ACCRA Oct 17 Ghana has issued its first dollar
denominated domestic bond worth $94.64 million in two-year paper
with a coupon rate of 6 percent, consistent with an initial
price range of 5.5-6.5 percent, the Finance Ministry said on
The bond was open only to investors resident in the West
African country and attracted 26 bids totaling $99.64 million.
Proceeds from the bond will form part of a government 'sinking'
fund to repurchase or redeem debt.
"The successful issuance of the bond evidenced by the
generally high subscription and the favorable pricing is a
reflection of the returning confidence in the Ghanaian economy,"
the Finance Ministry said in a statement.
Ghana is emerging from a fiscal crisis that includes
elevated inflation and a steep public debt that forced the
government into an aid deal with the International Monetary Fund
last year worth around $918 million over three years.
The country issued a $750 million Eurobond last month at a
yield of 9.25 percent and said the yield was further evidence of
The economy is a central issue ahead of an election in
December when President John Mahama will stand for a second and
final term against opposition leader Nana Akufo-Addo, who points
to slowed economic growth since the president came took office.
(Writing by Matthew Mpoke Bigg; Editing by Sandra Maler)