Corporate bond sales also got a boost this month from record issuance of riskier debt by banks to buffer their capital and allow more lending.from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/SWivDVk
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It appears that top banks are competing to become the top issuer of bonds, likely due to an increase in demand for credit. Bonds are a type of debt security that are issued by companies, governments, and other organizations to raise capital. They pay periodic interest to bondholders and return the principal when the bonds mature. Banks may issue bonds as a way to raise funds for their own operations or to provide a source of financing for their customers.
An increase in demand for credit could be driven by a variety of factors, such as economic growth, rising consumer spending, or an increase in borrowing by businesses. This increased demand for credit can create opportunities for banks to issue more bonds and potentially generate more revenue. The banks that are able to successfully issue the most bonds may be seen as having strong creditworthiness and may be able to attract more customers and investors as a result.
