414 Other Selected Countries 24 170 24,347 28,422 Chile 1/ 1,532 1,570 1,647 China 2,470 3,132 4 578 Colombia 1/ 1,259 1,189 1,216 Eypt 3/ 17 20 20 Hungary 1/ 3,228 3,391 3,643 India 2/ 1,409 1,626 2,190 Jamaica 1/ 17 17 18 Korea 5,720 4,777 5,413 Malaysi 2,949 2,838 3,041 Nigeria 3/ 272 304 297 Philinpirea 1/ 2 340 2,282 2 583 Tbaibind 2,187 2,429 2,929 Turkey 1/ Yugoilavia 770 772 847 Offshore Banking Centers 12,673 15,070 17,447 Oil Expottcrs 11,993 12,550 13,084 DRS reporters 7,800 7,810 7,994 DRS Reporting Coatries 73,372 74,315 82,143 Consolidated claima of Japanese bans and their worldwide operations; Medium and long-term claims. 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-lncome Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: Japan Center for International Finance. Table 14a DUTCH CONMERCIAL BANK CLAIMS ON DEVELOPING COUNTRIES * (in millions of USS) 1987 1988 1989Q2 1989Q4 1990Q2 1990Q4 All Developing Countries 11,772 11,891 12,640 12,795 13,970 15,309 By Geograpbic Reeion Africa, South of te Sahara 961 972 1,004 1,085 1,08S 1,004 East Asia & Pacific 1,262 1,256 1,604 1,517 1,715 2,093 Europe & the Mediterranean 2 467 2 886 2,858 2,953 3 183 3,005 Latin America & the Caribbean 4,739 4,584 5 055 4 968 5,346 6 823 North Africa & the Middle East 1,383 1,293 1,358 1,300 1 572 1,336 South Asia 960 900 761 971 1,068 1,050 Severely Indebted Middle-Income Countries 4,160 4,202 4,184 4,103 4,368 5,849 Algeria 546 512 515 511 516 550 Argentina 1,097 1,079 945 960 1,020 1,107 Brazil 866 850 881 819 948 1,102 Bulgaria Congo Cote d'lvoire Ecuador 238 240 241 264 319 Mexico 943 890 990 995 972 1,697 Morocco Nicaragua 4'- Pem O Poland 312 245 235 210 230 295 Syria Venezuela 396 388 377 368 417 779 Severely Indebted Low-Income Countries 333 265 457 491 476 356 Moderately Indebted Low-Income Countries 970 867 833 897 1,020 1,099 Moderately Indebted Middle-Income Countries . 640 835 1,052 1,133 1,001 Other Selected Countries 333 659 996 1,195 1,272 1,119 Chile 1/ 99 295 428 475 389 Chins Colombia 1/ Hiungary 1/ 295 296 305 309 270 India 2/ Jamaica 1/ Korea Malaysia18 14 Nigeria 3/ 333 265 233 195 189 149 Philippines 1/ Thailand ; . 173 268 298 311 Turkey 1/ Yugoslavia Offshore Banking Centers 9,021 8,416 9,045 10,715 13,044 13,944 Oil Exporters 2,160 2,283 2 312 2 292 2,324 2,482 DRS reporters 1,275 1,165 1,125 1,073 1,122 1,478 DRS Reporting Countries 9,386 9,191 9,930 10,087 11,066 12,179 Consolidated claims; Only partial country breakdown available. 1/ Also included in Moderately Indebted Middle-Income Countries. 