There is an interesting article in Financial Times today asking a question (in the Latin America context) whether huge US government bond issues will crowd out emerging market sovereign issues from the market next year. A quote:
“The risk that Latin American and other emerging market borrowers may be “crowded out” from credit markets by a US fiscal deficit that could exceed $1,000bn next year has not been much emphasised in the scramble to save the US economy. But the economists said “powerful and innovative” new mechanisms were required to deal with the threat in order to direct money back into the region” […] In the absence of adequate international actions, beggar-thy-neighbour policy responses may be politically inevitable, seriously undermining the basis of the global co-operative system that emerged in the aftermath of World War II [that] allowed for unprecedented rates of growth of trade and incomes and a reduction in global poverty”.
Poland has usually placed sovereign debt in January each year, maybe Ministry of Finance should give some thought ot the idea of placing debt already in December. Today we can still market it on a basis of 2012 EMU membership, next year it will be more difficult.