the international Bond market (Debt securities)(1)

Beside international bank lending,increasingly sizable activity has been taking place in the last several decades in the international bond market.the issuance of bonds by governments and corporation represents borrowing by issuing entities ,and the time period of the loan is generally longer than one year .within the general bond category,a distinction is often made between notes,which have a maturity of less than 10 years ,and bonds,which have a maturity of 10 years or longer.we will generally use the term bonds to refer to both of these types of debt instruments.Bonds have a face value or maturity value (for example,$1000) which indicates the amount that will be paid back to the lender at the end of the life of the bond ,and interest payments (or coupon payments ) are usually made each year (for example ,60$ per year or a 6 percent (=$60/$1000)coupon rate).