Cameroon to launch 50 bln CFA francs treasury bonds sale

Cameroon to launch 50 bln CFA francs treasury bonds sale
The Government of Cameroon will on Thursday start selling treasury bonds worth 50 billion CFA francs in four installments before the end of the year, Finance Minister Lazarre Essimi Menye told a press briefing in Yaounde on Wednesday evening.

"The issuing of treasury bonds have come to complement the revenues of the government. This issue of treasury bonds is important to us because this is the entry point of the government into the financial market," he said.

He said the bonds will be issued in four installments. The first bonds worth 10 billion CFA francs will be issued on Thursday to mature within 13 weeks, the second also worth 10 billion CFA francs on Dec. 1 to mature within 26 weeks, the third worth 15 billion CFA francs on Dec. 8 to mature within 13 weeks and the forth also worth 15 billion CFA francs on Dec. 15 to mature within 26 weeks.

The revenue to be raised from these bonds will be for the implementation of new major infrastructure projects outlined in the 2011 state budget, he added, citing the Lom Pangar and Memve'ele hydroelectricity projects and the Kribi deep sea port project, among them.

He said the government will be selling the bonds in partnership with Bank of Central African States (BEAC) only through some commercial banks that have reached an agreement with the government. They have no fixed interest rates and so it is left for buyers to negotiate the rates with the said banks.

The Cameroon government is the guarantor of the said bonds and no taxes shall be levied on interests raised by the bonds, he stated.

Editor: Xiong Tong

English.news.cn   2011-11-17 10:37:14 FeedbackPrintRSS
YAOUNDE, Nov. 16 (Xinhua)