(Bloomberg) -- Brazil tapped international credit markets, offering new debt for the first time in more than six months amid a broad rally in the country’s assets early in 2025.

Latin America’s largest economy sold $2.5 billion in bonds due in 2035, which will yield about 6.75%, down from initial price talks of 7.05%, according to people familiar with the matter, who asked not to be identified discussing a private matter. Proceeds will be used to repay outstanding public debt.

“The new issue is being priced on the screws, which makes it a good deal for the issuer,” said Anders Faergemann, a senior money manager at Pinebridge Investments in London.

Bradesco BBI SA, JPMorgan Chase & Co and Morgan Stanley handled the sale, according to the prospectus.

Brazil Bounce

Brazilian assets have rebounded from a hard-and-fast rout seen at the end of last year which was fueled by mounting concern over the country’s debt trajectory. The currency, which slumped more than 21% versus the dollar in 2024, is up about 8% this year, one of the best in emerging markets. Stocks climbed 7% even as the central bank continues to hike interest rates.

“Brazil took advantage of the window of opportunity,” said Barclays Plc’s Brazil economist Roberto Secemski. “The calm seen so far this year may not last for long as fiscal uncertainty is likely to return.”

Brazil had last sold dollar bonds in June of last year, when it offered $2 billion in sustainable notes. The country has about $6.7 billion in hard-currency bonds maturing this year, including $4.3 billion that were due Jan. 7, data compiled by Bloomberg show.

--With assistance from Leda Alvim.

(Updates with details on pricing in second paragraph, adds analyst commentary in sixth.)