Sovereign Bonds are bonds issued by government-backed institutions. Government bonds issued by governments of various countries (mostly developing countries) in foreign currencies (such as the US dollar , euro and other major currencies ) in the international market.
The issuer of sovereign bonds is the government. It refers to the bonds issued in the name of the government by government financial departments or other agencies to raise funds, mainly including treasury bills and public bonds. General treasury bills are issued by the Ministry of Finance to make up for the imbalance of fiscal revenue and expenditure; public bonds refer to a bond issued to raise construction funds. The two are sometimes collectively referred to as public debt. Those issued by the central government are called central sovereign bonds (national bonds), and those issued by local governments are called local sovereign bonds (local bonds). Various bonds issued by the U.S. federal government, including treasuries, promissory notes, and federal government bonds.