Government 3-year bond issuance fell short of its target by 5.3%, auctioning results from the Bank of Ghana revealed.
It however raised GH¢1.61 billion at a favorable interest cost of 17.70%.
Joy Business learnt the cost of the debt was however in line with prevailing market conditions.
Prior to the issuance of this bond, all government bonds sold this year have been oversubscribed.
It is however unclear whether some foreign investors are not comfortable with the current situation of the fiscal economy, a reason why the bond sale was slightly below target.
The bond was opened to both resident and non-resident investors,
Absa, Databank, Fidelity, IC Securities, Stanbic were the active joint book runners.
Government successfully raised GH¢1.77bn from 5-yr bond early March
The Government successfully raised GH¢1.77 billion from the sale of the 5-year bond at a favorable cost of 18.3% at the beginning of March this year.
This came after it accepted all the bids from the investors, largely dominated by foreigners or non-resident investors.
Also, all bids were submitted within the Initial Pricing Guidance of 17.8% to 18.4%. However, the government capitalized on the strong demand to compress the final clearing yield or interest rate to 18.3%.
.
Latest Stories
-
Bahamas 2024 Relays: Star-studded cast ready to put on pre-Paris show
32 mins -
Bahamas Relays preview: clash of global title-winning teams in men’s 4x100m
39 mins -
Arsenal keeper Raya wins Premier League Golden Glove
56 mins -
Iñaki Williams scores twice in Athletic Bilbao’s win over Getafe
1 hour -
Argument with Salah ‘completely resolved’ – Klopp
1 hour -
Reus to leave Dortmund at the end of the season
2 hours -
Uefa confirms 26-man squads for Euro 2024
2 hours -
Teacher Unions press home demands for the new allowances
2 hours -
Media’s failure to hold government accountable for ‘galamsey’ alarming – Mahama
2 hours -
Keta Presbytery urges Akufo-Addo to assent to anti-LGBTQ+ Bill
2 hours -
Ghanaian midfielder Lawrence Ofori nets maiden goal of the season with stunner against Vizela
2 hours -
Community fearful after off-duty policemen shot dead at East Trasacco
2 hours -
Dext Technology partners KNUST to train basic school teachers on STEM
3 hours -
My efforts led to remarkable transformation in Appiatse – Lands Minister
3 hours -
13th Ghana Information Technology and Telecom Awards launched
3 hours