What is the role of bond issuers in the bond market?

Economics Bonds Questions



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What is the role of bond issuers in the bond market?

The role of bond issuers in the bond market is to raise capital by issuing bonds to investors. They are typically entities such as governments, corporations, or municipalities that need to borrow money for various purposes. Bond issuers determine the terms and conditions of the bonds, including the interest rate, maturity date, and repayment schedule. They are responsible for making regular interest payments to bondholders and repaying the principal amount at maturity. Additionally, bond issuers may choose to buy back or redeem bonds before their maturity date.