Senegal raises R11bn in oversubscribed domestic bond offering
The issuance, which ran from June 19 to July 8, was arranged by CGF Bourse with Societe Generale Senegal as co-lead. It forms part of the government's broader strategy to diversify budget financing sources, deepen the domestic capital market, and manage public debt.
Senegal has seen mounting concerns about its debt levels. Its international bonds have lost roughly a quarter of their value since revealing in September it had what analysts estimated as up to $14bn (R250.91bn) of previously undisclosed debt.
That pushed its debt-to-GDP ratio towards 120%, making it one of the highest in Africa.
Despite the debt concerns, the latest offering was oversubscribed by 21.3%, reflecting strong demand from both domestic and regional investors.
The ministry attributed the success of the issuance to growing investor confidence in Senegal's economic outlook.
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Socioeconomic imbalances The three countries should also address socioeconomic imbalances, which fuel frustrations and provide fertile ground for terrorist recruitment. Despite significant agro-pastoral potential and gold reserves on both sides of the Senegal-Mali border, locals remain poor, with minimal investment in infrastructure, healthcare, education, water and electricity. Cross-border economic development initiatives targeting the youth and involving Guinea could be explored. These could be carried out through bilateral cooperation or within the framework of the Organisation for the Development of the Senegal River. Finally, this security and economic cooperation approach should be integrated into ongoing negotiations between the Alliance of Sahel States (Mali, Burkina Faso and Niger) and the Economic Community of West African States. 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