Ghana’s finance ministry said on Tuesday it had successfully raised US$3B on the international debt market using a 4-year zero-coupon bond tranche.
The issuance was two times oversubscribed, the ministry said in a statement.
“This historic bond issuance is a strong signal that investors have confidence in our plan for #debt sustainability, economic recovery and growth,” Finance Minister Ken Ofori-Atta was quoted as saying.
The ministry said using US$400M of the money raised to refinance domestic debt would enable the West African country to save around US$200M over the four years.
As a result of its zero-coupon, the bond does not make periodic interest payments, but is sold at a discount to its value at maturity.