Latest News

Global corporate bond markets reshaped by AI debt sales

Published

4 months ago

June 1, 2026

Bilal

Big Tech bond offerings from Europe to Japan and Switzerland show smaller markets, traditionally dwarfed by the U.S., can flex their muscles in the $40 trillion corporate debt sector.

Google-parent Alphabet (GOOGL.O) is already one of the largest outstanding borrowers in the sterling and Swiss franc corporate bond markets, while Amazon (AMZN.O) raised 14.5 billion euros ($16.88 billion) in March from an eight-part deal, the biggest ever in the euro corporate bond market, LSEG said.

The debt issuance by so-called “hyperscalers”, or Big Tech, outside the United States is part of a campaign to diversify funding early as they plan to finance trillions of dollars of investment in AI infrastructure, mainly data centres, in the years ahead, bankers say.

Companies can also hedge their currency risk on global assets by issuing debt in foreign currencies, benefiting from relatively cheaper borrowing costs in regions like Europe.

Alphabet broke records across markets, with its yen, Canadian dollar, Swiss franc and sterling deals all breaking borrowing marks in respective currencies.”If you fast forward 12 months looking at the pace of investment of these companies, some of these companies are going to be already among the biggest issuers globally in any currency,” said Giulio Baratta, co-head of investment-grade finance at BNP Paribas.

Meanwhile, Alphabet and Amazon have helped increase borrowing by non-financial U.S. corporations in Europe to above 60 billion euros ($69.85 billion) this year, another record.

DEBT SALES RECORD

Morgan Stanley forecasts euro debt issuance from the hyperscalers to hit roughly 50 billion euros in borrowing this year, a move that could help the U.S. edge past France as the largest provider of overall corporate debt in the euro zone.”A lot of these markets, including euro, have evolved and now provide a lot more depth and opportunity for larger capital raising than was historically the case,” said John Servidea, global co-head of investment grade finance at JPMorgan, which guided recent offers for the two hyperscalers.

Hyperscalers sold a record amount of international non-financial corporate bonds this year in markets such as the Swiss franc and yen, LSEG tracked.

The capacity for U.S. companies beyond the hyperscalers to raise considerable amounts of money in such markets has not gone overlooked, Servidea added.“They’re definitely looking at other markets more seriously than they would have done before.”

On a broader basis, currencies such as the Australian dollar and Hong Kong dollar have also seen an increase in borrowing as global corporations diversify their funding sources.

Meanwhile, amid international tensions and policy uncertainty, investors are turning to diversification away from the U.S. currency.

BUILDING UP EXPOSURE TO AI

Hyperscalers’ non-dollar issuance has doubled to 30% of their total bond funding this year, Bank of America said.

“It means that Big Tech can go longer periods between taps of the U.S. market and borrow at rates that are in some cases cheaper than the U.S. dollar market, or at least similar,” Servidea said in an email.

Heavy borrowing can weigh heavily on a borrower’s bonds, and experts see indicators of hyperscalers underperforming the U.S. corporate bond market. If you visit it less often, that can assist to lessen the hit.

BNP Paribas, which also arranged deals for Alphabet and Amazon, said the companies were mainly holding the cash in the currency they are raising rather than converting them back to dollars.

As for investors, they are seeking to gain exposure to the AI theme in the international bond markets where technology brands had a limited presence before.

Nicolas Forest, chief investment officer at Candriam, is one example who is buying into the euro offers from hyperscalers to increase exposure to the IT industry in the European bond market.

By the end of April, one round of issuance had seen Alphabet replace the UK’s Prudential as the fourth-largest borrower in ⁠ICE BofA’s pound corporate bond index and the sixth-largest in Swiss francs.

As tech issuance increases, corporate bond markets outside the U.S. will be more exposed to tech trends, for better or worse.“If there are problems with (AI), it will probably create more volatility,” said David Zahn, head of European fixed income at Franklin Templeton.

Latest News

Maryam inaugurates 5 road projects under Punjab PPP Authority

Published

21 minutes ago

October 4, 2026

Bilal

– Punjab Chief Minister Maryam Nawaz Sharif has digitally inaugurated five road projects under the Punjab Public-Private Partnership Authority, with the management and operation of the five roads handed over to the private sector.

The transfer of the projects under the Punjab Public-Private Partnership Authority is expected to generate Rs22 billion in revenue for the Punjab government. Modern electronic toll plazas will also be established on roads shifted to the PPP model.

The projects include the 80-kilometre Muridke-Narowal Road, 33-kilometre Shakargarh-Narowal Road and 97-kilometre Faisalabad Ring Road. The 52-kilometre Faisalabad-Sahianwala Road and 56-kilometre Faisalabad-Samundri-Rajana Road are also part of the PPP projects.

Under the arrangement, private contractors will collect tolls linked with the National Highway Authority for seven years, while the private companies will also be responsible for maintenance, construction and repair of the respective roads.

