Thai bond market update 25apr16

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THAI BOND MARKET WEEKLY REPORT Public Debt Management Office, Ministry of Finance, Kindom of Thailand Contact : Bond Market Development Bureau (02-271-7999)

HighLights

ติดตามผลการประชุมของ BOJ และ FED ทีจ่ ะมีขน ึ้ ในสัปดาห์นี้ โดยคาดว่า BOJ จะดาเนินโยบายแบบผ่อนคลายการเงินมากขึน ้ และ FEd จะยังคงอัตราดอกเบีย ้ ต่อไป เนือ ่ งจาก เศรษฐกิจยังไม่ฟื้นตัวอย่างทีค ่ าด

April 25, 2559

Malasia Development berhad (1MDB) ประกาศผิดนั ดชาระดอกเบีย ้ พันธบัตรเนือ ่ งจาก บริษัทกองทุนเพือ ่ ความมั่งคัง่ ของอาบูดาบี (IPIC) เป็ นนายประกันให ้ 1MDB ทัง้ นี้ 1MDB เป็ นบริษัทลงทุนเชิงกลยุทธ์ ทีม ่ ก ี ระทรวงการคลังมาเลเซียเป็ นเจ ้าของยืนยันว่า IPIC ต ้องเป็ นผู ้ชาระหนีภ ้ ายใต ้ข ้อตกลง Debt Swap ส่งผลงให ้สกุลเงินริงกิตของมาเลเซียร่วงลง 0.7% และคาดว่าส่งผลต่อความ

น่าเชือ่ ถือในตราสารหนีข ้ องมาเลเซีย

Inflation Rate

MACRO DATA

Inflation Rate Core Inflation Nominal Inflation Forecast

Policy Rate

YoY(%)

MoM(%)

2013 2014 2015

Source : MOC As of Mar 2016

Avg. Selling Rate (THB)

Currency

Thai Policy Interest Rate YTD

35.2212 50.6975 39.9668 32.3764 5.4733

USD GBP EUR JPY CNY

Source : BOT As of Apr 2016

2.90 0.70 2.80

GDP Forecast 2016

1.50%

-2.6% -4.7% 1.8% 7.6% -1.2%

Next Meeting:

3.10 2.8-3.8 3.80

BOT NESDB FPO

11-May-2559

OIL (USD/Barrel)

45.11 43.73

BRENT WTI

Last Update : 25-Mar-2016

PRECIOUS METALS (USD)

1,230.00 16.90

GOLD SILVER

As of 25-Apr-2559

Source : BOT

1,423.90 17,572.49 17,541.96 2,091.48 10,435.73 21,316.47 6,381.44

SET NIKKEI DJI S&P500 DAX HS FTSE100

Source : NESDB

Major World Currencies

176.70

EQUITIES

YoY(%)

0.50% 0.50% 0.00% -0.10%

American Interest Rate (Fed) British Interest Rate (BoE) European Interest Rate (ECB) Japanese Interest Rate (BoJ)

0.75 0.01 -0.46 0.21 0.10 - 1.00

INT'L RESERVE THAI (b.USD)

GDP Growth

Source : Bloomberg

25-Apr-2559

PUBLIC DEBT DATA GOVT Debt Securities

Public Debt %

Mutual Funds 2%

6,005,787.17 THB Mil. Oustanding Debt

17%

1,044,482.35 420,286.39 624,195.96

SOE -G - NG

Total

Financial Institution 3%

Bot 6%

9

8%

NR 14%

-2,608.22

17,430.10

1%

4.31

100%

25,126.50

7

Contractual Funds 27%

6

Duration

3.84

Nominal Cost of Debt

4 3

Insurance Company 27%

2

ATR

MW Duration

Source : BOT as of Feb 2016

Nominal Cost of Debt Source : PDMO as of Feb 2016

GOVT Bond Auction Schedule Q2/FY2016 Domestic Bond Market Classified by Issuer

140%

6.22

5

Bond Market Cap. % Share of GDP

8.93

ATR

ATM

Source : PDMO as of Feb 2016

9.44

ATM

8

Depository Corporation 14%

-134.68 510.67 -645.35

6,005,787.17

Others

10

-238.29

17% 7% 10%

528,522.96

SFIs

28,103.38 26,743.00 1,360.38

ATM, ATR, Duration, Nominal Cost of Debt Government Debt Portfolio

Year / %

Non- profit organization 1%

Household 5%

(THB Mil.)