2V Also included in Modertely Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. Source: De Nederlandsche Bank, Ouarterlv Bulletin. Table 14b CLAIMS ON DEVELOPING COUNTRIES OF BANKS IN NETIJERLANDS* (in millions of US$) 1984 1985 1986 1987 1988 1989 1990Q2 1990Q3 1990Q4 1991Q1 1991Q2 AN Devdoping Countries S,733 6,155 6,896 9,486 8,174 7,807 7,984 8,387 7,930 8,035 7,594 By Geograpbic Region Africa, South of the Sahara 709 716 703 730 796 693 694 724 East Asia & Pacific 871 878 791 762 922 981 1,108 901 Europe & the Mediterranean 827 1,120 1,301 2 792 2,065 2,218 2,365 2,302 2 189 2,342 2,055 Latin America & the Caribbean 4,328 4,416 5,040 3,379 3,266 2,998 3,025 3,296 3,104 2,928 3,051 North Africa & the Middle East 579 620 555 1,243 743 654 767 741 659 627 556 South Asia 492 506 443 334 332 304 336 308 Severely Indebted Middle-lcome Countries 314 286 341 3,211 2,915 2,607 2,630 2,810 2,562 2,482 2,455 Algeria 488 364 301 275 311 277 232 188 Argentina 905 768 743 723 741 557 628 629 Bolivia Brazil 3 2 . 482 463 433 465 528 536 492 480 Bulgaria 39 26 80 114 Congo Cote d'lvoire Ecuador . 221 212 201 222 212 197 194 Mexico 642 575 498 505 519 534 535 509 Morocco Nicaragua Peru Poland 275 260 261 289 247 180 196 244 230 250 222 Venezuela 292 277 240 265 246 217 147 233 Severely Indebted Low-Income Countries . 283 234 335 339 406 301 292 325 Moderately Indebted Low-Income Countries 768 644 610 601 653 655 719 588 Moderaty Indebted Middle-Inome Countries 97 156 217 478 272 436 500 546 469 47S 364 Other Selected Countries 97 156 217 760 505 569 538 579 459 411 354 Chile 1/ . . 51 56 63 74 68 74 China Colombia 1/ Egypt 3/ Hungary 1 97 156 217 478 272 281 276 304 218 204 153 India 2/ Jamaica 11 Korea Malaysia Nigeria 3/ . . . 282 233 167 156 165 122 102 87 Phil' pins I/ Thaibnd . . . . . 70 49 46 44 37 40 Turkey 1/ Yugoslavia Offshore Banking Centers 6,466 6,000 7,374 9,970 11,107 11,155 10,395 10,378 Oil ExVorters 281 550 605 1,733 1,561 1,646 1,576 1,499 1,334 1,224 1,088 DRSreporters . . . 1,062 874 707 696 722 616 481 509 DRS Reporting Countries 3,163 3,415 6,291 8,159 6,695 6,428 6,687 7,134 6,667 6,704 6,444 * All resident banks; Only partial country breakdown available. 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. ,'.-,... ._ -J*J _7v,mtr Countries. FUNDS RAISED ON INTERNATIONAL CAPITAL MARKETS (ill inillions of US1) 1984 1985 1986 1987 1988 1989 1990 1990Q4 1991Q1 1991Q2 1991Q3 A. All Developing Countries 33,762 32,139 27,930 34,234 31,654 26,123 27,498 6,021 5,796 12,801 8,274 Bonds 3,425 7,295 4,805 4,878 8,719 6,935 6,771 1,449 2,354 3,227 2,935 International 2,392 5,552 2,739 3,397 5,794 4,345 4,823 283 1,339 2,021 2,697 Foreign 1 033 1,743 2,066 1,481 2,925 2,590 1,948 1,166 1 015 1,206 238 Loans 30,337 24,844 23,125 29,356 22,935 19,187 20,727 4,572 3,442 9,574 5,339 International 28 627 23 224 19 844 26 102 19 706 17,975 19,907 4,445 3,344 9,574 5,280 Foreign 1,710 1,620 3,281 3,254 3,229 1,213 820 126 98 . 