South African Bonds Attract Foreign Investors with Top EM Returns

Foreign investors are flocking to South Africa’s government bond market to benefit from one of the best emerging-market opportunities in recent years. The bonds have seen net inflows of 139 billion rand ($7.9 billion) in the 18 months ending in June. This surge in investment is driven by the attractive returns offered by South African bonds compared to other emerging markets. Despite the country’s economic challenges, investors see value in the yields provided by these bonds.