👟 Walk the Talk: Asian Sovereign Signal

Mar 27, 2026

Acrostics Asia has been delivering forward-looking insights across Asian sovereigns and state-linked entities as part of its daily flow.

The proof is in the file.

Indonesia

Outflows: Acrostics Asia shows up every step of the way through Indonesia’s worst market volatility in nearly three decades, connecting the dots to help readers anticipate what’s next.
Danantara: Acrostics Asia mapped the sovereign fund’s reason for existence and fundraising trajectory in November 2024, three months ahead of its official launch.
Garuda Indonesia: Acrostics Asia reported Danantara’s planned capital injection into the flag carrier in April 2025, two months before the formal announcement.
Wijaya Karya: Acrostics Asia warned in April 2025 that Wijaya Karya was headed for another restructuring due to the infrastructure budget cuts and ballooning costs of the Jakarta-Bandung high-speed rail. This was confirmed by the state-owned builder seven months later.
Krakatau Steel: Acrostics Asia flagged the headwinds facing Krakatau Steel in May 2025, five months before the state-owned steel maker requested USD 500 million in working capital from Danantara.

Acrostics Asia wrote in November 2025 that Vietnam’s bankruptcy law was largely considered ineffective to tackle distressed situations. To address these long-standing concerns, Vietnam replaced its decade-old bankruptcy legislation with a new law that took effect in March 2026.
Acrostics Asia also flagged in June 2025 that Vietnamese developer Novaland likely had to go through a second restructuring, which was confirmed two months later. Some developers including Novaland fell into distress after the authorities tightened corporate bond restrictions, posing a risk to the local banks.

Acrostics Asia noted in April 2025 that Singapore has been growing as a cross-border restructuring hub. Apart from recognizing foreign proceedings, the city-state has also been building the ecosystem for crypto restructurings and refining its legal toolkit, such as by allowing the first “cross-class cramdown”.
Acrostics Asia wrote in March 2025 that the jump in Singapore liquidations to the highest in at least 15 years was partly driven by the expiry of government-backed loans given during the pandemic. Acrostics Asia also flagged that more F&B and retail businesses risked being shuttered because of rising rents.

Acrostics Asia wrote in May 2025 that some Chinese developers such as Sunac had started offering equity to creditors as the property sector took longer to recover. While China tried to clear the bills owed by local governments to private businesses, transferring the risks to the banks may create another problem if there’s no market mechanism for bad debt to exit the system.
Acrostics Asia also noted that LGFVs, developers, local banks and ordinary households are all woven into the fabric of China’s economy, complicating official efforts to untangle these strands. Beijing signalled its tolerance for a slower pace of expansion in March 2026, while working on a reform of its bankruptcy law.

Three months before SriLankan Airlines (SLA) struck an in-principle agreement with its offshore bondholders, Acrostics Asia flagged in August 2025 that the noteholders had limited negotiating leverage because of a clause in the sovereign debt restructuring.
Acrostics Asia wrote in February 2026 that the Sri Lankan government had decided to retain control of SLA, but the flag carrier’s recovery will likely be hampered by its struggle to renew its fleet amid an industry-wide aircraft shortage.

Acrostics Asia wrote in February 2026 that Mongolia will likely be an increasing source of debt supply, as the growth ambitions of its state and private entities should translate to higher funding needs.
In March 2026, the government of Mongolia successfully issued a USD 500 million six-year bond with a 5.95% yield to refinance debt and extend some of its maturities.