Thursday, December 23, 2010

Cameroon says 200 bln CFA T-bond oversubscribed

YAOUNDE Dec 23 (Reuters) - Cameroon's sale of 200 billion CFA francs ($400.6 million) of treasury bonds was oversubscribed, the chair of the Douala Stock Exchange said late on Wednesday.

"The government requested 200 billion CFA francs but received more," DSX chair Benedict Belibi told a press conference, adding a commission would examine the subscriptions by Dec. 29 to see which would be retained.The bonds, yielding 5.6 percent and maturing from 2012 to 2015, were offered for a 15-day period starting Dec. 6 and listed on the Douala Stock Exchange.

Cameroon's finance ministry said in October the country's first treasury bond issue was intended to raise funds to major infrastructure programs including the Lom Pangar dam seen as key to raising hydropower generation.

Cameroon, central Africa's largest economy and among the region's commercial oil producers, is seeing to triple electricity output by 2020, in part to pave the way for a slew of energy-intensive mining developments.

Analysts have said the electricity bottleneck is among the country's largest obstacles to growth.

The government has said it plans to issue a second batch of bonds worth 150 billion CFA in 2011.

(Reporting by Tansa Musa; editing by richard Valdmanis, Ron Askew)

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