Bond markets in emerging markets are illiquid as investors and issuers grapple with major microstructure and legal … issues. The importance of bond markets as a source of finance has increased during the economic slowdown as companies … significant relationship of coupon with optionality of the bond but it found that the Rating has significant relationship with …

How does heightened uncertainty affect the costs of raising finance through the bond market and through bank loans …? Empirically, I find that a rise in uncertainty is accompanied by an increase in corporate bond yields and a decrease in bank … role for banks. In contrast to bond investors, banks acquire additional costly information about borrowers in times of …