Capital flows to Latin America and the Caribbean: 2022 year-in-review and early 2023 developments

Latin American and Caribbean issuers placed US$ 64 billion in bonds on international bond markets in 2022, the smallest annual amount since 2008. In January 2023, sovereign and corporate bond issuers from the region placed almost US$ 17 billion in international bonds, a sizable improvement from the last few months of 2022, but a weaker January issuance than in previous years. The region’s international bond issuance of green, social, sustainability and sustainability-linked (GSSS) bonds followed the broader market trend of declining bond activity owing to worsening macroeconomic conditions. The region issued US$ 20.5 billion of international GSSS bonds in 2022, down 56% from 2021, but still the region’s second highest annual GSSS volume ever issued on international markets. Capital flows to Latin America and the Caribbean: 2022 year-in-review and 2023 early developments presents and analyses the main trends and developments concerning capital flows to Latin America and the Caribbean in 2022 and the beginning of 2023. This report is published by ECLAC three times a year and provides an overview of the region’s new international bond issuances, including GSSS bonds, as well as looking at bond spreads and credit ratings.