Ghana raises $3 billion via 4-year zero-coupon bond
ACCRA (Reuters) – Ghana’s finance ministry said on Tuesday it had successfully raised $3 billion on the international debt market using a 4-year zero-coupon bond tranche.
The issuance was two times oversubscribed, the ministry said in a statement.
“This historic bond issuance is a strong signal that investors have confidence in our plan for debt sustainability, economic recovery and growth,” Finance Minister Ken Ofori-Atta was quoted as saying.
The ministry said using $400 million of the money raised to refinance domestic debt would enable the West African country to save around $200 million over the four years.
As a result of its zero coupon, the bond does not make periodic interest payments, but is sold at a discount to its value at maturity.
Reporting by Christian Akorlie; Writing by Bate Felix; Editing by Cooper Inveen and Kevin Liffey
Published at Tue, 30 Mar 2021 19:26:54 +0000