Kigali — The government of Rwanda through the National Bank of Rwanda has successfully issued a five year bond worth 15 billion Rwandan Francs.
According to a press statement released by the bank, it said that the issuance has been successful with a very high subscription level of 263.0% from 107 applications received from different categories of investors.
In the same statement, the Governor of the Bank, John Rwangombwa notes that the book was opened on Monday February 19, 2018 and closed on Wednesday February 21, 2018.
The book-building method was used to price the bond and the final price was announced at par with yield of 11.80%.
In the final allotment, individuals and retailers were allocated 12.3% of the total issued amount and institutional investors 41.0% while banks were allocated 46.7%.
According to the Governor's statement, the bond coupon will be paid semi-annually and listed on the Rwanda Stock Exchange on Tuesday February 27, 2018.
He said the successful issuance is attributed to current favorable macroeconomic conditions and continued joint efforts in public awareness campaign across the country in a bid to encourage Rwandans to invest in risk free Government securities.
He highlights that the next bond issuance for this year will be on May 23, 2018 for a 10 year bond.