The government of Ghana is back to the investing public to raise some funds to pay off maturing debts.

To this end, the government, through the Bank of Ghana, will, on Thursday, 28 May 2020 issue a 3-year bond.

The debt instrument, which is expected to mature in 2023, will be opened to both resident and non-resident investors.

It is unclear how much the government is seeking to raise but the central government may accept all the funds that will be bid by the investors.

This is because the COVID-19 pandemic might prevent many investors from subscribing to the bond due to liquidity challenges.

Analysts are, however, hopeful that the yield will not go beyond 19%.

The minimum bid for the bond is GHS50,000 and multiples of GHS1,000 thereafter.

Each Bond will, however, have a face value of one Ghana cedi.

Absa, Databank, Fidelity, IC Securities, Stanbic are joint lead managers for the issuance of the debt instrument.

The government of Ghana, on 8 May 2020, accepted all bids of a 2-year bond, amounting to GHS668.76 million.

The yield on the debt instrument, which is expected to mature in 2022, was 18.75%.

A chunk of the money was used to settle maturing debt (principal and interest.