Eurobond issuance from sub-Saharan African countries has opened 2026 at its strongest pace in more than a decade, as governments move quickly to lock in cheaper funding amid easing global financial conditions and renewed investor appetite.
According to Bloomberg data, dollar-denominated sovereign bond sales across the region have reached $5.95 billion so far this year, the highest level since 2013. The total marks a sharp jump from $1.8 billion raised during the same period of last year.
Countries including Kenya, Ivory Coast, Republic of Congo, Cameroon and Benin have already tapped international markets, signalling a decisive reopening of the Eurobond window after nearly two years of constrained access.
The rebound reflects a growing window of opportunity for African issuers as borrowing costs fall and investors diversify away from US assets in search of higher yields.
Kenya led the charge on Thursday with a $2.25 billion dual-tranche deal — the largest African bond sale so far in 2026. Ivory Coast, the Republic of Congo, Cameroon and Benin have also tapped the market in recent weeks.
David Austerweil, deputy portfolio manager at VanEck Global, told Bloomberg that a “window of opportunity” remains open for African borrowers to access funding at relatively lower interest rates.
Supporting the trend, the average risk premium on African sovereign dollar bonds over US Treasuries has narrowed to 329 basis points — the lowest level in eight years — according to a JPMorgan Chase & Co. index. Senegal currently stands as the continent’s only distressed sovereign issuer.
The improved sentiment has been underpinned by ongoing International Monetary Fund programmes, gradual credit rating stabilisation and stronger reform momentum in several frontier markets.
Some issuers are already using the favourable market conditions to actively manage their debt profiles. Kenya and Congo have deployed part of their new proceeds to buy back more expensive outstanding bonds, helping to smooth maturity profiles and reduce interest costs.
Investment banks are also ramping up activity. Citigroup has arranged roughly a quarter of all African sovereign bond deals so far this year, according to Bloomberg.
The pipeline remains active. The Democratic Republic of Congo is preparing what could be its debut $750 million Eurobond sale, with officials from Africa’s largest copper producer conducting a non-deal investor roadshow in London this month.
“There is definitely room for more issuance,” Austerweil said. “Deals still come with a premium and trade well in the secondary market. Right now, issuers and investors are both winning.”
