The Governor of the Central Bank of Congo (BCC), Déogratias Mutombo Mwana Nyembo, launched auctions for Treasury bonds in the Democratic Republic of Congo for the fourth quarter of 2019. The official ceremony took place at the Auditorium of Fleuve Congo Hôtel by Blazon, on Friday, October 4, 2019. Several personalities from the financial sector as well as economic operators took part.

The CCB Governor read the press release announcing the start and details of the Treasury Bill auction process. In the absence of the Minister of Finance on mission, the communiqué was signed by the Deputy Minister of Finance, Junior Mata.

« The Minister of Finance announces the opening of a treasury bill auction under the following conditions: – Amount announced: 12 billion Congolese Francs; Line to be opened PT 3 Months 07/01/2020; Line code: CD000200000017; Bid submission date: Tuesday, 8 October 2019 before 11:00 a.m., Any bid submitted after the deadline will be rejected; Bid deposit location: Central Bank of Congo; Results announcement: Tuesday, 8 October 2019 before 3:00 p.m.; Settlement date : D+2, Thursday 10 October 2019; Line outstanding: 0 (zero) Congolese franc. Note: The Minister of Finance reserves the right to accept an amount less than the amount announced if the terms of the contract are deemed unsatisfactory, » said the Governor of the CCB.

Adjudication des #BonsduTrésor du 08 Octobre 2019. #RDC ⁦@PrimatureRDC⁩ ⁦@Presidence_RDC⁩ #BCC ⁦@SYalaghuli⁩ ⁦@Junior_Mata1⁩ pic.twitter.com/wb9ZUnw1yG

— Ministère des Finances de la RDC (@des_rdc) October 5, 2019

Other details, subscriptions can be made online. The address given in the press release refers only to the address where the financial infrastructure managing these auctions, in this case the Central Bank of Congo based in Kinshasa, is located. However, underwriters can operate from anywhere in the world.

According to Deogratias Mutombo, « the Treasury bill issuance program provides for the issuance of 4 Treasury bills in October 2019 for a total amount of CF 48 billion; 4 other Treasury bills in November 2019 for an amount of CF 36 billion; and 5 Treasury bills in December 2019 for a total amount of CF 66 billion« .

The Government of the Republic has decided to launch Treasury Bonds and Treasury Bonds in order to diversify its sources of financing and to make available to economic agents an additional instrument for investing their surpluses.

As a reminder, it is since 1995 that the Congolese Government has no longer issued debt securities on the domestic market. At the Ministry of Finance, this absence was explained by the political and security situation at the time, coupled with a difficult economic context that no longer allowed these operations to continue.

The launch ceremony of the treasury bill auctions was coupled with the opening of the book written by the Governor of the Central Bank, Déogratias Mutombo, entitled « Mise en place d’un marché intérieur des valeurs du Trésor en R.D Congo« .

Olivier KAMO