57% 56% 2%

991,470.11

FIDF

Other 1%

Chg. from Dec-14

%

(THB Mil.)

3,423,881.65 3,338,010.86 85,870.79

GOVT - Domestic - Foreign

GOVT Debt Portfolio

Classified by Type of Investors

44.13%

Jan-14 Feb-14 Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16

Debt to GDP =

128%

Spread over T-1 Date

Tenor (Year)

Symbol

10 50 20 15 5 30 10 50 15 10 5 30 10

LB25DA LB666A LB366A LB296A LB206A LB446A LB25DA LB666A LB296A LB366A LB206A LB446A LB25DA

Auction Amount (THB Mil.)

Baht Bond 1%

120%

Total Allocated CB+NCB (THB Mil.)

Allocated CB (THB Mil.)

greenshoe

NCB (THB Mil.)

BCR

AAY (%)

1.42 3.59 1.51 1.43 5.10 2.62 2.87 3.21 2.53 2.79 1.40 2.12

2.6207 3.7590 2.9867 2.6938 1.6393 3.1589 2.0340 3.2490 2.0213 1.3694 2.1708 1.6891

Spread (bps)

Min. (bps)

Max. (bps)

100% 100%

99% 80%

75 %

60% 24%

40%

20% 12%

2,526,210 THB Mil

Asian Fin. Crisis

783,178THB Mil.

1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Oct-15 Nov-15 Dec-15

0%

Corp Bond 24%

Bank Loan /GDP

Equity/GDP

Bond Market / GDP

BOT Bond 27% 2,823,170 THB Mil.

6-Jan-16 13-Jan-16 20-Jan-16 27-Jan-16 10-Feb-16 17-Feb-16 2-Mar-16 9-Mar-16 16-Mar-16 30-Mar-16 5-Apr-16 5-Apr-16 20-Apr-16

14,000 10,000 10,700 10,000 24,000 10,000 13,000 10,000 10,000 10,000 24,000 10,000 16,000

14,000 8,325 10,700 10,000 18,900 9,500 13,000 8,000 9,600 20,000 8,518 16,000

14,000 10,000 10,700 10,000 23,779 10,000 13,000 10,000 10,000 20,000 10,000 16,000

3,779 436 -

1,675 1,100 500 2,000 400 1,482 -

-2.56 -11.18 -7.80 +4.38 -2.36 -18.80 -2.74 -25.13 -3.683 0 -0.07 -20 +1.3

BOT vs GOVT Bond

10%

GoVT Bond 39 %

≤1

-1.83 -10.38 -4.47 +7 -1.89 -16.69 -2.74 -22.33 -2.81 0.00 -0.30 -5.63 +0.536

Source : ThaiBMA

Maturity Profile

73%

-6.63 -14.08 -11.47 +2 -2.79 -21.19 -2.74 -30.73 -6.41 0.00 -0.10 -25.63 -0.764

16%

27%

17%

24%

1<yr≤3

3<yr≤5

5<yr≤10

33%

Top 5 Most Active GOVT Bond No.

Symbol

Outstanding Value (THB Mil.)

4,038,399 THB Mil.

10<yr≤50

Source : ThaiBMA as of Apr 22th, 2016

1 2 3 4 5

Total Trading Value (THB Mil.)

301,994 153,118 306,104 218,683 177,854

LB196A LB206A LB21DA LB176A LB25DA

407,764 404,775 375,932 246,121 230,450

% of

Total Trading value

T/O (เท่า)

17.03% 16.91% 15.70% 10.28% 9.63%

1.35 2.64 1.23 1.13 1.30

Source : ThaiBMA (As of Apr 22th,2016 )

GOVT Yield Curve Movement MPC

5%

3 yr

5 yr

10 yr

20 yr

50 yr

3.16% 50-yr 2.29% 20-yr

4%

3%

2%

MPC 1%

1.5%

1.81% 10-yr 1.53% 5-yr 1.41% 3-yr


BOND Forign Yield

SWAP Interest Rate Swap IRS

3.00%

THAI

1-yr

2-yr

5-yr

7-yr

10-yr

US

%

0.81

0.93

1.28

1.48

1.72

EU

%

-0.12

-0.12

0.06

0.29

0.61

JAPAN

%

-0.05

-0.12

-0.07

0.02

0.14

THAILAND

%

1.57

1.60

1.92

2.11

2.32

1-yr

2-yr

5-yr

7-yr

2.50%

US 2.00%

UK 1.50% 1.00%

EURO

0.50%

Cross Currency Swap CCS

JAPAN 0.00% 3m

6m

2-yr

5-yr

10-yr

30-yr

10-yr

THB/USD

%

1.560/1.510 1.550/1.480 1.490/1.340 1.530/1.380

1.485/1.335

EUR/CBS

Mid

-0.30

-0.35

-0.42

-0.44

-0.48

JPY/CBS

Mid

-0.55

-0.66

-0.88

-0.92

-0.87

10-yr (bps)

