Botswana announces new domestic bond issue

Feb 11, 2011

The Botswana government will issue an additional 10 billion pula (€1.1 billion) in domestic bonds this year, the country's Finance Minister Kenneth Matambo has announced.

An auction is set to take place on March 10th, with bonds expiry date ranging from six months to ten years.

Mr Matambo explained on Wednesday (February 9th) that the last bond issuance was exhausted in September.

Botswana sovereign bonds are quite attractive for foreign investors because of their relatively good yield and the fact that Botswana's currency is stable, Reuters news agency reports.

Ethiopia has also revealed a bond debt of 200 millions birrs (€8.8 millions) for February 2011. Esayas Bahiru, Head of the Development Bank of Ethiopia, made this announcement on January 31st, Les Afriques newspaper reports.

He said that the aim of this issuance is not to finance the government budget, but rather to encourage national savings.