Africa

Investors dumped Ghana's Eurobonds this week after the future of its relationship with the International Monetary Fund was thrown into doubt. The confusion has been unhelpful to a country which has historically had difficult relationships with international markets, though it did point to the over-reliance of some investors on an IMF anchor, writes Virginia Furness.

Banque Ouest Africaine de Developpement (BOAD) offered investors a rare chance to buy longer dated investment grade African risk with a new 10 year benchmark on Thursday.

With a few weeks to go before asset managers begin their annual pilgrimage to the globe's beachfronts, the last few borrowers are slipping into the primary market before liquidity evaporates in the summer heat. Nostrum’s trade this week provided evidence of the slowdown in demand for risker credits.

Mozambique will not make the interest payment on its $726.5m 2023 notes due on Tuesday, the country’s ministry of economy and finance said.

Standard Bank has offered banks five different participation levels on its $750m syndicated loan, which it expects to grow to $1.25bn once commitments come in.

Steinhoff Europe, the furniture maker, made its debut in senior euro corporate bond markets on Monday, and was the only issuer to offer investors a transaction on the day. The €800m 7.5 year deal followed a European roadshow last week.

South Africa’s National Treasury is meeting with its nine primary banks on Friday to discuss its 2017 Eurobond issuance, according to its senior analyst Alilali Nelufule.

‘Business as usual’ was the tone this week in emerging markets, after last week’s losses were reversed and mandates began trickling through from across CEEMEA.

South Africa’s National Treasury is meeting with its nine primary banks on Friday to discuss its 2017 Eurobond issuance, according to its senior analyst Alilali Nelufule.

Seven years after first being mooted, draft Moroccan covered bond legislation is expected to emerge in the first half of next year, when it could be followed by supply. Fitch Ratings believes covered bonds will spur retail mortgage lending and will have a positive credit impact on banks.

Not one to mince its words, Republic of Congo has said it "vigorously contests" S&P's decision to downgrade its foreign currency issuer rating to CCC on Friday.

Banque Ouest Africaine de Developpement (BOAD), the West African regional development bank, has made plans for a follow-up trade to its dollar debut last year and South Africa’s Steinhoff has prepared a 7.5 year euro denominated note.