OTTAWA (Reuters) - Canada plans to issue a U.S. dollar bond later this week to provide funds to supplement and diversify the country’s foreign exchange reserves and to meet foreign currency requirements, Finance Minister Jim Flaherty said on Monday.
The issue will be “subject to market conditions”, Flaherty said in a statement. No further details were provided.
The issue is expected to be a five-year U.S. dollar global benchmark, Thomson Reuters IFR reported, citing a manager involved in the transaction. It added that Bank of America Merrill Lynch, Deutsche Bank, HSBC and RBC Capital Markets are joint-lead managers.
Canada also issued a U.S. dollar global bond in August, 2009.
Reporting By Louise Egan; With additional reporting by Jennifer Kwan in Toronto; Editing by Jeffrey Hodgson