01808cas a2200253 a 4500 AALejournalIMF015323 230101c9999 xx r poo 0 0eng d 5.00 USD 9781513552750 1018-5941 BD-DhAAL BD-DhAAL Ebeke, Christian. Global Financial Spillovers to Emerging Market Sovereign Bond Markets / Christian Ebeke, Annette Kyobe. Washington, D.C. : International Monetary Fund, 2015. 1 online resource (22 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Foreign holdings of emerging markets (EMs) government bonds have increased substantially over the last decade. While foreign participation in local-currency sovereign bond markets provides an additional source of financing and reduces sovereign yields, it raises concerns about increased sensitivity of yields to shifts in market sentiment. The analysis in this paper suggests that foreign participation and an undiversified investor base transmit global financial shocks to local-currency sovereign bond markets by increasing yield volatility and, beyond a certain threshold, amplify these spillovers. These estimates are robust to a range of econometric techniques including panel smooth threshold regression. Mode of access: Internet Kyobe, Annette. IMF Working Papers; Working Paper ; No. 2015/141 Full text available on IMF http://elibrary.imf.org/view/journals/001/2015/141/001.2015.issue-141-en.xml IMF e-Library