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Africa

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  • The European Bank for Reconstruction and Development (EBRD) sold the first Algerian dinar-linked bond from a development finance institution last week. With local market liquidity drying up because of the collapse in the price of oil, further demand for dinar assets could depend on how well the nation’s economy diversifies away from the industry.
  • Wednesday evening proved a busy night for equity bock trades, despite wider sell-offs in secondary markets over fears of a second wave of Covid-19.
  • International bondholders have formed a specialist committee to conduct negotiations with Zambia after the country announced a liability management exercise to control its debt.
  • Pepkor, the South African retailer, raised R1.9bn ($110m) in a sale of new shares on Tuesday night to reduce leverage and to prepare it for the future impact of the Covid-19 pandemic.
  • Ghana Cocoa Board (Cocobod), the central organisation for Ghana’s cocoa industry, is in the process of raising its annual syndicated loan, but bankers say the borrower is running into difficulty as lenders’ risk appetite weakens.
  • The Africa Finance Corp, the Nigeria-headquartered multilateral development bank, has issued its first Eurobond of 2020, winning three times oversubscription.