{"id":312788,"date":"2017-04-21T12:52:37","date_gmt":"2017-04-21T12:52:37","guid":{"rendered":"http:\/\/citifmonline.com\/?p=312788"},"modified":"2017-04-21T12:52:37","modified_gmt":"2017-04-21T12:52:37","slug":"govt-to-issue-15-yr-bond-to-clear-2-4bn-energy-debts","status":"publish","type":"post","link":"https:\/\/citifmonline.com\/2017\/04\/govt-to-issue-15-yr-bond-to-clear-2-4bn-energy-debts\/","title":{"rendered":"Govt to issue 15 yr bond to clear $ 2.4bn energy debts"},"content":{"rendered":"
Government has announced plans to issue a 15 year bond to settle all outstanding debts in the energy sector.<\/p>\n
[contextly_sidebar id=”K0tH3EbaY5xpE2GbEsGAEDJgUY4UW0wj”]The move is also aimed at improving the financial strength of the State Owned Enterprises (SoEs) in the energy sector and make them competitive.<\/p>\n
Vice President Dr. Mahamudu Bawumia disclosed this when he addressed a session at the ongoing Spring Meetings in Washington, DC.<\/p>\n
Speaking in an exclusive interview with the Head of the Citi Business News desk, Vivian Kai Lokko on the sidelines, Dr. Bawumia was also confident of increased investments to the SoE’s with the complete repayment of the debt.<\/p>\n
\u201cThere is a 2.4 billion dollar debt that is hanging over the neck of state owned enterprises\u2026What we are going to do is to issue a 15 year long term bond to deal with this debt,\u201d he stated.<\/p>\n
Dr. Bawumia added, \u201cWhat we will do is that we will have one bond which will take off all those liabilities and government will service those bonds with the ESLA revenues. So it is a meter situation that will allow the space for our energy companies to have stronger balance sheets to grow, invest and attract investments.\u201d<\/p>\n