60 By Geographic Region Africa, Southofi e Sahara 110 491 101 315 170 258 825 155 20 235 75 East Asia & Pacific 10,942 14,368 11,152 10,447 8,623 8 459 13,529 4,718 3,649 5 195 4,609 Europe&theMediterranean 3,061 5,838 10,180 9,979 11,590 10,554 9841 636 1,540 1,644 1,664 Latin Arerica & the Caribbean 16 038 6,366 1,422 10,340 7 284 2 051 1,662 126 347 1,133 1,926 North Africa & the Middle East 2,387 3 931 3 090 830 1,392 2,403 171 4,500 South Asia 1,224 1,145 1,985 2,324 2,595 2,397 1,470 385 240 95 Severely Indebted Middle-Income Countries 15,144 6,242 2,290 10,726 7,161 1,556 1,385 101 351 933 1,896 Algeria 240 1,450 1,345 344 795 397 Arentina . 3,700 17 2,305 14 . . . . . 300 oBo livia Brazil 6,521 350 5,200 100 25 1,012 Bulgaria . 75 45 260 194 580 Congo 13 Cote d'Ivoire . 153 Ecuador . 200 220 32 Mexico 8,110 109 313 7,700 310 985 101 322 933 360 Morocco . 107 . 25 130 6 52 Nicaragua Peru Poland 260 . . 30 . 163 . . 5 Venezuea . 48- 30 828. 348 . 225 Severely Indebted Low-lIcome Countries 81 208 61 120 40 652 439 64 . 170 75 Moderately Indebted Low-Income Countries 2,984 1,626 3,329 4,070 3,603 5,098 6,637 2,463 1,298 1,548 2,460 Moderately Indebted fiddle-Income Countries 3,149 6,796 4,476 5,389 5,536 6,363 3,638 280 255 1,010 1,547 Other Selected Countries 12,749 20,283 15,576 15,758 15,369 13,593 12,276 2,756 2,986 4,597 3,435 Chile 1/ 780 1,085 . 151 . 285 25 China 309 3,245 3,336 4,757 3,846 1,761 1,300 142 1,029 210 524 Colornbia 1/ 364 1,052 240 137 1,000 1,641 . . . 200 Egypt 3/ 48 158 . . 500 Hungary 1/ 1,167 1,642 1,316 1,950 1,016 1,709 991 235 117 186 688 India 2/ 1,050 863 1,796 2,156 2,482 2,047 1,342 285 240 Jamtaica I/ 30 3 Kore 5 338 6 043 3 252 2,788 1,533 1,322 3,963 1,462 891 2,659 722 Malaysia 2,100 1,959 1,204 555 1,133 541 759 379 190 . o0 Nigeria 3/ . . , . ,170 Philipie 1I/ . 925 =ai7nd 1,076 1 638 1,677 463 1,021 1,059 1,401 208 381 548 534 Turkey 1/ 517 1,659 2,755 2,902 3,187 3,013 2,235 20 137 624 829 fugostavia . i4 . 20 Offshore Banking Centers 1,770 2,378 1,661 1,317 1,103 4,038 4,364 1,115 912 651 633 Oil Ex rden 2,895 5 203 4,802 1,504 4,485 3,560 3,714 . . 4,670 225 DRurepo=rte 910 3,029 2,732 640 1,807 797 463 . . 170 225 B. OECD Countries 204,063 228,734 284 633 255,787 324,999 341,669 304,058 81,512 88,267 82 888 86 636 C. Multilateral Institutions 9 812 12 936 8,050 11,872 10 517 12,932 15,037 3,506 4,413 2,065 4,658 D. Other 2,234 3,285 1,733 634 1,128 555 2,249 500 967 799 470 Grand Total * 251,641 279,472 324,007 303,844 369,402 385,316 353,206 92,653 100,354 99,204 100,671 1/ Also included in Moderately Indebted Middle-Incomne Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-Income Countries. * (A+B +tC+D+Offshore banking centers). Source: OrganizAtion for Economnic Cooperation and Development, Financial Statistics