The Guinean government has initiated a 2,500 billion GNF bond issuance to fund public projects, with the goal of mobilizing savings from households and banks. A meeting was held on October 7, 2026, to discuss the bond, with representatives from the banking sector expressing confidence in achieving the target. However, they emphasized the need for better information dissemination to individuals to encourage their participation in financing public projects.
The bond, which opened for subscription on September 25, 2026, has an interest rate of 11% per annum and a five-year duration. The minimum subscription amount is set at 5 million GNF, allowing citizens to participate. The capital will be repaid in five installments each year, with interest calculated on the remaining capital. The bonds are dematerialized and exempt from taxes and duties.
According to Minister Mariama Ciré Sylla, the funds raised will be used to finance projects identified in the finance law, particularly in the energy, road, education, and healthcare sectors. She encouraged citizens to participate, stating that it contributes to national development. However, she distinguished between intentions and actual commitments, hoping that the coming days will confirm the amounts announced by investors.
Diawadou Bah, representing the Association of Banks, reaffirmed the banking sector's willingness to support the state, citing a history of respecting public title repayment deadlines. He proposed conducting presentation tours to explain the characteristics of the titles and possibilities for diversifying savings to encourage household participation.
Guy Laurent-Fondjo, lead arranger of the loan, expressed confidence in achieving the target, citing the success of the previous year's issuance, which raised 1,800 billion GNF against an initial target of 1,500 billion. He aims to double the 2,500 billion GNF target. The subscription period will end on October 23, 2026.
The Governor of the Central Bank of the Republic of Guinea, Dr. Karamo Kaba, emphasized the need to balance state resource mobilization with monetary stability and private sector financing. He noted a national inflation rate of 6.4% and maintained the director's rate at 11.5% and the required reserve coefficient at 15.5%.
Maimouna Barry, Vice-President of the Association of Insurers, expressed the insurance sector's willingness to participate actively in the bond issuance, citing the need for long-term placements in local currency. The operation offers a possibility for insurance companies to invest in line with their needs.
Key points
- The Guinean government aims to mobilize 2,500 billion GNF through a bond issuance to finance public projects in key sectors.
- The bond has an interest rate of 11% per annum and a five-year duration, with a minimum subscription amount of 5 million GNF.
- The government hopes to encourage household participation in financing public projects through better information dissemination.
