Cameroon’s Treasury is set to launch a public bond issuance on March 17 to raise CFA145 billion through BEAC by March 31. The program will feature six long-term bonds with maturities from 3 to 7 years, offering competitive interest rates. While borrowing costs have risen, Cameroon retains the lowest rates in the Cemac region due to its strong repayment history.
On March 17, Cameroon’s Treasury will initiate a public bond issuance program through the Bank of Central African States (BEAC), aiming to raise CFA145 billion by March 31. This initiative will involve six long-term Treasury Bond (OTA) issuances, slated to have maturities of 3 to 7 years, with individual targets of CFA20 billion to CFA25 billion per issuance. Investors can expect varied interest rates, starting from 6% for 3-year bonds to 7.5% for 7-year bonds.
In conclusion, Cameroon’s decision to adjust interest rates demonstrates its commitment to attracting investment amidst evolving market expectations. The country’s historical ability to maintain lower borrowing costs positioning it favorably, despite recent hikes in interest rates. The government’s track record of on-time debt repayment continues to enhance its reputation within the Cemac monetary zone, establishing investor confidence.
Original Source: www.businessincameroon.com
