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Friday 29 March 2024

2021-04-07

[N] As Majority Leader be circumspect with your utterances

2021-03-19

[I] Goldman Sachs staff revolt at ‘98-hour week’
[I] Over half of staff go back to workplace
[I] Health chiefs confirm Oxford-AstraZeneca Covid jab safe to use
[S] Kotoko Signs Second Brazalian Player
[N] It Is A Blatant Lie That I’ve Declared My Prez Ambition-Agric Minister
[S] Accra Mayor to change face of sports in Greater Accra
[S] Ambassador Lutterodt charges GOC prez to tackle Martha Bissah issue
[S] Ben Nunoo-Mensah hits ground running for GOC
[S] Black Stars to Engage Uzbekistan In International Friendly
[N] House of Chiefs calls for collaboration with MMDCEs for development
[N] Baby Harvesting: More suspects picked
[N] Police pledge commitment to bringing Sheikh Maikano’s murderers to book
[B] ARB Apex Bank admitted to Ghana-Sweden Chamber of Commerce
[N] Desist from starting race ahead of time - Obiri Boahen to NPP presidential
[N] Gov’t announces construction of five interchanges in Ashanti
[N] Controversial textbooks: NPP urges NaCCA to enforce rules without fear or favour
[N] Staff working on Tamale interchange call off strike
[N] Newly proposed taxes a huge hindrance to businesses’ recovery
[N] Government can’t take a unilateral decision on salaries for public workers
[N] Ghana records 2 new Covid-19 variants; experts call for immediate action

2021-03-17

[S] First GFA safety and security seminar takes place today
[B] NDPC holds consultation medium term framework for 2022-2025 in Oti
[B] More investments recorded in Western Region despite COVID-19
[N] Ghana records 698 COVID-19 deaths
[N] NDC’s Ofosu Ampofo behaves like a toddler – Allotey Jacobs
[S] Don’t tax sports betting, ban it – Ato Forson to government
[N] Ama Benyiwaa Doe slams Allotey Jacobs; says he has no influence
[N] Approving Akufo-Addo’s ministers ‘regrettable and unfortunate’ – NDC caucus
[S] Don't rush Satellites players, warns GFA coaching boss
[N] Eastern Regional Hospital detains 246 patients for non-settlement of bills
[N] COVID-19 vaccination in Ghana: 1,000 reports received on adverse effects
[N] Ignore reports of rift between local, foreign staff at AfCFTA secretariat – Govt
[N] Remain calm, support our leadership in Parliament – NDC Council of Elders
[N] Ghana hasn’t recorded any case of blood clots from COVID-19 vaccination – FDA
[N] 9-year-old boy burnt to death as stepfather sets house ablaze
[B] Budget cuts for legislature, judiciary won’t be entertained – Speaker
[I] Half of UK managers back mandatory Covid vaccines for office work
[I] Brussels to propose Covid certificate to allow EU-wide travel

2021-03-16

[I] Nick Candy leads £1m drive to oust London mayor Sadiq Khan
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General News

[ 2015-02-19 ]

Ghana to issue bond with credit guarantee from WB
Sub-Saharan Africa is poised to continue last
year’s credit binge in spite of repeated
warnings about the possible dire consequences of
rising levels of debt.

Ivory Coast began a round of talks this week with
potential creditors in the hope of securing
further credit just seven months after borrowing
$750m.

The west African country is not alone. Angola,
which has approached banks including Goldman Sachs
for loans, is in talks to issue its first sale of
international currency debt. Investors say
Tanzania, Uganda, Rwanda and Nigeria are all set
to follow, while Ghana is in talks to issue a bond
with some form of credit guarantee from the World
Bank.

The International Monetary Fund has repeatedly
cautioned countries in Africa about the dangers of
growing sovereign bond issuance, particularly in
international currencies. Christine Lagarde, IMF
managing director, told finance ministers last
year they risked the future of the “Africa
rising” story by overloading with debt.

According to British think tank the Overseas
Development Institute countries in sub-Saharan
Africa are threatening losses of close to $11bn if
their currencies continue to depreciate against
the dollar and they are unable to repay money
borrowed over the last two years.

“Repayments are dependent on continued strong
economic growth in sub-Saharan Africa but growth
is now at risk of stalling as export markets slow
and commodity prices — especially oil —
plummet,” wrote Judith Tyson.

“Today’s economic environment in sub-Saharan
Africa is similar to the boom that preceded the
bust in the debt crises in Africa and Asia in the
90s.”

But for issuers the ability to borrow money from
investors at very low rates is hard to ignore.

Global hunger for yield following ultra-loose
monetary policies in the US, Japan and Europe has
pushed investors to look outside their usual
hunting grounds and seek out more exotic assets.
This in turn has led to debt issuances in
sub-Saharan Africa being widely oversubscribed.
Ivory Coast’s sale last year attracted orders of
nearly $5bn.

The next sales will be a test of investor appetite
for African debt in a new world of lower commodity
prices and new expectations of a US interest rate
rise this summer. The flood of so-called “hot
money” looking for a home might not be so easily
drawn to Africa this year, says Kevin Daly, senior
portfolio manager at Aberdeen Asset Management.

If this is the case it raises the question of how
countries can refinance the debts they have taken
out. “Debt sustainability is a concern,” said
Mr Daly. “Issuing in another currency is
attractive to investors but more risky for a
country and countries like Nigeria may be looking
to issue more in its own currency this year.”

Sustainability concerns are also encouraging
investors to look more closely at what their money
is being spent on. “Mozambique borrowed US$850mn
for their national fishing industry but instead
spent the money on military boats and
equipment,” said Ms Tyson at the ODI. “The
irresponsible use of funds by some governments is
contributing to the problem.”

Source - FT



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