The IFC August 21, 2013 announced that it has obtained consent from Ghana’s Securities and Exchange Commission (SEC) and the Ghana Stock Exchange (GSE) to regularly issue cedi-denominated bonds.
“The consent enables IFC to issue cedi bonds when market opportunities align with funding needs, supporting local capital markets while increasing access to local-currency finance for the private sector,” the World Bank Group’s private arm said.
The IFC, in 2012, announced a programme – the IFC Pan-African Domestic Medium-Term Note Programme in which it will issue over $1 billion equivalent local currency bonds in a number of African countries including Ghana.
The IFC said it has appointed IC Securities as the Licensed Dealer Member for bonds issued under the IFC programme in Ghana.
“Supporting domestic capital market development is a priority for IFC because such markets efficiently intermediate funds in an economy,” IFC’s Vice President and Treasurer Jingdong Hua said in a statement.
According to Hua, the consent from the Ghanaian authorities enables “us to support the deepening of the local capital markets and offer local-currency funding for priority sectors such as infrastructure”.
IFC has issued local-currency bonds in emerging markets around the world, including Brazil, China, Nigeria and Russia.
Its local-currency bonds are rated triple-A by Moody’s Investors Service and Standard & Poor’s.
By Ekow Quandzie