What’s fueling Africa’s re-entry into Eurobond market?
Analysts say Côte d’Ivoire’s successful raise of $2.6 billion in its first return to the international Eurobonds market after two years of absence and Nigeria’s plans to issue a Eurobond toward the end of 2024 shows how the continent plans to test the international debt market this year after being locked out due to higher interest rates in 2022. Rhode Luemba, Head of Flow Sales, Global Markets at Standard Bank Group, joins CNBC Africa to discuss the outcome of this move.
Tue, 30 Jan 2024 14:03:25 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- Renewed Confidence: Countries like Côte d’Ivoire are re-entering the Eurobonds market, signaling renewed confidence in Africa's economic prospects.
- Economic Growth Potential: The successful issuance of Eurobonds by Côte d’Ivoire, with plans for Nigeria to follow suit, highlights the continent's potential for economic growth.
- Market Dynamics: African countries are closely monitoring global market conditions, such as the decisions of the Federal Reserve, to make informed choices regarding monetary policies and debt issuance.
Africa is witnessing a notable resurgence in its presence in the Eurobonds market, with countries like Côte d’Ivoire successfully raising $2.6 billion in their first return after a two-year hiatus. This move signifies a shift in momentum for African economies that are beginning to tap into international debt markets once again. Rhode Luemba, Head of Flow Sales, Global Markets at Standard Bank Group, shed light on the continent's latest foray into Eurobonds during a recent interview on CNBC Africa. Luemba highlighted the positive outlook this trend sets for other countries like Nigeria, Ghana, Kenya, and Angola to follow suit. The decision by Côte d’Ivoire to issue Eurobonds, which were oversubscribed, serves as a promising indicator for the market's receptivity. Notably, Nigeria also aims to issue a Eurobond later in 2024, further underlining the continent's confidence in tapping into global debt markets. The recent developments point to renewed economic vigor and potential growth prospects across Africa's financial landscape.
Get this delivered to your inbox, and more info about about our products and services. By signing up for newsletters, you are agreeing to our Terms of Use and Privacy Policy.
