Guinea-Bissau places full issue of public debt

14 July 2016

Guinea-Bissau raised 11 billion CFA francs (US$18.4 million) with the full placement on Monday of an issue of treasury bonds, the Ministry of Economy and Finance said on Wednesday in Bissau in a statement.

“This operation was part of the implementation of Guinea-Bissau’s government bond issuance programme, in accordance with the medium and long-term debt management strategy, aiming to meet commitments within the agreed deadlines,” the statement said.

The statement said the debt issue was another State Budget funding initiative, a law that to date has not been approved for 2016 due to political instability in Guinea-Bissau.

The Treasury Bonds now issued have a maturity of three years and pay a 5.5% interest rate, according to the West African Economic and Monetary Union Agency.

This is the second time in 2016 that Guinea-Bissau has raised funds by issuing public debt. The first time, in the amount of 12 billion CFA francs (US$20 million) took place in April. (macauhub/GW)