Encouraged by its winning return to the regional financial market, Bamako once again convinced regional investors and exceeded its objective with a raising of 207.5 billion CFA francs. The country intended, in fact, to mobilize 200 billion CFA francs with a maturity of ten years, to finance infrastructure and development projects provided for in the 2022 state budget.
Scheduled for August 15 to 31, the operation arranged by SGI Mali, stock market intermediary at the Regional Stock Exchange (BRVM), consisted of the issue of 20 million bonds with a nominal value of 10,000 CFA francs (15 euros) each, payable in one installment.
Mali back on the bond market, a “daring” operation
Appetite for sovereign debt
The loan finally obtained a subscription of nearly 104%. “In a rather difficult political and economic context, we can say that the market has welcomed this bond issue very well. Our financial center proves that it has a big appetite for sovereign debt, and has renewed its confidence in the Malian public treasury which, over three weeks, has made a remarkable exit both on UMOA-Titres and on the bond market”, underlines Lamine. Bane, boss of CIFA, co-arranger of the operation.
the operation demonstrated a surge of regional solidarity
This confirms the restored confidence of investors in the Malian state as well as in the policy pursued by the authorities in power, said the Ministry of Finance, headed par Alousséni Sanou. In early August, Bamako had indeed already signed its return to the WAMU securities market, raising 277.371 billion CFA francs, beyond its target of 270 billion.
This amount made it possible to clear the arrears of payment of the debt. Christian Zegbe Kouamé, financial analyst, explains this “Malian success” by the fact that the country was able to restore the confidence of market investors, even though Mali’s rating had been downgraded following the embargo decreed by ECOWAS. – lifted on July 4th.
Mali announces that it has “settled all the outstanding debts” of its debt
“Mali has started reimbursing creditors and covering arrears, which has given investors confidence. It is also positive to see that the operation demonstrated a surge of regional solidarity. There were subscribers from all the countries of the Union”, insists Christian Zebe Kouame.