Africa

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.

Loan bankers in South Africa are pining for more deals, to curb the compression of margins as the ranks of lenders to the region are swelled by money from the Middle East and Asia.

Mozambique’s debt crisis is the latest financial market hot potato to be passed around by its stakeholders with a series of statements that would not look out of place in an election campaign. But with the IMF in the country and Mozambique’s future ability to pay looking ever more likely, it is time to reach an agreement, restructure and move on.

Bankers were calling the end of the dream run in emerging market bonds on Friday after Liquid Telecom was unable to tighten pricing or meet the $600m size target for its debut note on Thursday.