Today’s Treasury bill (T/bill) auction attracted K983 million in bids of which K427 million were allocated:
The subscription rate increased from 34.6% at the previous auction to 109% at today’s auction primarily because of the K729 million in bids chasing the 364 days instrument. Yields on the 273 and 364 days bills declined by 75 and 62 basis points, respectively, while yields on the other bills remained unchanged.
Reports indicate that Zambia managed to raise $1.25 billion priced at 9.375% in their third Eurobond issuance in 4 years. The bond is 75 basis points above last year’s $1 billion dollar issuance. It has a different structure to the 2 previous issues - an 11 year average lifespan with 3 equal redemption payments due in July 2025, 2026 and 2027.
This pushes external debt to $6.05 billion (23% of GDP).
Trying to decipher this puzzle that is Zambia by using a variety of publicly available data (structured and unstructured) in conjunction with my own skill/experience. * * *