Vice Chairperson of the Punjab Public-Private Partnership Authority and Senior Minister Marriyum Aurangzeb briefed the meeting on the projects. She said projects involving hostels, hospitals, parks, sports grounds, waste-to-energy facilities, parking plazas, tourism, water supply and recycling were also in the pipeline under the PPP authority.

Effluent treatment plants for filtering toxic industrial wastewater, as well as Zarrar Cafe, tourism and food street projects, will also be completed under the PPP model.

The processing time for projects under the Punjab Public-Private Partnership Authority has been reduced from less than two years to six months.

Four more roads in Punjab will be shifted to the PPP model, including the 42-kilometre Bahawalpur-Yazman Road, 43-kilometre Yazman-Ahmadpur East Road, 28-kilometre Raiwind-Changa Manga Road and 26-kilometre Gajjumata-Kasur Road.

Water and sanitation services projects in Chakwal and Kasur will also be completed under public-private partnerships. In Lahore, the Tourism Department will develop a Time Travel Park under the PPP model.

For the first time, an FMD vaccine protection plant will be established to combat foot-and-mouth disease among livestock. A parking plaza and multimodal commercial facility will also be developed at Badami Bagh bus terminal, while a bridge will be constructed at Sahuka Pattan over the River Sutlej under the PPP model.

Black soldier fly larvae facilities will be established for solid waste management at vegetable and fruit markets across Punjab. The management of 100 sports grounds and other facilities will also be carried out under the PPP framework.

A modern truck terminal will be developed in Faisalabad under the PPP model. Girls’ and boys’ hostels will be constructed at Punjab University and 28 other public-sector universities, while hostels at three medical colleges will also be developed through public-private partnerships.

Fourteen hostels will be established across the province for working women under the PPP model. The operation and development of the Nursing Hostel at Sahiwal Teaching Hospital and Faridia Park Sahiwal will also be undertaken through public-private partnerships.

Projects worth up to Rs500 million can be approved and implemented through the divisional PPP working party headed by the commissioner.

Chief Minister Maryam Nawaz Sharif appreciated Finance Secretary Mujahid Sher Dil, Communications Secretary Raja Jahangir Anwar, PPP Authority CEO Dr Zeeshan Hanif and their team for their efforts. Provincial Communications Minister Sohaib Ahmed Bharth, Finance Secretary Mujahid Sher Dil and Communications Secretary Raja Jahangir Anwar also addressed the ceremony.

Business

Jet fuel price rises by Rs9.05 per litre in Pakistan

Published

25 minutes ago

October 4, 2026

Bilal

Jet fuel prices have once again increased in the country, along with the price of kerosene oil.

The price of jet fuel has been increased by Rs9.05 per litre, while kerosene oil has become Rs7.68 per litre more expensive.

Following the increase, the new price of jet fuel has been fixed at Rs355.52 per litre, while kerosene oil will now cost Rs329.54 per litre.

Meanwhile, according to a notification issued by the Petroleum Division, the price of petrol has also been increased by Rs2.10 per litre, taking its new price to Rs392.76 per litre.

Business

Govt sets deadline of 20th Oct for pilgrims to pay 2nd Hajj installment

Published

29 minutes ago

October 4, 2026

Bilal

The religious affairs ministry stated late Friday that the federal government has fixed October 20 as the deadline for intending pilgrims selected under the government Hajj system to deposit the second installment of their pilgrimage dues.

ISLAMABAD: Pakistan has set aside 107,526 slots for the government plan, including 30,000 for a shorter package, and another 71,696 slots have been granted to the private scheme for next year’s Hajj.

The country on Aug. 25 completed online booking of all tickets in the government Hajj scheme, the first time the whole quota has been filled through a digital reservation system.

The ministry of religious affairs said in a statement on Friday that the applications of pilgrims for next year’s Hajj will be cancelled if they did not pay by the deadline.

“The dates for depositing the second installment of dues for Hajj pilgrims under the government scheme have been fixed from 5 October to 20 October, 2026,” the ministry said.

“If the second installment is not deposited within the deadline, then the Ministry said the pilgrim’s application will be cancelled and the amount deposited earlier will be refunded to the pilgrim’s account,” the Ministry said.

Under the government arrangement, pilgrims can pay the second payment of Hajj dues through the ‘Pak Hajj App’ or digital Hajj site within the stipulated deadline.

The government said that submitting the Hajj medical fitness certificate on the ‘Pak Hajj’ app or the digital Hajj portal was essential before depositing the second installment.

This year the government announced that pilgrims will pay Rs1.2 million ($4,334) for a 40-day Hajj package and Rs1.3 million ($4,695) for a shorter, 20- to 25-day package under the government system.

The first installment of dues for seats under the shorter government package was paid within 24 hours of the process starting on Aug 18 and the rest of the seats under the plan were booked by Aug 25.