It increasingly looks likely that the Government of Thailand will follow the example of its peers in Hong Kong and Malaysia by tapping the securitization markets. Reports emerged last week from Bangkok suggesting that the Thai Ministry of Finance is looking to raise up to THB24 billion ($626 million) from an ABS program, with proceeds funding the construction of a large-scale office development. The 500,000 square meter project will ultimately house 28 government department offices.
It was reported that the first deal - totaling THB1.8 billion - will be backed by office-lease rents and could be issued in the third quarter of this year. Local media agencies added that the bonds will have maturities ranging from 13 to 20 years.