Great Demand for Polish Sovereign Bonds

Businessn.a. ♦ Published: August 18, 2012; 20:10 ♦ (Vindobona)

Last week, the interest rate on Polish sovereign bonds fell to a all-time low of four percent. However, a trend reversal is not unlikely.

Great Demand for Polish Sovereign Bonds / Picture: © Vindobona.org

For Polish investors, domestic sovereign bonds are becoming less interesting. The yield on money market deposits is higher. By contrast, foreign investors tend to increase their exposure in Polish sovereign bonds. Compared to other save European countries, the yield on Polish sovereign bonds is relatively high. Moreover, Poland has the best economic outlook in…