The Democratic Republic of Congo has raised $1.25 billion in its first-ever international bond issuance, capitalising on strong investor demand and improved global market conditions.
The resource-rich Central African nation sold $600 million in bonds due in 2032 at a yield of 8.75%, alongside $650 million in 2037 bonds priced at 9.50%, according to a bank involved in the transaction. Demand was robust, with order books exceeding $2 billion and $2.8 billion respectively, excluding lead managers.
Finance Minister Doudou Fwamba Likunde Libotayi described the sale as a milestone in the country’s efforts to diversify its funding sources and strengthen its financial standing.
“The success of the transaction reflects recognition of the progress we have made to enhance macroeconomic stability, improve public finance management and advance structural reforms,” he said.
The issuance forms part of a broader $1.5 billion Eurobond programme announced earlier this year. Proceeds will be directed toward infrastructure, energy and social development projects aimed at supporting long-term growth.
The bonds are senior unsecured and amortising, meaning repayments will be made over time. Strong demand enabled the government to tighten pricing from earlier guidance of around 9.125% and 10% for the respective maturities.
Investor appetite has been bolstered by Congo’s vast reserves of critical minerals such as cobalt and copper, which are key to the global energy transition. The country has also drawn increased attention from the United States and its allies seeking to reduce reliance on Chinese supply chains.
Momentum was further supported by a “positive” outlook from S&P Global Ratings earlier this year, citing improved growth prospects, stronger foreign reserves and better tax collection.
More broadly, emerging market bond issuance had surged earlier in the year before slowing amid the Iran conflict, which drove up energy prices and raised concerns about inflation and borrowing costs. Market conditions have since improved following a provisional two-week ceasefire between Washington and Tehran.
Libotayi said the government was working to strengthen resilience against external shocks, including efforts to improve energy security and maintain macroeconomic stability.
Despite the successful sale, Congo continues to face structural challenges. These include heavy reliance on mining exports, ongoing insecurity in its eastern regions, and dependence on concessional financing, which accounts for the bulk of its external debt.
Authorities also flagged risks linked to volatile commodity prices, infrastructure constraints and economic concentration tied to major trade partners such as China.
The government has signalled its intention to become a regular issuer in international debt markets as it seeks to broaden its financing base.