The Gabonese Republic has successfully completed the pricing of a USD 920 million international bond issuance, marking the Republic's return to international financial markets. Cygnum Capital acted as Joint Arranger, alongside Citi, on the transaction.
The Eurobonds carry a coupon of 9.375%, with a three year grace period on principal repayment and a final maturity of seven years, maturing in 2033. The transaction was significantly oversubscribed, with the Minister in charge of the Economy and Finance engaging multiple leading global institutional investors over several days of negotiations. The net proceeds will be allocated to financing the State's investment projects and to the repayment of arrears, in accordance with the 2026 supplementary budget law.
The transaction comes alongside ongoing technical discussions with the International Monetary Fund, with a Staff Visit expected in Libreville in September 2026, with the ambition of finalising a programme by year end.
The transaction was larger than Cameroon’s $750 million seven-year bond issued in January, but Gabon’s coupon is higher than Cameroon’s reported 7.79% effective euro cost after a currency swap. Gabon did not announce a bond buyback alongside the sale, so more of the proceeds may reach the Treasury after fees. The result shows market access, but it also leaves the government with more dollar debt and interest costs.
