South Africa made in this week its biggest-ever Eurobond issue raising $5 billion on the international debt market, authorities announced.
The operation is split into two tranches with different interest rates and maturities. The first tranche is $2 billion maturing in 10 years with a 4.85% interest rate while the second tranche is $3 billion with a 30-year maturity period and 5.75% rate.
The amount raised is 25% higher than the $4 billion authorities were expecting thanks to strong demand from investors.
“The South African government sees the success of the transaction, believed to be the largest ever out of Sub-Saharan Africa, as an expression of investor confidence in the country’s sound macro-economic policy framework and prudent fiscal management,” the National Treasury said in a statement. Rating agencies Fitch and S&P Global Ratings said the South African sovereign debt is on “junk status” (high risk), while Moody's maintains it in investment grade (low default risk).
The latest Eurobond sale by the country was carried out in May 2018. Last week, Finance Minister Tito Mboweni announced that the country is likely to miss its 1.5% growth target this year due to changing conditions and the many “headwinds blowing through the national economy.”
Moutiou Adjibi Nourou
S&P upgrades Zambia to CCC+ as debt talks advance and copper output rebounds. About 94% of $...
Anthropic, Rwanda’s government, and ALX launched Chidi, an AI mentor built on Claude. It wi...
Government, ESCWA, and experts meet to shape national framework Plan aims to fight corruption, c...
Vodacom Tanzania launches M-Pesa Global Payments, enabling seamless international transactions thr...
(MCB) - The Mauritius Commercial Bank Limited (“MCB”) has successfully granted a strategic financing...
Algeria and Egypt to launch direct Algiers-Alexandria maritime link to boost trade Bilateral trade surpassed $1B in 2024; target set...
AIIB approves $200M for Benin’s Greater Nokoué urban mobility project Plan includes road upgrades, public buses, smart traffic and lagoon...
Chad partners with Egypt to modernize state TV and train media staff Project aims to improve Télé Tchad’s content, skills and viewer experience ...
This week in African health news: Global measles cases have dropped nearly 80 percent since 2000, but major challenges remain across the continent....
Hidden deep within the Arabuko-Sokoke Forest on Kenya’s coast near Malindi, the ancient city of Gedi stands as one of East Africa’s most intriguing...
Orange Egypt and Qatar’s Qilaa International Group have partnered to develop WTOUR, a digital platform offering trip planning, hotel bookings, local...