I did not realize that Kagame junta just floated another ” Treasury Bond” to suck the last drop from a contracted economy.
Kagame junta has mastered the art of avoiding hungover by remaining drunk all the time. That’s great trick. Isn’t it? Think of a country borrowing every month!!!
How can excessive borrowing be the solution for Rwanda’s serious economic problems especially the current poor fiscal and monetary policies? Is excessive borrowing an answer to issues like (a)excessively high interest rates that has triggered unprecedented foreclosures with, literally, no buyer leading to (b) liquidity crisis and (c) unprecedented inflation together with the country’s shameful trade deficit?
Of course, Kagame junta will force institutions to subscribe to his reckless bonds. Some cunning investors rush for the junta’s bonds because it’s a sovereign bond; the sovereign is there to stay, its people will pay even when they default somewhere.
………………
PROSPECTUS
FOR
RWANDA GOVERNMENT TREASURY BOND
TENOR. 5 YEARS
TOTAL VALUE: RWF 10 BILLION
ISSUE N”: FXD 1/20 17/ SYRS
AGENT: NATIONAL BANK OF RWANDA
ISSUE DATE: FEBRUARY 22, 2017
ISSUE N ‘: FXD 1/2017/5YRS
By Prof. Charles Kambanda