A photograph taken in Abidjan on March 27, 2024, shows CFA franc banknotes checked by a man. The election of anti-system candidate Bassirou Diomaye Faye to the presidency of Senegal has cast further doubt on the future of the CFA franc in West Africa, even if leaving this common currency remains an uncertain economic adventure. (Photo by Issouf SANOGO / AFP)
Ivory Coast successfully secured 41.2 billion CFA francs on July 29 through a public securities auction managed by UMOA-Titres, marking a notable development in its domestic debt strategy.
The issuance featured a mix of four financial instruments with varying maturities: 364-day Treasury Bills (BAT), along with 3-, 5-, and 7-year Treasury Bonds (OAT).
The Ivorian government had initially offered 50 billion CFA francs in securities. Total investor bids reached 53.9 billion CFA francs, resulting in a strong overall coverage rate of 107.81%. However, authorities accepted only 76.43% of the bids, reflecting a selective approach to managing borrowing terms.
Short-term debt instruments were the standout performers. The 364-day BATs saw full subscription, with 21 billion CFA francs accepted at a marginal rate of 6.54% and a weighted average yield of 6.93%. This result confirms continued investor confidence in Ivory Coast’s short-term fiscal instruments.
The 3-year Treasury Bonds drew the highest level of interest, with bids totalling 31.89 billion CFA francs. Out of this, 20 billion CFA francs were accepted, representing an absorption rate of 62.72%, with a yield of 7.37% and pricing at 95%.
In contrast, appetite for longer-term bonds proved lukewarm. No bids were retained for the 5-year OATs despite offers amounting to 813.5 million CFA francs. Meanwhile, the 7-year bonds attracted only 200 million CFA francs, which were fully accepted at a yield of 7.44% and a price of 92.10%.
Participation in the auction was overwhelmingly domestic. Senegal was the only other country from the West African Economic and Monetary Union (WAEMU) to engage, submitting a single bid of 200 million CFA francs for the 7-year bonds, which was fully accepted. The remaining member states—Benin, Burkina Faso, Guinea-Bissau, Mali, Niger, and Togo—did not participate.
This latest auction underscores a clear preference among investors for short-term Ivorian debt, highlighting continued caution around long-term commitments amid an evolving regional economic landscape.
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