From Bloomberg
Ghana’s central bank held off on selling cedi bonds with maturities more than three years as the world’s worst-performing currency makes longer-dated debt less attractive, according to Databank Financial Services Ltd.
The Bank of Ghana will issue 800 million cedis ($237 million) of three-year bonds in the second half of 2014, with sales this month and October, it said in a circular on its website. There will be no sales of five- or seven-year debt, the longest duration the West African nation offers in local-currency notes, according to the calendar. Foreign investors are only able to buy notes three years and longer.
Ghana’s currency slumped 30 percent this year against the dollar, spurring inflation and eroding cedi assets. The value of oil, gold and cocoa exports dropped in the first five months of 2014 as the government spent 47 percent of revenue on salaries from 44 percent a year earlier. Bank of Ghana Governor Kofi Wampah raised the key lending rate on July 9 to a decade high of 19 percent.
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