The International Finance Corporation (IFC), a member of the World Bank Group is to strengthen domestic capital markets in West Africa by
issuing over $1 billion bonds in Cedis and CFA francs over the next 10 years.
This decision follows approval from Ghana and the eight member countries of the West African Monetary Union (MU) to establish local currency bond programs to strengthen domestic capital markets and support private sector development in the region.
IFC has also gained approval for a local currency bond issue in Kenya and is working with the authorities in Nigeria on a similar approval.
The bonds will be sold in their respective markets to domestic and foreign institutional investors.
IFC bonds according to IFC are rated Triple-A by Moody’s Investors Service and Standard & Poor’s. It was also indicated that, proceeds from the bonds will fund IFC projects that support private sector development in key areas such as infrastructure and access to finance for small and medium enterprises.