Parliament has now given government the green light to issue the country’s second Eurobond of up to one billion dollars on the international capital market. This was after a heated debate in parliament today between the majority and minority of the house over the agreements covering the bond.

Speaking to JOY BUSINESS just after the approval, the Finance Minister, Seth Terkper noted government is now going to finalize the due diligence process which is ongoing.

“We’re meeting with our lead advisors. Government has a tentative timetable for the road show which would involve an interaction with international investors. We expect the bond to be issued in July according to the timetable” he noted.

Meanwhile, the Finance Minister is to return to the house and explain in detail, how government intends to utilize proceeds from the bond.

Chairman of Parliament’s Finance Committee, James Klutse Afedzi told the house the money will partly fund projects identified in the 2013 budget.

The house on Tuesday, 25 June 2013 deferred the approval to Thursday, 27 June 2013 after it identified some errors with the agreement the committee on Finance presented.

Some analysts were earlier worried any delay in approving the BOND might affect government’s chances of getting all the funds from investors at a good interest rate.

Ghana in 2007 issued its first 10 year Eurobond to raise 750 million dollars from the International Market.

Source: myjoyonline