Update on road bonds

Earlier we posted reports of Senegal government bond sale on the international market. Here is the publicly released letter of Finance Minister Abdoulaye Diop to the IMF seeking an increased debt ceiling:

"To supplement resources from donors and the private sector, the government is mobilizing external funds for the Dakar-Diamniadio toll highway. To this end, the government requests to raise the ceiling for non-concessional borrowing for this project by CFAF 10 billion (less than 0.2 percent of GDP) to CFAF 90 billion. The higher ceiling would allow the government to accommodate possibly higher costs and issue a bond in international markets of $200 million, typically seen as a minimum size for this type of transaction. The small increase would have no negative impact on debt sustainability."