Ghana issues $3 billion Eurobond amidst Covid-19 pandemic

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The government of Ghana has made a successful debut into the International Debt Capital Markets securing $3 billion from an oversubscribed bond book value of $6 billion.

With this, Ghana becomes the first Sub Saharan African Sovereign to issue a Eurobond in USD since the onset of the Covid-19 pandemic.

Government in the 2021 budget announced its intention of executing a programme aimed at raising up to $5 billion through Eurobond, Diaspora bond, Sustainable bond and Syndicated loans. This 2021 Eurobond is thus one of the four vehicles government intends to use to raise the up to $5 billion.

Ghana successfully raised US$2 Billion in 2018, US$3 Billion in 2019 and US$3 Billion in 2020. The 2021 bond issuance comes after a series of fixed-income virtual meetings held locally across three (3) days with Investors from the United States, United Kingdom, Europe, Middle East and Asia.

The transaction comprised four tranches – US$ 525 million 4-Year Zero Coupon, US$1 billion 7-year Weighted Average Life (WAL) priced at 7.75%, US$1 billion 12-year WAL at 8.625% and US$500 million 20-year WAL with a coupon of 8.875%.

See Press Release below:

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