Benin to issue $70mn bond
The bond will be sold in units of 10,000 CFA francs to investors.Benin has announced it will issue a CFAF40 billion (€61.5 million) five-year treasury bond with a coupon of 6.25 per cent today (August 27th).
The director of the country's treasury Job Olou said in a statement the bond will be sold in units of 10,000 CFA francs to investors across the eight-nation CFA franc currency zone via an auction organised by the Central Bank of West African States.
Benin has already successfully issued several bonds West African Economic and Monetary Union market (WAEMU), including a CFAF 40 million bond earlier in 2015. In 2011, it also issued a CFAF50 billion bond and in 2006, it generated CFAF54 billion on the WAEMU market.
Benin is using bonds issues to finance its national budgets and to establish a larger presence on international markets.
The funds also enable the government to finance infrastructure projects and continue its economic and social policy with a view to reducing poverty.