Ghana is to meet investors to showcase the country’s growing economic prospects this week as it prepares to likely launch its next Eurobond.
The meeting which will have the Finance Minister leading the delegation is a non – deal Eurobond road show.
Parliament has given government the nod to raise more funds in the form of bonds on the international market to support the country’s growing infrastructural needs and also repay part of the its maturing debts.
A non – deal road show which is a requirement that precedes issuing of a bond is to whet the appetite of prospective investors to want to buy bonds from the a country when its issued.
The government team Citi Business News understands will hold meetings in London, New York among others.
Though is not clear when the government will be going on the market to raise its next Eurobond the Technical Advisor at the Ministry of Finance and a Financial Consultant Dr Sam Mensah Speaking to Citi Business News said the outcome of the non-deal road show will influence government’s decision whether or not to issue another Eurobond.
“What we are doing is what we call a noon deal road show it doesn’t involve any deal but its just a routine investor relations meeting with our investors, we will be meeting investors in London, New York as we given them information on the economy, fiscal deficit, debts levels and prospects of the economy.
That is how you keep the investors interested in your country and also interested in buying your bond as we have so many financing options that we are looking at.”
Dr Sam Mensah told Citi Business News that government was not sure if they will issue Eurobond even with the parliamentary approval as other options is being considered by the finance ministry.
“Parliament has given its authorization for government to issue a bond but its depends on the market conditions and as of now I can’t tell whether will issue Eurobond on not and let me say that the yield also will be determined by the market meaning the time that you go on the market will tell how much interest we will be paying on the bond being issued”, he said.
Source: citifmonline