Ghana raises $ 3 billion in capital market
Thursday, March 21, 2019
Ghana raises $ 3 billion in capital market

African Daily Voice

Ghana successfully raised 3 billion U.S. dollars from its Eurobond sale to global investors on Tuesday, the government has said.

Ghanaian Minister for Information Kojo Oppong-Nkrumah told the media here on Wednesday that the 2019 Eurobond was in three tranches with seven-year, 12-year and 31-year maturities.

The seven-year portion was secured at a coupon rate of 7.87 percent, the 12-year portion at a coupon rate of 8.12 percent and the 31-year portion at a coupon rate of 8.95 percent.

The government intends to spend 2 billion dollars of the total proceeds on infrastructure development, and 1 billion dollars to pay off maturing debts on the country’s books.

Referring the bonds to “a vote of confidence in the management of the economy,” Oppong-Nkrumah said, “The global investor community has by this oversubscription to this magnitude signaled their faith in Ghana’s ability to churn out very strong return on investment and consequently service our obligation.”