Europe exporting volatility to Asian bonds: ADB

The Asian Development Bank warns that the region’s local currency bond markets remain at risk of heightened volatility and reduced returns as a result of the eurozone crisis. Iwan Azis, head of ADB’s office of regional economic integration, urges regional central bankers not to be complacent in thinking their markets offer a safe haven to local investors. He says governments must improve local currency debt market liquidity, both at the country and regional level. Asia’s local c…