17.75 billion raised through bonds on Rwanda’s capital market

A total of Rwf 17.75 billion has been raised through bonds on the Rwanda stock market (ROTC), as of March 2010. According to statistics from the Capital Markets Advisory Council (CMAC) that show the performance of the market since its inception, three government bonds worth Rwf 16.75 billion each have been issued and one corporate bond from BCR bank worth Rwf 1 billion was issued and they were listed on the OTC market. 

A total of Rwf 17.75 billion has been raised through bonds on the Rwanda stock market (ROTC), as of March 2010.

According to statistics from the Capital Markets Advisory Council (CMAC) that show the performance of the market since its inception, three government bonds worth Rwf 16.75 billion each have been issued and one corporate bond from BCR bank worth Rwf 1 billion was issued and they were listed on the OTC market. 

However as the economy awaits the listing of the first Initial Public Offer (IPO) from the BRALIRWA listing the equity market is yet to take off.

A part from the cross listing of KCB shares last June, the government has decided to sell shares through privatization in a number of companies where it holds shares.

The equity market  was also activated in June 2009 with the cross listing of KCB.  Since the cross listing, the ROTC recorded a total turnover of  Rwf 13, 952,300 from 84,800 KCB shares were traded on the ROTC market in 55 deals. 

The shares started at Rwf160 and hit a high of Rwf 172 and a low of Rwf 153 where it currently trading.

”The list of targeted companies is long, but six of them have been targeted as priority to list on ROTC and one of them, BRALIRWA is at an advanced stage in preparations for the first ever IPO on the ROTC,” said Celestine Rwabukumba the Operations Manager of CMAC.

Trading operations on the secondary market commenced on 31st January 2008 on the Rwanda OTC Market.
“To date, the bond market transacted a total turnover of Rwf624, 300,000 in 58 deals,” Rwabukumba said.

“The debt securities that have been actively traded so far are the two 2 year government Treasury bonds that of which two matured at the end of January 2010 with periodic interest of 8 percent per annum and a three year treasury bond paying 8.25 percent per annum,” he added.

A fourth bond was issued in January 2010 to replaced the expired ones in a bond issuing program which was put in place by government to support capital market development.

The treasury bonds that were trade in the secondary market so far are worth Rwf 474.3 million in 55 deals.  The bonds traded between 98.50 and 102.95.

The 10 year BCR bond that will mature in 2017 with periodic interest of 9% per annum was transacted at 100.25 in 3 deals worth Rwf 150,000,000 (One hundred fifty million Rwandan francs). At the launch of the ROTC market in Jan 2008.

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