Monthly, Part 1. Table 15b LOANS RAISED ON INTERNATIONAL CAPITAL MIARKETS (iU minlions of USS) 1984 1985 1986 1987 1988 1989 1990 1990Q4 1991Q1 1991Q2 1991Q3 A.Lams 30,337 24,844 23,125 29,356 22,935 19,187 20,727 4,572 3,442 9,574 5,339 lFernational 28 627 23 224 19 844 26 102 19 706 17,975 19,907 4,445 3,344 9,574 5,280 Foreign 1,710 1,620 3,281 3,254 3,229 1,213 820 126 98 60 By Ge,grapbk Reio Africa, South o fiesahara 110 491 101 315 170 258 825 155 20 235 75 Asi Asia & Pacific 8,478 9,041 8,560 8,389 6,706 6,909 11,235 3,951 2,724 3,875 4,117 Europe&theMediterrsnean 2,780 5,065 9,069 7,961 6,792 5,996 6,660 180 583 362 1,117 Lctin Anersca & the Caribbean 15,931 6,216 770 9,989 6,447 2,051 989 126 25 508 30 North Africa & the Middle East 2,112 3,304 2,964 746 939 2,244 171 4,500 South Asia 926 727 1,661 1,956 1,881 1,729 847 160 89 95 Severely lndebted Midde-lncomne Countries 15,144 5,693 1,551 10,482 5,888 1,067 712 101 30 308 Alpgria 240 950 1,219 295 362 238 Arse" i 3,700 17 2,110 14 Brazil 6,521 50 2 5,200 100 25 Bulgaria 475 45 260 112 250 Congo 13 Coat d'lvoire 153 Ecuador 200 220 32 Mexico 8,110 60 7,700 310 480 101 308 Morocco 107 25 130 6 52 Nicaragua Peru Poland 260 30. 163' 5 V7enezuel 48 30 70. 180. Severy Indebted Low-lncome Countries 81 148 61 120 40 652 439 64 170 75 Moderatdy Indebted Low-licoene Countries 2 636 1,208 2,705 3 677 2,668 4 255 5 485 2,238 947 1,488 2 ,40 Moderatery Indebted Middle-Income Countries 3,108 6,286 3,979 4,473 3,560 4,223 2,030 45 137 562 1,000 OlthrSekeetedCountrics 10,038 13,988 12,517 12,462 11,015 9,646 8,280 1,528 1,993 2,964 2,436 Chile 1/ 780 1:,085 . 151 . 285 25 China 227 2,272 1,974 3,222 2,935 610 1,300 142 1,029 210 378 Colombia I/ 364 1,052 201 87 1,000 1,:641 .. 200 .Xypt 3/ ~~~48 98 .. 500.. ungaryI/ 1,126 1,195 1,025 1,396 200 765 44 141 India 2/ 752 445 1,472 1,809 1,768 1,379 719 60 89 lamnaica I/ 2,49 30 A 30 Korea 4 282 4,312 2469 2,506 1,403 994 2,447 694 356 1,474 416 Malaysia 1,150 218 1,161 339 772 112 559 3717 108 Nigeria 3/ 170. Philiines 1/ 79 925 Thailad! 792 776 1,627 463 759 827 1,351 208 381 548 534 Turkev 1/ 517 1,596 2,588 2,590 2,027 1,817 1,575 20 137 362 829 Yugovia 14 20 Offshore Banking Centers 1,484 1,976 1,032 1,025 778 3,839 4,231 1,057 837 615 633 Oil Exportr 2,563 4,577 4,676 1,349 2,882 2,509 3,248 4,670 DRS reporters 778 2,403 2,606 485 537 638 295 170 B. OECD Countries 82,166 81,766 72,933 90,763 115,069 103,523 100,710 31,529 15,620 17,455 16,836 C. multilateral Institutions 1,949 2,196 863 1,644 2,498 2,614 443 75 401 72 16 D. Other 1,012 1,078 687 342 978 365 379 482 130 156 Grand Toalr 116,948 111,860 98,640 123,130 142,258 129,529 126,490 37,233 20,781 27,847 22,965 1/ Also included in Moderately Indebted Middle-Income Countries. 