African countries' appetite for bonds holds steady
Three North and West African countries have announced the launch of a bond this week.The Central Bank of West African States (BCEAO) approved on Monday in Dakar a bond to be issued by Senegal on the regional financial market for a total of Fcfa172 billion (€262 million).
Tunisia has also obtained this week a guarantee from the Japan Bank for International Cooperation (JBIC) in order to issue a "Samurai" bond.
Furthermore, the Ivorian government has launched earlier this week a new bond worth Fcfa93 billion (€ 141.7 million) on the WAEMU's financial market.
African countries are increasingly popular with investors. With the exception of South Africa, sub-Saharan countries were completely absent from international financial markets until 2007. Since then, nine of them have issued approximately € 4.6 billion of Eurobonds, Jeune Afrique reports.
The newspaper believes that this enthusiasm is linked to investors seeking an alternative to the low rates paid by developed countries.
According to the International Monetary Fund (IMF), the successive emissions represent an acknowledgment of the strong potential of sub-Saharan Africa, thanks "to the abundance of natural resources, improved macroeconomic policies and good development prospects".