(Bloomberg) — Poland is the latest emerging-market sovereign to return to international bond markets since the start of war in Iran, selling $6 billion of dollar-denominated bonds Tuesday.
The government priced $1 billion of five-year notes and $2.5 billion each of 10- and 30-year bonds. The longest maturity will yield 1.30 percentage points over US Treasuries, around 0.30 percentage point tighter than initial price talk, according to a person familiar with the matter who asked not to be identified.
Poland returned into foreign-debt markets after the outbreak of war in the Middle East in late February halted a rally in EM assets and stoked global volatility.
The move follows Poland’s sale of €3.25 billion ($3.76 billion) in euro-dominated notes in January and ¥211.6 billion ($1.3 billion) of Samurais in February. The country plans to issue the equivalent of €10 billion to €12 billion in foreign bonds this year.
The sovereign’s last dollar-denominated deal was in February 2025, when it sold $5.5 billion in five- and 10-year notes. The yield on that bond notes due in 2035 stands at 5.11%, up from 4.72% just before the outbreak of war but below last month’s peak of 5.23%.
Poland, which has negative outlooks on its investment-grade credit scores from the three leading rating companies, recently cut taxes on fuels to prevent the spike in oil prices reviving domestic inflation pressures. It also reduced the supply of local-currency bonds at auctions last month.
Citigroup Inc., Goldman Sachs Group Inc., JPMorgan Chase & Co. and Societe Generale SA managed Tuesday’s bond sale.
–With assistance from Hannah Benjamin-Cook.
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