2/ Also included in Moderately Indebted Low-Income Countries. 3/ Also included in Severely Indebted Low-lncome Countries. * (A+B+C+D+Offsborebbankinrg cbnters), -~~~~~4 _ -. r iMevrbnn :nancial Statistics Monthiv _Part 1. Table 16 SECONDARY LOAN PRICES 1/ (in pement of face value) 1989 1989 1989 1990 1990 1990 1990 1991 1991 1991 1991 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Severely Indebted Middle-lncome Countries* 31 31 26 22 23 22 26 28 34 38 33 Algeria 74 80 81 82 81 81 80 79 84 86 91 Argentina a/ 14 18 13 11 14 13 20 17 27 39 35 Bolivia I11 1 1 1 1 1 1 12 1 1 1 1 1 1 1 1 9 10l Brazil b/ 31 28 22 24 24 22 25 27 34 36 29 Bulgaria 5 9 15 21 17 Congo 15 15 10 9 8 8 8 7 4 Cote d'Ivoire 14 6 6 6 4 2 3 6 7 8 8 Ecuador c/ 12 16 14 15 16 17 20 26 22 26 22 7 Mexico d/ 40 41 36 40 43 43 46 53 56 60 59 Morocco 43 45 38 39 44 38 39 44 48 53 46 Nicaragua I I 1 3 4 4 4 2 4 9 7 Peru 3 5 6 5 4 4 4 3 7 17 11 Poland e/ 37 33 18 14 15 13 16 27 29 26 22 Venezuela f/ 37 40 34 40 45 49 50 56 62 70 64 4s Other Selectd Countries Chile 62 61 59 66 66 72 74 85 88 88 89 Costa Rica g/ 14 17 17 21 36 32 34 42 47 52 50 Egyp1 39 40 40 42 43 43 43 45 45 46 H onduras 16 19 20 21 19 19 19 18 20 20 22 Hunjarqy 99 98 83 85 85 85 85 73 65 Philippines h/ 49 49 49 49 52 36 37 48 50 54 49 Senegal 47 47 39 32 36 32 32 33 42 41 38 Uruguay i/ 55 55 50 45 49 46 57 52 59 70 70 I/ Bid Price. a/ GRA (1987 Guaranteed Refinancing Agreement). b/ MYDFA (Multi-Year Deposit Facility Agreement). c/ MYRA (Multi-Year Refinancing Agreement). d', PrcarFcr;'990 rterlo to par borws ofL e.w usucr B^auy "Hunuisa. e/ DDRA (1988 Debt Deferral & Restructured Agmement). f/ Prices after August 1990 refer to par bonds offered under Brady Initiative. / Prices after May 1990 refer to Series A par bonds offered under Brady Initiative. Public Sector Restructured including Central Bank of the Philippines. Pies after January 1990 refer to restructured loans offered under Brady Initiative. i/ Prices after December 1990 refer to par bonds offered under Brady Initiative. */ Weighted by commercial bank debt outatanding (Syria is not included in these calculations). Sources: Salornon Brothers and Euroweek. QUARTERLY REVIEW GROUPS AFRICA, SOUTH OF THE SAEARA Afice (S) 0th & UMN A UMil Ah,ol Bei. Pp's Rap. of 8otaw Burk F"o Burndi Cmatorow. Cu.. Vod. OMr Ariout R 4pshli Clmd Cranor Coa Cow d'Fvi, Rep. of Dqiboil Eaa AMice Cm. Eqawr Ga m E1do Gpb- M,_ Tlb Ghm im Gt.ioMa-Dumau lCmq.a l.oGb_ KaP L _l Magmmmur MbiiA MNlW Ma.at. mmaiti. Mayow Moaaw Nmlbia Ni*c Nipw Olhor RRn Ra Sa TOM a Pp 51ig| ScYlsma Shr Loon S-Lia St. Hun & Dep. SuItn Swaziland T_ma Togo Ugwa Utlloo EAMA )A ) Uinpocifad Afra Zair Zambia Zho l EAST ASIA AND PACIC Bnaoi Cldu Cook blood Fr E_a Oth Ull Fiji Frh Paobinal Gilbtao b1olwa1 ba Bwia