The long awaited 7-year Treasury bond worth Rwf10 billion ($11.72m) opened today to investors and the general public.
The bond will stay open till Wednesday November 22nd for as low as Rwf100,000 per share.
Central Bank Governor, John Rwangombwa told KT Press that the bonds will be oversubscribed based on previous experience.
“More Rwandans understand how the markets operate. In 2014 we started seriously marketing the bonds. We are expecting an oversubscription,” Rwangombwa said.
By day-one, Rwangombwa said it was early to access performance but added that results will be disclosed on the closing date on the bonds.
In 2016 about Rwf1.9 billion listed securities were traded on Rwanda stock markets.
Government plans to use the money from the bond in implementing infrastructure projects that will spur the country’s 7-year development agenda.
Once the bond is sold off this year, the government plans to roll out two more five and ten-year bonds in February and May 2018 respectively.
Since 2008, government has tabled 23 treasury bonds ranging from two to seven years, worth over Rwf213.5millions (minus the Eurobonds) and collected Rwf211.7millions of which Rwf170millions remain unpaid.
In the meantime, Bralirwa (BLR) counter had a quick recovery during this Monday trading sessions as Rwanda stock and shares index went down.
BLR counter closed at Rwf150 (Rwf155 previous). The trading session recorded a total turnover of Rwf150, 000 from 1,000 shares traded in 1 deal.
All other counters remained constant from last week’s trading.
Both RSI and ALSI went down 1.65 and 0.23 point then closed at 132.32 and 133.04 respectively. Today’s trading session recorded a total turnover of Rwf799, 600 from 8,000 shares traded in 4 deals.