Government to list bonds on the Exchange

Accra, Aug. 22, GNA - All is set for the Government to list its debt instruments on the Ghana Stock Exchange (GSE) by the first week of September 2006, officials of the GSE said on Tuesday.

This follows successful discussions between officials of the Exchange and the Bank of Ghana.

The Managing Director of GSE, Mr Kofi Yamoah told the Ghana News Agency that as a first step only the two and three-year Government bonds sold this year would be listed.

Attempts would be made to list the backlog of bonds purchased in previous years, he explained.

Mr Yamoah said the listing of the Government debt instruments would help to deepen the debt market for financing infrastructure development such as schools and roads.

It would also pave the way for establishing a benchmark yield curve by which banks and various corporate institutions that decided to issue bonds could match their issues.

He said the decision to list was a demonstration of the Government's commitment to deepening the financial market and it would also give investment promotion.

Mr Yamoah said the Country's relatively stable macro-economic environment provided the necessary platform to aggressively launch into the bond market.

He urged companies, government agencies and district assemblies to be encouraged by Government's move to finance their development activities through bonds.

When finally listed, those wishing to redeem debt instruments they bought before the maturity period would have to do so through the Exchange.