Côte d'Ivoire issued this Tuesday, 6 October 202, a Treasury Assimilable Bond (OAT) with a 20-year maturity on the public securities market of the West African Monetary Union (UMOA). No issuer in the Union had previously borrowed at such a long maturity on the regional financial market.
Executed via auction, the transaction enabled the mobilization of 50 billion FCFA in bonds carrying a competitive coupon of 6,25 %. From 15 to 20 years: a lengthening yield curve.
This transaction is part of a strategy initiated several years ago by Côte d'Ivoire to gradually extend duration while reducing borrowing costs in international and domestic capital markets. At the regional level, Côte d'Ivoire had already carried out two 15-year issuances in 2025 on the public securities market (UMOA-Titres), for a total amount of 55,5 billion FCFA.
These 15-year ‘bullet’ maturity securities represented the longest-dated borrowing instruments issued on the market at the time. By now extending the maturity of the new bonds to 20 years, Côte d'Ivoire takes a new step in lengthening the local currency yield curve and confirms its role as a pioneer in the sophistication of the regional financial market.
Furthermore, this unprecedented operation testifies to investor confidence in the Ivorian signature over the very long term. The country's credit profile has indeed improved in recent years: Côte d'Ivoire today enjoys the second-best sovereign rating in sub-Saharan Africa, and the International Monetary Fund (FMI) reclassified its risk of debt distress from ‘moderate’ to ‘low’ last June.
Twenty years, with repayment of capital at maturity. Unlike bond loans placed via syndication on the Regional Securities Exchange (BRVM), where capital is amortized gradually, the OAT issued by auction are repaid ‘bullet’, meaning the entire principal is due at maturity.
This characteristic contributes to making long maturities rarer in a regional market where the investor base is still largely dominated by banks. In sub-Saharan Africa, few states manage to borrow in local currency over such durations.
South Africa is an exception, regularly issuing bonds with maturities of more than 20 years. With this transaction, Côte d'Ivoire joins the exclusive circle of issuers capable of financing themselves over the very long term in local currency.
The CNPS, a key player in long-term savings. According to our information, the National Social Insurance Fund (CNPS) is the primary investor in this issuance.
Its participation illustrates its capacity to invest in long maturities, just as pension funds do in more developed markets. This intervention capability is largely explained by the parametric reforms of pay-as-you-go pension schemes implemented by the State of Côte d'Ivoire since 2012, which have provided the CNPS with considerable financial surpluses.
The ultimate goal: the sustainability of public debt. Beyond Côte d'Ivoire, this operation opens perspectives for the entire regional market.
Broadening the investor base, notably through increased participation from pension funds, could help states in the sub-region lengthen the duration of their borrowings and considerably strengthen the sustainability of their debt. Published on 06/10/26 20:00.
The Editorial Staff