Times Of Swaziland: GOVT’S E5BN BOND ISSUANCE APPLICATION APPROVED

GOVT’S E5BN BOND ISSUANCE APPLICATION APPROVED
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BY MMELI MKHWANAZI on 10/11/2021 08:12:00


MBABANE – Government bonds have reportedly increased by 2.2 per cent.
This is as per the Eswatini Stock Exchange (ESE) monthly report for September.
There was no change from Augusts’ figures of E5.453 billion to September’s
E5.452 billion in total government bonds value during the period under review.
Year-on-year, government bonds marked a 2.213 per cent increase in the total
value traded on the Eswatini Stock Exchange (ESE). Meanwhile, the ESE Market
Committee held a virtual meeting to consider the E5 Billion Eswatini Government
bond issuance programme application on the ESE.
Clarifications
The committee looked into the application and listened to the presentations and
clarifications by the Central Bank of Eswatini as government debt sponsor. The
application was approved subject to the CBE furnishing the committee with the
relevant documents. The CBE furnished all the documents on the last day of
September together with the issuer’s legal advisor’s confirmation that the
issuer’s documents were complete, met regulatory standards, save only to those
exemptions accorded by law due to the unique circumstances of the issuer and its
proximity to the Government of Eswatini. With the above documents received, the
E5 billion government bond issuance programme was moved from a conditional
approval to a firm approval. Meanwhile, as of September 30, 2021; total
corporate bonds value stood at E1.311 billion.
Activity
There was one bond that commenced trading in the period under review and it was
FIN311 worth E20 million. Year-on-year, corporate bond activity marked a 5.454
per cent increase in the overall total trading on the ESE, from E1.239 billion
in September last year to E1.311 billion in September  this year.