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Russian President Vladimir Putin greets President of the Republic of South Africa Jacob Zuma at the G-20 meeting. Their respective countries are bringing new bonds to the market Monday.
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South Africa and Russia look set to pay investors a hefty return as they bring new bonds to market Monday–a sign that they are keen to cram in new issues before any further rise in U.S. Treasury rates pushed their borrowing costs higher still.

Bankers working on a 12-year dollar bond for South Africa say that the yield on the bonds will be around 6.2%–double what it paid to borrow as recently as May.

Russia’s average yield on a package of euro- and dollar-denominated bonds is set to be 4.56%, having been as low as 3% at the start of the year, according to Markit.

“These are significant new issue premiums, suggesting issues will go well,” said Bartosz Pawlowski, head of emerging-markets strategy at BNP Paribas in London.

Expectations that the U.S. Federal Reserve will slowing the pace of its economic stimulus program has caused U.S. Treasury yields to rise and emerging-market asset prices to slump since May, making it more expensive for issuers to sell bonds. But this is still possible, as a forthcoming run of frontier debt demonstrates.

The Fed is set to decide whether to pull the trigger on this withdrawal of stimulus as soon as next week–a move that could push U.S. Treasury bonds lower still. Treasury notes maturing in 10 years now yield around 2.9%, having stood as low as 1.62% at the start of May. Yields rise as prices fall.

Final pricing on the new South African and Russian bonds will be known later Monday.

(Serena Ruffoni contributed to this article.)