Ghana has raised a total of US$ 2.0 billion from its 2018 sovereign bond issuance, which was concluded on Thursday May 10, 2018 - an indication of a strong investor confidence.
The 10-year bond raised $1.0 billion at 7.627%, while the maiden 30-year bond raised another $1.0 billion at 8.627%.
A statement, issued by the Public Relations Unit of the Ministry of Finance, said the demand for Ghana’s credit peaked in excess of US$8.0 billion, representing an over subscription of three times the targeted amount.
“$750m of the issuance represents new debt, while a portion of the remainder will be used to swap for more expensive existing Eurobonds, as well as other liability management operations,” it said.
It explained that the issuance had some notable characteristics such as being the first time a Sub – Saharan African country with a rating of B Stable having priced a sovereign Bond at that low costs, indicating a strong investor confidence.
“It is also the first time Ghana has extended its international capital market funding to 30 years,” it stated.
“It must be noted that despite the size, $1.25 billion, which would be used for liability management would not add up to the debt stock of the country as it is debt neutral.”
Source: GNA
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Bonds are not free !!!!!but even if the NDC had won the election -God forbid !!!; the NDC government would have still increased the debt level through raising of bonds to retire previous debts which NPP and NDC acquired ; besides it is true we will pay interest everybody pays interest if you borrow ; do you think NDC will get a a free interest bond after they mis-managed and stole our monies -SILLY GOAT !!!!; besides level of interest do you pay depends how well you manage your economy and how the financial markets perceive your intentions to manage the economy; NPP are perceived to be good managers of the economy whilst NDC is perceived as stillers and poor managers of the economy- IDIOTIC DONKEY !!!!!!
The government is increasing the country's debts and you here praising them. Do you think bonds are free? We will pay back with interest. Fooooooool
WISE DEALS BY NPP!!!!!;EVERYBOY KNOWS THE ECONOMY IS IN GOOD HANDS and will buy any debt from GHana ; so mine question is where is the NDC economic guru ATo Forson and FIFI KWETTEY the 'pipe piper' of NDC economic propagada to hold another press conference