Banking

ACCRA (Capital Markets in Africa) – Ecobank Ghana Ltd. is counting on an increase in deposits and rising use of its digital services to lower costs and help sustain profit growth after a knockout 2018 for earnings. The West African country’s second-largest lender is reaping the rewards of what the International Monetary Fund predicts will be the world’s fastest expanding economy this year. Lower interest rates are set to spur lending, while a regulatory cleanup that weeded out…

LONDON (Capital Markets in Africa) – The activist investor challenging Barclays Plc’s management responded to last week’s rebuff with an olive branch, saying that “mutual goodwill” could deliver a major increase in value — while repeating his opposition to the lender’s plans for its investment bank. Edward Bramson, whose Sherborne Investors vehicle holds a 5.5 percent interest in Barclays stock, said in a letter published Monday that “we have consistently assisted boards that were initially reluctant…

CAIRO (Capital Markets in Africa) – Egypt is gearing up to issue its first Panda, Samurai, sukuk and green bonds in the fiscal year starting in July as it attempts to cut borrowing costs by diversifying funding sources, Finance Minister Mohamed Maait said. The country raised $6.2 billion from dollar and euro bond markets in early 2019, but postponed plans to issue debt denominated in Japanese yen and Chinese yuan, sukuk and green bonds during the current fiscal year ending June…

LAGOS (Capital Markets in Africa) – Ecobank Transnational Inc. sold $450 million of Eurobonds Thursday at yields that rank among the highest from emerging markets this year, the first debt sale from a lender with shares listed on the Nigerian stock exchange in 18 months. One of Africa’s most geographically diverse banks issued five-year senior unsecured notes priced at 9.75 percent, Renaissance Capital, one of the arrangers, said in a statement. The funding will help the lender to…

ACCRA (Capital Markets in Africa) – Ghana’s cedi has recovered to levels that appropriately reflect the state of the economy after “overshooting” during a slump in the first quarter, according to the head of the central bank. The currency of West Africa’s second-biggest economy collapsed as much as 16 percent against the dollar after offshore holders of domestic debt failed to roll back their maturing investments at the same time as when the central bank was…

JOHANNESBURG (Capital Markets in Africa)  – The South African Reserve Bank is steadfast that it wants to see inflation expectations anchored at the 4.5 percent midpoint of its target range, Governor Lesetja Kganyago said. While the central bank unexpectedly raised its key rate to 6.75 percent in November, its current policy stance remains accommodative with the benchmark rate still below neutral, Kganyago said in an interview on Thursday with Bloomberg Television in Washington. Consumer inflation was below…