Local policymakers hope to finance a portion of infrastructure spending with foreign funds and encourage outward investment in a bid to ease the volatility of foreign capital flows.
Narongchai Akrasanee, chairman of MFC Asset Management, said the country should attract long-term investors to finance big transport projects under the government's 2-trillion-baht borrowing plan.
"Long-term foreign investors would find the 3% yields of 15-year government bonds attractive," he said. "While the government wanted to channel local liquidity to finance these projects, bonds with such a long-term maturity are unlikely to draw much interest from banks."
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