Bonds News

UPDATE 1-Ivory Coast raises 1 billion euros in Eurobond sale

(Adds details, background)

ABIDJAN, Nov 25 (Reuters) - Ivory Coast’s Eurobond sale this week, sub-Saharan Africa’s first of the pandemic era, raised 1 billion euros ($1.19 billion) and was five times oversubscribed, the government said on Wednesday.

The yield of the bond was around 5% and the funds will go toward filling the 2020 budget deficit, government spokesman Sidi Toure told reporters.

Sub-Saharan Africa had seen no debt sales since Ghana and Gabon sold debt earlier in the year, before the coronavirus pandemic ripped through global markets. Zambia became the region’s first sovereign default earlier this month.

More vulnerable issuers in the region, such as Angola or Mozambique, would struggle to tap markets, still facing elevated borrowing costs. (Reporting by Loucoumane Coulibaly; Writing by Aaron Ross Editing by Bate Felix)