Ghana to issue $2 bln bond to help clear power firms' debt

Ghana plans to issue a 10-year syndicated $2 billion bond before year end to clear legacy debt among its power utilities, a senior government official said on Tuesday.
The lion's share of the proceeds of the bond was meant for power generation company, Volta River Authority, with the rest spread between GRIDCo and the Electricity Company of Ghana, said the chief director in the petroleum ministry, Thomas Akabzaa.
"What we are trying to do as a government is to put all the debt into one portfolio. The three entities all have big legacy debts (in total) hovering around $1.5 billion," Akabzaa told Reuters on the sidelines of an African oil conference.
"The bond will be issued before the end of the year, certainly," Akabzaa said.
He said they met banks last week and the government was putting the final touches to the bond, with issuance protocols for the bond expected to be finalised at the end of June.
Discussions have been held with a number of banks, including Standard Bank unit Stanbic, Ecobank and Standard Chartered Bank, he added.
*First published by Reuters