Announcements of new bond issues have been coming thick and fast out of Zambia this year, and the government’s Road Development Agency is the latest to get in on the act.
According to Bloomberg it plans to issue $1.5bn of debt to international investors later this year. Ambitious, certainly – will it work? Continue reading »
Zambia seems determined to keep itself in the frontier debt market headlines. Following its heavily over-subscribed 10-year $750m debut eurobond issue in September, other organisations want in.
December saw state energy company, Zesco, announce plans to tap international markets for up to $2bn. Lusaka city council followed with plans for a $500m municipal bond issue to fund new housing, and this week deputy finance minister Miles Sampa told Bloomberg that the towns of Solwezi and Livingstone would be next. Continue reading »
Zambia is not normally considered a part of the international sovereign debt investment landscape, but it made a stir back in September with a massively oversubscribed debut eurobond issue. Now the city council of the capital, Lusaka, is seeking to build on the success with its first municipal bond this year.
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Spain may not be Uganda, as its premier Mariano Rajoy undiplomatically exclaimed in a text to his finance minister earlier this year. According to bond investors, it is Zambia.
The Republic of Zambia this week sold its maiden 10-year dollar-denominated bond, raising $750m from international investors. Funds swamped the deal with orders of about $12bn, allowing the country to price the bond at a yield of just 5.625 per cent. Spain’s 10-year bond yield is currently 5.78 per cent. Continue reading »