A market for trading Angolan government debt will start tomorrow after it was pushed back a month because of technical delays.
An equities bourse is set to begin in the first half of next year, the state-run Jornal de Angola reported today, citing Pedro Pitta Groz, executive administrator of Bolsa de Divida e Valores de Angola. The process will be done in phases to prepare companies in financial reporting, corporate governance and management, according to the newspaper, based in the capital, Luanda.
Angola, Africa’s second-biggest oil producer, joins countries from Nigeria to Kenya looking to attract investors with new stock listings, derivatives and bond trading. The southwest African nation is building its economy following the 2002 end of a civil war and as it tries to weather slumping global crude prices.
Yields on Angola’s $1 billion of debt due August 2019, which it sold to selected investors two years ago, fell two basis points to 6.32 percent by 10:59 a.m. in Luanda. The southwest African nation sold 6.13 billion kwanzas ($60 million) of 364-day Treasury bills on Nov. 27, with yields rising 13 basis points to 6.76 percent, according to central bank data compiled by Bloomberg.
The opening of the government bond market was pushed back from a planned start in November due to delays in setting up the technical platform, Patricio Vilar, executive director of the Capital Markets Commission, said in an interview Nov. 7. In July, Vilar said equities trading wouldn’t start until at least 2017 because companies need to improve accounting records, while corporate debt trading will start in 2015.