Ghana Announces Bond Issuance Calendar, Targets GH¢11.1 Billion

Ghana cedi notes

Accra, January 12, 2018//-Ghana is planning to raise GH¢11.1 billion in the first quarter of 2018 to enable the government undertake development projects.

 Out of this amount, about GH¢9 billion is expected to come from roll-over maturities, while the remaining GH¢2.1 billion being described as fresh cash or borrowing would be used to meet government’s financing needs.

This is contained in the Ministry of Finance’s Issuance Calendar for the first three months of this year.

However, the GH¢11.1 billion is lower than the GH¢17.4 billion that was raised in the same period last year.

The first quarter calendar also took into consideration government’s liability management programme, market developments (both domestic and international) and the Debt Management objective of lengthening the maturity profile of the public debt.

The 1-Year Note will be issued bi-weekly through the primary auction, with settlement occurring on first and third Mondays of each month, according to the ministry.

But a portion of the target for January will be issued into the market through re-opening of the existing 2-Year Note (ISIN-GHGGOG043944, 21% coupon) maturing 7th January 2019, in the third week, settling on January 15, 2018.

The 2-Year Note will be issued monthly through the primary auction, with settlement occurring on the second Monday of each month.

The 3-Year and 5-Year bonds will be issued through the book-building method and settlement on the last Monday of each month.

The Finance Ministry was quick to add that “consistent with the MTDS, we may announce tap-ins/reopening of existing instruments depending on market conditions.”

Also, the calendar showed that government planned to tap into the international capital market in the second quarter of this year, to possibly issue the GH¢1 billion Eurobond.

African Eye Report





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