The general assembly of the Development Bank of Central African States (BDEAC) approved on November 30 the launch of a bond issuance program by public offering for a minimum amount of 300 billion of CFA francs over 3 years (2020-2022).
The shareholders of the Development Bank of the States of Central Africa, meeting in extraordinary session on November 30, 2020, by video-conference due to health restrictions linked to the Covid-19 pandemic, authorized the launch of a program of bond issues by public offering (APE) of CFAF 300 billion over the remaining 3 years (2020, 2021, 2022) of the strategic plan of this regional banking institution.
According to BDEAC, this initiative is in line with priority objective 2 of the 2017-2022 strategic plan, which encourages the Bank to secure and diversify its sources of funding. Thus, the funds raised will be used to finance private sector projects with appropriate resources in terms of maturity and interest rate deferral.
In addition, the funds raised will also make it possible to finance the implementation of priority integrative projects of the Cemac Regional Economic Program, in local currency. “Indeed, the BDEAC securities being exempt from taxes and duties in all the CEMAC countries, in accordance with its statutes, investors who buy its securities will benefit from a guarantee of profitability, security and liquidity, based on the institution’s performance and its diversified shareholder base, ”assures the BDEAC.
With this transaction, the Bank aims to position itself as a benchmark issuer on the regional financial market. It has already to its credit two successful bond loan transactions by private placement in 2005 and 2007, for a total amount of CFAF 40 billion, as well as a bond issue by APE in 2010 on the financial market of the Cemac, for a total amount of 30 billion CFA francs.