Kaopua. DaoI Kora, D.P.R. of Koa, R hlic of lao P.D.R. Mblyai Meb-g Dolts Poaj M agoli Nouru, Rep. of New Culedoia (Fr.) Na Island Owmoi 0th a unto Odor Pacific babds (US) Papy New Gm Phil Soklur libsi.i Tbhllod Tobola. lalad Tw Tuu Vat N.n Wall a Futun Waou Sa o EUROPE AND THE MEDrrERRANEAN Albatia Bulgria Cyprus Cl.rb-m" AtO Oth A UMl Gibrltur Greeca Humpry Malta Otbor Ea EBto| Poland PooJa R .omala Turly U.S.S.R. Yugolav m LATIN AMERICA AND THE CARIBBEAN Arpuia Ama (N) 0th A UaU Am_ia (S) 0th A Umhl Anguilla Atig- Cokmbi BDaia Boliria Brazil Chilk Ecador Coats Rima Cda Dominic DCin Rep. Guatmnia EL Salador Fallda blaod. Grada Gu0lwdatpa la_k G'im (Fr.) Guya Haili H1xu Paauy MaoruniqLa Maxim Mowarnt Ni a Sm. ciambor PeU SL. LAcia St. Viaom St. Pia &M .f Utelloc DOMfrOM (AM) Stium TriL4ad & Toba Turbo A Cain Uhioo DOM (AM) V .ujn blands (Br.) Umpadrad Arwiw U epaild Latin Araks Urnguy V sainla l NORTH AFRICA AND THE MIDDLE EAST Aftuamista, Algoel Egpt, Anb Rap, of Ir1., Ilamic. Rop. of Inq uri Jordan Kuwait Libya rono Otbar M. Edm Other Oi Epoaars Moroo Qatar SA Arbia Syrian Ab RaP T isia Unitd Anb EFiaa UqpaUd Aflio Ya. Rap. of SOUTH ASIA Bnglam BiA &Wm Ialalh MaMma Noal Pakistan S. Asia Oh A Unol. Sri L1 UapmiAd Asis SEVERELY IDiEBT'ED MDDLE INCOME COUNTRIES (SIMICS) AIgOI. Argvoi Bolivia Brazil Bularia Coutp Coa d'hvit., Rap. of Erdo M_eio Morocco Nieuax Paeu Polhd Syrian Aab Rep. Voasea SEVERELY INDEBTED LOW INCOME COUNTRES (SIUCS) Buni" Egpt, Arab Rep. of Eatodi G ERh11i Gbm Goona Guines-Bissau GWe iondr Kams Juaiak Madma Makwi Maurit 'd Mo|mwhl Myi Ni4 Niaria Sa The A Pip Stom L S _mala S5da To_mea Upoa Zaire MODERATELY INDEBTED LOW-INCOME COUNTRIES (MIUCS) Bmaad-h Bonin. PFepis Rep. of Casual A trln Rap. Como" hIda lediDnua Malu Paista Rwnda Sri a Toga MODERATELY INiDEBTED MIDDLE-INCOME COUNTRIES (MIMICS) An C Cil Coksm*k Comst Rik DCmide Rmp. El SaGmdo G 1_ Hamlaizp Jamb loatde lbIpm Samo gaI Tummy Unugy Ymem., Rep. of OFFSHORE BANRING CENTERS Ba B arbodra Baeods Calm bimod H-ag K-g bLbed, bom Math. AndlbM o Pm Sloppos VuhV Wat indin MR) OIL EXPORTERS A AnUgol Brnui Cga Goba Gibaltar ira, hlm.a Rap. of Iram LAbya N4d% Oe Oftb, Mid Ea OtUar, Oi Expmo Qtar Saudi Abia T Adad A T db. U imd Arab FIrate. U.S.S.R. V _Mma OI EXPORTER DRS REPORTERS Agoit Avgo COW Gabon rabn, 1,o Rep. of Nigela Om Triad A Tobg Unised Aab 1_irate Vmula 45 REGULAR EXTERNAL PUBLICATIONS INTERNATIONAL ECONOMICS DEPARTMENT (IEC) THE WORLD BANK Global Economic Prospects (GEP) - Annual: Analysis of evolving trends in the world economy, discussion of the medium-term prospects for developing countries, and an in-depth treatment of different aspects of the economic links between industrial and developing countries. 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