Our inaugural Debt Symposium on Strengthening Local Currency Debt Markets in Africa concluded that: (i) the demand for local-currency government bonds are low; (ii) interest rates in local markets are high; (iii) the investor base is narrow and underdeveloped; and (iv) financial instruments seldom address the needs of investors. Furthermore, public debt officials at the Symposium cited ineffective investor management as a key impediment to broadening the investor base and developing local markets.

The policy dialogue on Strategies to Broaden the Investor Base brought together African public debt managers and market participants to share their perspectives on challenges in market development. It also aimed to improve communication and mutual understanding between the supply and buy sides and considered policies and practices that may allay investor’s concerns. This could lead to more sustainable sources of financing for the public sector.