Global financial turmoil impacts Euro 2012 preparations
"Even issuing regular bonds face the demand barrier stemming from the panic on the financial markets. The crisis related to sub-prime credits caused investors to locate their money in the most liquid and safe assets," said Krzysztof Kalicki, president of Deutsche Bank Polska (DPB).
The public sector is still popular, but it needs to find tricks to find buyers for its debentures. "It is not easy to obtain funds for projects which carry large financial risks. This is the case for each of the stadiums. [...] Even with simple investments which face no problems with obtaining financing, one has to face higher margins," said the CEO.
Costs have gone up substantially with six- or ten-fold higher spreads than last year. DBP is disappointed with lower than anticipated number of projects related to Euro 2012 due to high politicization of the local governments.
Source: Puls Biznesu (M.M.)
The public sector is still popular, but it needs to find tricks to find buyers for its debentures. "It is not easy to obtain funds for projects which carry large financial risks. This is the case for each of the stadiums. [...] Even with simple investments which face no problems with obtaining financing, one has to face higher margins," said the CEO.
Costs have gone up substantially with six- or ten-fold higher spreads than last year. DBP is disappointed with lower than anticipated number of projects related to Euro 2012 due to high politicization of the local governments.
Source: Puls Biznesu (M.M.)
