Ivory Coast: A record bond issuance that redefines the standards of the UEMOA financial market
Ivory Coast has marked a decisive turning point in the management of its sovereign debt with the largest bond issuance ever conducted in the West African Economic and Monetary Union (UEMOA). Launched on February 19, 2025, and closed on March 4, 2025, this active debt management operation raised over 450 billion FCFA, exceeding the initial target of 400 billion FCFA by 12.5%. This massive enthusiasm reflects renewed investor confidence in the Ivorian sovereign signature and revitalizes the regional financial market, now aligned with international practices.
This operation is based on a sovereign bond exchange, a mechanism commonly used in international Eurobond markets but still relatively rare within UEMOA. Specifically, the Ivorian state offered holders of bonds maturing between February and June 2025 the opportunity to convert them into new bonds with longer maturities, thereby allowing for the smoothing of the debt amortization profile and optimizing public finance management.
The offer consisted of two new bond issuances, the first named “TPCI 5.90% 2025-2030,” which offered a nominal rate of 5.90% over five years and aimed for an amount of 240 billion FCFA. The second, “TPCI 6% 2025-2032,” proposed a nominal rate of 6% over seven years, with a target of 160 billion FCFA.
This strategy not only reduces the volume of short-term repayments but also improves budget predictability by easing pressure on public cash flow. Already tested in 2024, this innovative approach establishes Ivory Coast as a pioneer in modernizing financial instruments within UEMOA.
The success of this issuance also illustrates the country's strong macroeconomic performance, with projected growth of 6.3% in 2025 and a controlled budget deficit of 3% of GDP. By enhancing its attractiveness to investors, Ivory Coast reinforces its role as a regional financial locomotive and contributes to the emergence of a deeper and more structured bond market within UEMOA.
Source: Sika finance, MEPD Web Portal Editorial Team
