Zambia and Ghana join index family bringing transparency to the most liquid African bond markets
The African Development Bank (AfDB) through the African Financial Markets Initiative (AFMI) launched its AfDB/AFMISM Bloomberg® African Bond Index (ABABI) in February 2015. Calculated by Bloomberg Indices, the composite index is currently comprised of the Bloomberg South Africa, Egypt, Nigeria, Kenya, Botswana and Namibia local currency sovereign indices and have been joined from April this year by Ghana and Zambia.
"As more African countries are increasingly looking to domestic capital markets to source much-needed financing for economic development, we are delighted to welcome Zambia and Ghana to the index and expect to include more countries to it as soon as reliable pricing information is made available," says Stefan Nalletamby, Director of the AfDB's Financial Sector Development Department. The expanded index will now include the eight most liquid sovereign bond markets in Africa.
The AFMI works to deepen the continent's local currency bond markets and also strives to create an environment where African countries can access financing at variable terms. By providing transparent and credible benchmark indices, the AFMISM Bloomberg® African Bond Index provides investors with a tool with which to measure and track the performance of Africa's bond markets.
AfDB has approved on the 7th of December 2016 the creation of the first African multijurisdictional Fixed Income Enhanced Exchange Traded Fund (ETF);namely the African Domestic Bond Fund (ADBF) which will indeed track the performance of ABABI.The ADBF is expected to be launched in September this year.
The composite index is available to Bloomberg Professional service subscribers via {BADB Index}. More on the AFMI can be found at www.africanbondmarkets.org.
Media Contacts:
AfDB
Cedric Mbeng Mezui
Email: afmi@afdb.org
Tel. +225 20263813
Twitter: @afmi_afdb
Facebook: /AfricanFinancialMarketsInitiative
Youtube: AFMI Channel
Bloomberg
Catrin Thomas
Email: cthomas106@bloomberg.net
Tel. +44 20 7392 0673
About the African Development Bank
Established in 1964, the African Development Bank is the premier pan-African development institution, promoting economic growth and social progress across the continent. There are 80 member states, including 54 in Africa (Regional Member Countries). The Bank's development agenda is delivering the financial and technical support for transformative projects that will significantly reduce poverty through inclusive and sustainable economic growth. In order to sharply focus on the objectives of the Ten Year Strategy (2013 - 2022) and ensure greater developmental impact, five major areas, have been identified for scaling up, namely; energy, agro-business, industrialization, integration and improving the quality of life for the people of Africa. For more information, visit www.afdb.org
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