Ghana targets 12.5% bond rate lower than secondary market
Ghana's government set a 12% to 12.5% interest rate guide for its new seven-year bond. This move aims to lower borrowing costs. It is the first bond of this type since 2022. Analysts see this as a sign of improving economic conditions.
Ghana's government has set a pricing guide for a new seven-year bond. The interest rate range is 12% to 12.5%. This is lower than the 13% to 14% for similar bonds already being traded. This shows the government wants to borrow money more cheaply.
This is the first time Ghana has sold a bond of this length since 2022. The domestic debt market stopped working well after the 2023 debt exchange program.
Experts say the lower interest rate guide shows Ghana's economy is getting better. It also means investors trust Ghana more now. The offer is open to all investors, with a minimum bid of GHS50,000.
The money raised will fund projects in the 2026 budget. It will also help manage cash flow and repay old debts. This bond sale is part of Ghana's plan to rebuild its debt market and increase investor trust.
Source: StatsGH — Ghana's data-driven news platform