BY TSEGAYE TILAHUN
ADDIS ABABA – The growing desire among global actors to purchase Ethiopian Sovereign Bonds is a clear manifestation of the former’s confidence in the peace and stability of the country, according to a well- acclaimed corporate leader Eyesuswork Zafu.
Approached by The , the veteran banker said that the situation, which is largely attributed to Ethiopia’s military success over TPLF forces, also attested the confidence in the government’s loan disbursing capability. Purchasers of the Sovereign Bonds have the belief that Ethiopia will solve internal problems by its own capacity. “It is a confirmation that the peace of Ethiopia has been progressing well and also the conflict with the TPLF is ending in the favor of the government.”
As to him, Ethiopia’s sovereign bond would be valueless while the confidence of other countries is low. The growth of the value of Ethiopian Sovereign Bonds at the international market is a symbol of confidence as long as the current situation of the country has been improving.
Zafu, who has a formidable experience in Ethiopia’s banking and insurance industry, further noted that the purchasers have developed the perspective that Ethiopia’s situation will get well and the government has the capacity to deal with the local challenge. As the government efficiently neutralizes the TPLF military, the demand for Ethiopia’s Sovereign Bonds has been showing steady progress.
“Last three or four months, the attitude of some countries towards Ethiopia was totally different compared with now and the value of the bonds was diminished due to the insecurity in parts of the country. Gradually, they have come to understand Ethiopia’s objective reality.”
Ethiopian Sovereign Bonds brings returns this year to 13 percent, the best performance out of 80 developing nations tracked by the U.S.-based news media company Bloomberg, it was learned.
The February 2/2022
