Jordan to issue external bonds up to 1.5 billion dollars

Jordan government is seeking to borrow between 750 million and 1.5 billion dollars by issuing "external bonds" to fund state budget, Finance Minister Suleiman Hafez said. The minister said the government would plan to pay the debt back in 10 years and would prompt more private sector borrowing. Ministry of finance invited interested parties to manage the bond issuance, with several offers already on the table. The move has alerted economists of potential risks to the kingdom's economy due to the high interests the country has to cough up. Standard and Poor's and Moody's lowered the Kingdom's foreign currency government bond rating twice in 2011. But the government argues that with interest rates in international markets at low levels issuing external bonds would be more beneficial than delaying new borrowing