Africa-Press – Cape verde. The Cape Verde Stock Exchange (BVC) reached a capitalization of 109.2 billion escudos (around one billion euros) in the first quarter, 12.7% more than in the same period of 2022.
Capitalization of the Cape Verde Stock Exchange grows 12.7% in the first quarter
The majority (83%) concerns the bond and treasury bill segment, with a total of 191 listed securities, according to BVC’s Extensive Report for the 1st Quarter of 2023, consulted today by Lusa.
In addition to that segment, BVC also has four companies listed with shares, nine corporate bonds (four more than in the first quarter of 2022) and four municipal bonds (two more than in the same period of the previous year).
The overall volume of operations in the primary market registered a negative variation of 22.38% in relation to the same quarter of the previous year and stood at around seven billion escudos (66 million euros).
The decline is mainly justified “by the reduction in treasury issues, 42.39% lower than the issues carried out in the first quarter of 2022”.
The total interest accrued on all types of bonds, in the same period, amounted to 885 million escudos (eight million euros), 5.7% more than in the same period of 2022, with treasury bonds being responsible for 86% .
The average nominal rate of outstanding interest has registered “a continuous decrease, a situation also seen in international markets”: from 4.5% to 3.8% in treasury bonds and from 5.6% to 4.8% in bonds several, between the first quarter of 2021 and the same period of 2023.
In the first three months of this year, “in the primary market, there were four issues of different bonds”, totaling around 1.4 billion Cape Verdean escudos (12.7 million euros), “around 25% of the total amount of miscellaneous bond issues for the year 2022”.
Numbers that lead BVC to position itself “in a good direction to achieve the strategic objectives defined for 2021-2025”, with several financing operations, through bond loans, for companies and municipalities taking place “in good order, reiterating the commitment of the institution of, in the year 2023, continuing to contribute to financing the economy”.
The quarter was also marked by the debut of “the issuance of blue bonds in the Cape Verde market, the first through a public offering of bonds, with demand exceeding the initial offer by 1.5 times, in an issue that included national and foreigners”, concluded the report.
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