Benin to issue €152m bond on the regional market
The transaction will have a 6.25 per cent coupon.Benin is planning to issue a new bond worth 100 billion CFA francs (€152 million ) on the financial market of the WAEMU.
According to the West African Regional Planning Agency 'UMOA-Titres', the transaction will have a coupon of 6.25 percent and a maturity of five years.
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 already has successfully issued several bonds on the regional market, including two 40 million CFA francs bond earlier in 2015. In 2011, it also issued a 50 billion CFA francs bond and in 2006, it generated 54 billion CFA francs on the WAEMU market.
The country is using bonds to finance its national budget and establish a larger presence on international markets.
It also enables the government to finance infrastructure projects and continue its economic and social policy with a view to reducing poverty.