Issue: April 2010Emerging East Asia's local currency bond markets expanded 17.1% year-on-year (y-o-y) to USD4.6 trillion in 1Q10, with corporate bond markets expanding much faster than government markets. The main driver of regional bond market growth in 1Q10 was the rapid expansion of markets in Hong Kong, China; the People's Republic of China; Thailand; and Singapore. Further expansion is expected in the second half of this year as the region's economic recovery continues and companies increasingly tap local currency bond markets as an alternative funding source to bank financing.