Senegal managed to raise $750 million on the international debt market. The information, revealed by the Bloomberg news agency, indicates that the Eurobond was issued in two tranches: $500 million and $250 million, with an interest rate of 7.75% and a maturity of 7 years. This fundraising comes as the new President Bassirou Diomaye Faye and his Prime Minister, Ousmane Sonko, are implementing their economic and political program.
Renewed investor confidence
For analysts, this operation underlines a renewed confidence of investors towards Senegal, particularly after the pre-electoral disturbances. The country managed to obtain a lower interest rate than Benin (7.9%) and Kenya (10.37%) on their recent Eurobonds. The best performance nevertheless remains that of Côte d’Ivoire, which raised 2.6 billion dollars last January, with an interest rate of 6.61%.
Promising economic outlook
Senegal is poised to become one of sub-Saharan Africa’s leading oil and gas producers, thanks to significant discoveries made over the past decade. This prospect should boost the country’s economic growth, expected at 8.3% this year according to the IMF.
Economic and financial reforms
Elected on the promise of reforms, President Diomaye Faye undertook a project to consolidate public finances, aiming in particular to reduce the debt and its service. The new authorities intend to capitalize on oil and gas resources to carry out these reforms, with a promise to renegotiate the terms of the operating contracts signed by its predecessor.
Congratulations to Sheikh Diba
In this context of economic renewal and increased investor confidence, it is important to congratulate Cheikh Diba for his decisive role and his significant contributions. His commitment and expertise were essential to the success of this fundraising operation. Congratulations, Cheikh Diba, for this remarkable success and for your dedication to the prosperity of Senegal.
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