Gabon bonds tighten after securing IMF package

摘要

Yields on Gabon's longest dated Eurobond fell to 6.98% from 7.26% last week after the central African country was granted a US$642m facility by the International Monetary Fund to cover any potential budget deficits in the next three years. That puts the US$500m 6.95% June 2025 note trading close to par, indicating that the market has few concerns about the country's ability to pay back debts, despite its reliance on oil revenues that are suffering from declining prices.