Asia Bond Monitor - March 2025

<p>This edition considers recent developments in financial conditions local currency bond markets and sustainable bond markets. </p><p></p><p>It notes a slight weakening of financial market conditions in emerging East Asia from 1 December 2024 to 28 February 2025. The region's local currency bond market expanded 3.1% quarter-on-quarter in Q4 of 2024 compared with 2.7% in the previous quarter. Issuance of local currency bonds in the region totaled USD2.6 trillion in Q4 2024 on a contraction of 7.5% q-o-q due to decreased bond sales. At the end of 2024 sustainable bonds outstanding in ASEAN+3 markets totaled USD917.6 billion with growth moderating to 12.1% year-on-year from 29.4% y-o-y in 2023 amid a slowdown in issuance.</p>