Govt pumps P1.8bn into the Treasury

This was done to supplement the budget in the face of an anticipated deficit of P6.2 billion this year, BusinessWeek has learnt.

Average bid to cover ratios for all the notes on offer suggested aggressive demand from the market, which was expected given the turbulence in international markets and the relative safe-haven status of Botswana government paper.The latest capital, sourced under the extended bond issuance programme, comprises two existing bonds from which some funds were unallocated in previous auctions, as well as a new P400 million note and a P1 billion Treasury bill. The two reopened bonds pumped in P456 million to the treasury at coupon rates averaging nine percent.