-0.50% US

-1.00%

UK

EURO

JAPAN

Thailand

3M

6M

2yr

5yr

10yr

30yr

US

0.24%

0.40%

0.75%

1.38%

1.63%

2.50%

Credit Default Swap CDS

6M (bps)

1-yr (bps)

2-yr (bps)

5-yr (bps)

7-yr (bps)

UK

0.29%

0.42%

0.54%

1.01%

1.65%

2.46%

US

21.08

21.60

22.20

24.07

32.65

43.08

EURO

-0.59%

-0.53%

-0.49%

-0.29%

0.30%

1.02%

UK

15.30

16.69

22.55

40.70

56.13

71.32

JAPAN

-0.34%

-0.30%

-0.24%

-0.21%

-0.06%

0.37%

JAPAN

7.40

11.68

17.69

47.45

57.17

76.69

THAILAND

1.35%

1.36%

1.40%

1.53%

1.81%

2.54%

THAILAND

28.80

30.48

50.16

125.99

161.69

th

181.45 th

Source : ThaiBMA , Bloomberg (As of Apr 22 , 2016)

Source : Reuters , Bloomberg (As of Apr 22 , 2016)

Non-Residence Trading NR Holding Weekly

Peers Comparison

THB.Mil.

Percentage share of Non-resident Holding in Local Government Bond

350,000

Indonesia

40%

2016

300,000

38.40% Dec’ 15

Malaysia

250,000

93,249

31.70% Dec’ 15

30%

200,000 84,003

150,000

GOVT Bond 7,026THB mil.

23,052 100,000

196,463 129,454

50,000

0 -22,494

30,216 -2,793

Thailand 20%

13.6% As of Apr'16

117,144

96,738

80,737 21,608

29,642

-1,598 -7,506 -53,807

-50,000

Korea

210

4,919

-27,157

7,026

6,087

9.96%

10%

-26,334

Sep’15

Japan

-18,866

-71,124

BOT Bond -26,334 THB mil.

-100,506

9.77% Sep’ 15

-37,994

-100,000

Mar-08 Jun-08 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Mar-11 Jun-11 Sep-11 Dec-11 Mar-12 Jun-12 Sep-12 Dec-12 Mar-13 Jun-13 Sep-13 Dec-13 Mar-14 Jun-14 Sep-14 Dec-14 Mar-15 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16

0%

-150,000 Jan 2007

2008

2009

2010

2011

2012

2013

2014

Feb

2015

Mar

Apr

2016

Source : PDMO (As of Apr 22th, 2016)

Source : PDMO (As of Apr 22th, 2016)

BAHT BOND

75,649 HB Mil.

THE OUTSTANDING BAHT BOND Classified by issuers based on TTM

CLMV

Non-Gov’t

37

8%

%

Non-Gov’t

(6,500 THB Mil )

28,090 THB Mil.

.

8

%

Government

THB Mil.

25Government %

30000

IFIs , International Credit Rating & CGIF

(6,500 THB Mi ) l.

29

IFIs , International Credit Rating & CGIF

(21,590 THB Mil.)

30

%

%

67

(23,066)

ADB AFD

(21,590 THB Mil.)

MHBK

%

20000

63% 13

KEXIM

17

%

%

10000

(9,584) ADB AFD CBA

0

8

7

%

%

KEXIM

(6,330) Hana

(5,668) CITI

NOBLE

11

(10,000)

WOORI

Lao PDR (Gov,t)

Lao PDR (Gov,t)

2016

2017

Lao PDR (Gov,t)

EDL-Gen Lao PDR (Gov,t)

2018

2019

(8,000)

%

(5,701) KEXIM CABEI

WOORI WOORI

CABEI

%

8

2

4

(2,800)

(3,000)

KEXIM

EDL-Gen

%

%

Lao PDR (Gov,t)

EDL-Gen Lao PDR (Gov,t)

KEXIM

2020

2021

2022

(1,500)

KEXIM

3

2023

%

2024

Lao PDR (Gov,t)

2025 th

Source : PDMO (As of March 30 , 2016)


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