Ghana failed to obtain the 500 million cedis it was expecting to raise in its first bond issued yesterday, January 7, 2016.<\/p>\n
[contextly_sidebar id=”FRHJnDP8NxRWOl3TiL9TTjBI2TbephGa”]The Bank of Ghana on behalf of government yesterday issued a three year 500 million cedi bond.<\/p>\n
Proceeds from the bond will be used to restructure government debt and also for maturity settlement.<\/p>\n
But government failed to obtain the expected amount.<\/p>\n
Total bids received amounted to 426.23 million cedis.<\/p>\n
The auction which was open to both foreign and local investors saw international bids totaling only 20 million cedis.<\/p>\n
Meanwhile Ghana will pay \u00a0a slightly higher yield of 24.75 percent on the bond than the last 3 year bond it issued.<\/p>\n
A three-year bond issued in October last year had a 24.5 percent yield.<\/p>\n
Industry players had earlier warned the country’s economic woes as well as the implementation of the new income tax law which will see the bond being subjected to the 1 percent tax on interest earned by individuals will lead to a low subscription of the bond and others to be issued later.<\/p>\n
Meanwhile government has announced it intends to borrow about 30. 4 billion cedis, in the first half of this year, through bonds, treasury bills and notes.<\/p>\n
The move will see government borrow 4 .72 billion cedis in January 2016 alone.<\/p>\n
–<\/p>\n
By:\u00a0 Vivian Kai Lokko\/citifmonline.com\/Ghana<\/p>\n","protected":false},"excerpt":{"rendered":"
Ghana failed to obtain the 500 million cedis it was expecting to raise in its first bond issued yesterday, January 7, 2016. [contextly_sidebar id=”FRHJnDP8NxRWOl3TiL9TTjBI2TbephGa”]The Bank of Ghana on behalf of government yesterday issued a three year 500 million cedi bond. Proceeds from the bond will be used to restructure government debt and also for maturity […]<\/p>\n","protected":false},"author":14,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":[],"footnotes":""},"categories":[121,32,171],"tags":[],"class_list":["post-180061","post","type-post","status-publish","format-standard","hentry","category-banking-and-finance","category-business","category-local-economy"],"_links":{"self":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/180061","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=180061"}],"version-history":[{"count":0,"href":"https:\/\/citifmonline.com\/index.php?rest_route=\/wp\/v2\/posts\/180061\/revisions"}],"wp:attachment":[{"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=180061"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=180061"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/citifmonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=180061"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}