| Malaysia’s 1MDB defaulted on a $1.75bn bond on Tuesday, triggering cross defaults on two other notes totalling $1.9bn and raising the stakes in a dispute between the troubled state investment fund and an Abu Dhabi counterpart.
The fund’s announcement that it had failed to make an interest payment of $50m on 5.75 per cent bonds prompted a fall of as much as 1.2 per cent in the ringgit and dented investor confidence in Malaysian sovereign debt, with the cost of insuring against default with credit-default swaps rising 4 basis points to 167bp...............................................Full Article: Source
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