Ghana has become the biggest loser on the African continent as a result of the country’s inability to issue Eurobonds.
The lack of access to the international capital market is due to the global economic challenges and internal issues.
According to the September 2022 Africa Markets Revealed Report by Standard Bank, the country’s Year-To-Date Index (listed bonds) is down by 34.6%. It is followed by Morocco (-20.8%) and Rwanda (-20.2 %), while the biggest gainer is the Republic of Congo, whose Year-To-Date index is up 9%.
The report also said while oil and gas prices are starting to fall, countries such as Nigeria and Angola have performed better than counterparts in Africa. Angola now is the largest producer of oil in Africa, with average daily output in August of 1.17million per barrel, exceeding Nigeria with an average daily output of 1.13 million per barrel.
Most African countries cannot issue new Eurobonds
“Most African countries can no longer issue new Eurobonds because of elevated yields due to global risk-off sentiment. Indeed, yields rose significantly in quarter 2, 2022 and quarter 3, 2022. In the last month, even though yields have decreased, they remain elevated”, the report stated.
Earlier in the year, Angola, Nigeria and South Africa issued new Eurobonds.
Kenya and Nigeria were set to issue again but then shelfed issuance due to global conditions. Kenya had previously issued bonds around a yield of 6%-8%; now, Kenya Eurobond yields are trading around 11.7%.
“We don’t foresee yields returning to previous levels by December . Hence, new Eurobond issuance seems likely only by mid-2023”, it added.
- 16 feared dead, over 40 injured in Gomoa Okyereko accident on Accra-Cape Coast highway
- Otumfuo destools chief of Asante’s famous Antoa town
- Supreme Court ‘cautions and discharges’ NDC’s Kpessa Whyte after convicting him for contempt
- Pressure mounts on cedi; loses 9% in value to dollar last week
- Tinubu removes controversial Fuel subsidy in Nigeria
- Nigeria: Hilton Hotel owner, two workers sentenced to death for murder of student
- Bawumia picks NPP flagbearer nomination form
- We’re sorry for obnoxious statements about Christianity in history textbook – Ghana Authors & Publishers
- Parliament writes to EC, declares Assin North seat vacant
- AFCON 2023Q: Nuamah included, Sowah dropped as Hughton names Ghana squad to face Madagascar
- AngloGold incident: 52 illegal miners out of underground mine
- Essipong: The Decaying Sports Stadium
- NDC stands a little chance above NPP in Assin North by-election – Dr Asah-Asante
- Ghana enters Phase II of nuclear power infrastructure development
- ‘Potholemics’: The economics of potholes
- Gomoa Okyereko accident: Man narrates how his family of 6 survived horrific crash
- JoyNews kickstarts ‘Ghana Potholes Exhibition’
- ‘Don’t make things difficult for us’ – Magistrate tells family of woman allegedly murdered by policeman
- CHASS expresses concern about abuse of PTA funds
- Indigenous knowledge vital in preserving biodiversity – Educationist
- 4,000 Amansie West residents now on NHIS
- ‘I’m working hard to get back’ – Tariq Lamptey on latest Black Stars absence
- JoyNews premieres ‘Ghana Potholes Exhibition’
- Keta Port will be your legacy if constructed – KIPC CEO to Akufo-Addo
- Resign and concentrate on your health; Ahanta West needs development – NDC tells Kojo Kum