Ivory Coast to Issue First Sub-Saharan Africa Eurobond in Two Years

Ivory Coast to Issue First Sub-Saharan Africa Eurobond in Two Years

Ivory Coast the world's largest cocoa producer will sell new international debt to raise funds on the Eurobond market next week.

Why is this important: This would be the first Eurobond issue of any Sub-Saharan African since Angola and South Africa's bond sale in April 2022. Ivory Coast is tipped to be one of Africa's fastest-growing economies and has been implementing its economic reforms through its National Development Plan (NDP) 2021–2025 leading to a growth rate of 6.90% in Q3 2023 and a projected GDP of 7.0% in 2024.

In the numbers: - Ivory Coast's last issue was in 2021 when the country raised 850 million euros ($1.03 billion) in an oversubscribed Eurobond sale with a yield of 4.30% for bonds worth 600 million euros that will mature in 2032.

The bottom line: The increase in interest rates and other economic conditions has made it difficult for most African nations to access the international debt markets. As countries like Ivory Coast try to implement economic reforms to stimulate growth and generate revenue, this could be a good time to access the international debt market.

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