Last November 29, the managing director of Morocco’s BMCE Bank announced their plans to use the $300 million rose in a bond sale to increase the expansion of their company across Africa.
BMCE is the first private finance company in Northern Africa to issue bonds in the global capital markets the bank last week.
Some of the Moroccan institutions such as Banque Centrale Populaire, Attijariwafa Bank and the phosphate monopoly OCP consider a foreign bond issue for the reason of lack of liquidity and small size of the local market.
As stated by the Managing director of the BMCE, the company has already established its presence in French-speaking countries in Africa. At present it is pursuing the Anglo-phone countries, wherein there is a promise of economic development. It will declare the succeeding step upon final decision.
BMCE’s five-year bond’s profit was at 6.50 pct, or a 200 basis point spread throught the Moroccan sovereign bonds.