Ghana is having a hard time selling $820 million of local-currency debt. They arent sovereign notes, which is part of the problem.
The second-biggest economy in West Africa attracted just a quarter of the 3.6 billion cedis of 10-year bonds up for sale last week at about 19.5 percent. Investors were willing to take on 2.4 billion cedis of seven-year notes paying just half a percentage point lower. The government has extended the offer period to the end of this week, at the same terms.
Finding buyers for the debt is critical for Ghana, which plans to use proceeds from the so-called energy bonds to help electric utilities pay back bank loans. While a global backdrop of suppressed interest rates should favor high-yielding notes s…
Read the full article at: https://www.bloomberg.com/news/articles/2017-11-02/a-guide-to-the-19-5-bonds-ghana-can-t-get-yield-hunters-to-buy
