Ethiopia Likely to Return to the International Capital Market

September 15,2015
GOE /All Africa

Ethiopia raised US$1 billion with a debut Eurobond in December last year. A Spokesperson for the Ministry of Finance and Economic Development said on Monday (September 14) that it was very likely that Ethiopia would return to the international capital market to help fund infrastructural projects after a new government is announced in October when the new Parliament, elected at the national democratic elections in May, holds its first sitting.

The Spokesperson told Reuters that a final decision had yet to be made. However, Lazard has been appointed as a financial adviser to arrange a series of fixed-income investor meetings for “non-deal road show” in the United Kingdom and the United States later this month.

Non-deal meetings offer nothing for sale but lay out details of the prospects. Ethiopia’s delegation for the meetings will be led by the Minister of Finance and Economic Development, Sufian Ahmed, and the Director of the Ministry’s International Financial Institution’s Cooperation Directorate, Fisseha Aberra. According to the World Bank, Ethiopia’s economy is expected to expand by more than 10% this fiscal year. Ethiopia is rated B1 by Moody’s and B by Standard and Poor, and by Fitch.

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