Rwanda raises millions through a Eurobond

05 August 2021 | Economics

Rwanda raised US$620 million through a 10-year Eurobond, the finance ministry said late on Monday, part of which will go towards retiring an outstanding dollar bond.

Like global economies, the East African nation has experienced a surge in public debt in the wake of the coronavirus crisis, which hit revenues and forced the government to borrow more.

Total debt climbed by 13% last year, driving the overall level to 71% of Gross Domestic product (GDP), which is expected to jump to 79.7% at the end of this year, the finance ministry said in May.

Still, investors piled into the latest issue, offering US$1.6 billion in total. The eventual interest rate for the bond was 5.5%, the ministry said.

"The lower yield of this issue will result in a reduction in our annual interest payments over the next 10 years, strongly contributing to our debt sustainability strategy," said the central bank governor, John Rwangombwa.

Bond proceeds will be used to pay off creditors of the existing Eurobond when it matures in May 2023, while the rest will fund economic recovery programs.

The government predicts that the economy will grow by 5.1% this year, after contracting by 3.4% last year, as the Covid-19 pandemic starts to ease. -Nampa/Reuters

Similar News

 

National Consumer Protection Policy launched

2 days ago - 24 September 2021 | Economics

PHILLEPUS UUSIKUThe National Consumer Protection Policy 2020-2025 and the Namibia GS1 License was launched on Wednesday in Windhoek.According to the Minister of Industrialisation, Trade and...

Marketing Namibia as an investment destination

2 days ago - 24 September 2021 | Economics

PHILLEPUS UUSIKUThe ease of doing business, quality of roads and infrastructure, political and economic stability, good governance and judiciary independence are some of the factors...

Economy crawls into the green

2 days ago - 24 September 2021 | Economics

Jo-Maré Duddy WINDHOEKNamibia’s economy grew by 1.6% for the three months ended 30 June, the first positive year-on-year quarterly growth since the...

Nigeria aims to boost oil output

2 days ago - 24 September 2021 | Economics

Nigeria said Wednesday it aims to produce 1.88 million barrels per day of crude oil next year and the budget will be based on the...

Submissions open for Hollard Sport Awards

2 days ago - 24 September 2021 | Economics

STAFF REPORTERLockdown and the limitations on gatherings and events have driven those in the sports marketing and promotional space to have to adapt, digitise, dig...

GIPF applauded for fighting Covid-19

2 days ago - 24 September 2021 | Economics

STAFF REPORTERThe Government Institutions Pension Fund (GIPF) is proud to announce its contribution towards the fight against Covid-19 through an investment into FabuPharm (Pty) Ltd....

Economic growth positive in second quarter

3 days ago - 23 September 2021 | Economics

Jo-Maré Duddy – Namibia’s economy in the second quarter grew by 1.6% on annual basis, recovering from -6.7% the previous quarter and -11.6% in the...

Environment providing a good buying opportunity

3 days ago - 23 September 2021 | Economics

PHILLEPUS UUSIKUDespite interest rates being at record lows and providing a good buying opportunity, economic challenges faced by consumers and low confidence in future economic...

British employers offer more signing bonuses

3 days ago - 23 September 2021 | Economics

Some British employers are offering more signing bonuses to tackle labour shortages and overcome hiring bottlenecks, data from Indeed Hiring Lab’s quarterly report showed on...

UK inflation expectations jump in September

3 days ago - 23 September 2021 | Economics

The British public's expectations for inflation over the next year and over the longer-term jumped this month, raising the risk that the Bank of England...

Latest News

Marketing Namibia as an investment...

2 days ago - 24 September 2021 | Economics

PHILLEPUS UUSIKUThe ease of doing business, quality of roads and infrastructure, political and economic stability, good governance and judiciary independence are some of the factors...

Forklifting failure

2 days ago - 24 September 2021 | Others

Natasja ByleveldAre you OK thinking about unconventional ideas that could uplift society and norms to a higher standard? Do you like a challenge, or do...

Big thinker who is not...

2 days ago - 24 September 2021 | People

Contrasting with his considered, analytical, and steady approach to life, Rolf Mendelsohn is an undisputed adventurer. Together with the other founders of Paratus, Rolf...

Children abused as govt turns...

2 days ago - 24 September 2021 | Police

JEMIMA BEUKES WINDHOEKStaff at a centre for orphans and vulnerable people in Katutura...

Economy crawls into the green

2 days ago - 24 September 2021 | Economics

Jo-Maré Duddy WINDHOEKNamibia’s economy grew by 1.6% for the three months ended 30 June, the first positive year-on-year quarterly growth since the...

Oxygen giant spreads misinformation in...

2 days ago - 24 September 2021 | Health

MADLEN DAVIES and TUYEIMO HAIDULA LONDON/OSHAKATI One of the world’s biggest industrial gas companies spread misinformation in an attempt to stop...

Nigeria aims to boost oil...

2 days ago - 24 September 2021 | Economics

Nigeria said Wednesday it aims to produce 1.88 million barrels per day of crude oil next year and the budget will be based on the...

Submissions open for Hollard Sport...

2 days ago - 24 September 2021 | Economics

STAFF REPORTERLockdown and the limitations on gatherings and events have driven those in the sports marketing and promotional space to have to adapt, digitise, dig...

An easy ride-hailing platform

2 days ago - 24 September 2021 | Others

Wetumwene Shikage The everyday experience for many Namibians of getting a taxi to from different locations has been made more convenient. TaxiConnect provides an easy...

Load More