Liberia’s First Treasury-Bill Sale Gives Africa’s Lowest YieldsElise Zoker
Liberia’s central bank sold the West African nation’s first Treasury bills at an auction, with the 91-day notes yielding 2.22 percent, the lowest among African debt of that duration tracked by Bloomberg.
The country sold 149 million Liberian dollars ($2 million) after receiving 28 bids worth 298.8 million Liberian dollars, Boima Kamara, head of the Central Bank of Liberia’s research, policy and planning department, said in an interview in Monrovia. The securities will mature on Aug. 1, he said.
Liberia’s plans to offer Treasury bills began at least three years ago when the bank set up a department to work on developing a capital market in the West African nation, where 14 years of war ended in 2002.
The country’s yields are lower than the 2.9 percent Mozambique attracted at its last auction on April 30. Ghana’s three-month borrowing costs are 23 percent, Kenya’s yields are at about 10 percent, while South Africa sold notes at 5.1 percent today.