The State of Burkina Faso, through its General Directorate of the Treasury and Public Accounts, raised on May 26, 2021 on the financial market of the West African Monetary Union (UMOA) an amount of 87.931 billion FCFA (131.896 million euros) at the end of its issuance of Treasury stimulus bonds (ORD) with maturities of 3, 7 and 10 years organized in partnership with the UMOA-Titres Agency based in Dakar.
Launched by the UMOA-Titres agency in collaboration with the Central Bank of West African States (BCEAO), the issuance of ODRs aims to allow the issuer to mobilize the savings of natural and legal persons with a view to ensuring the financing needs of the Burkina Faso State budget are covered as part of its economic recovery plans in order to contain the effects of the COVID-19 pandemic and return to pre-crisis performance sanitary. It targets not only socially responsible investors but also companies or individuals wishing to support the economic recovery actions initiated by the States of the UEMOA zone.
At the end of the auction, the agency UMOA-Titres identified 168.776 billion FCFA for an amount put up for auction of 80 billion FCFA. This gives a coverage rate of the amount put out to tender of 210.97%.
Of the total amount proposed by the investors, the Burkinabé Public Treasury retained 87.931 billion FCFA and rejected the remaining 80.845 billion FCFA, ie an absorption rate of 52.10%.
The securities issued will be redeemed on the first business day following the maturity date set on May 27, 2024 for ODRs with a 3-year maturity, on May 27, 2028 for ODRs with a 7-year maturity and on May 27, 2031 for ODRs with maturity 10. years.
Regarding the payment of interest, it will be made at the end of the first year at a fixed interest rate of 5.55% for 3-year ODRs, 6.10% for 7-year ODRs and 6.20 % for 10-year ODRs.
