The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookiesbefore using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

Africa: Teflon-coated bonds

There is no clearer sign of the strength of investor interest in emerging markets than the scramble for African sovereign bonds, but how long can it last?

Zambia’s debut international bond issue in mid September marked a new high point of interest in emerging market sovereign debt. Lusaka had set an initial target of $500 million, but $12 billion-worth of orders came in and the scale of the demand led the government to increase the size of the issue to $750 million.

Zambia was just the latest country in sub-Saharan Africa (SSA) to tap into the market. Besides South Africa, which has long been involved, there has been a steady stream of other issuers since 2006, when the Seychelles offered a $200 million bond. In 2007, it was the turn of Congo, Gabon and Ghana. They were followed by Senegal in 2009 and the CÔte d’Ivoire in 2010. Last year, Nigeria and Namibia entered the market and Senegal returned to the scene with a $500 million issue.

All these countries have found a ready audience among investors keen to get involved in the growth of African economies, as more developed markets in Europe and the US are struggling. In a research report released in September, South Africa’s Standard Bank went so far as to describe African Eurobonds as ‘Teflon-coated’, which hints at the level of interest and confidence that now exists.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?