A. Framework of the operation
In 2018, the debt strategy devoted an important number of internal and external financing as a support to the investment and financing of the public debt. The target was to boost the national economic growth and to promote the emprovement of debt ration in the long run.
The public debt strategy 2019 goes along with that of last year, characterized by the persistence of budget deficit. This deficit will be financed by loans program, loans projet and bond issues. Loans projet and program will be signed by bilateral and multilateral partners. As for bond issues will be done on the financial market of the sub region.
In this context, the state authorized by the financial law 047/2018 of the 30th January 2019, a global debt of 120 000 000 000 CFA Franc through a bond loan. In fact, the Gabones Republic, represented by the minister of Economy, finance and National Solidarities wish to mobilise, by public offering, the amount of one hundred billion CFA Franc (100 000 000 000) on the financial market of CAEMC are, destined to the partial financing investments on internal esources of the 2019 budget.
These investment are nobody projet regarding roads, education, health, professional formation, agriculture and rural development as well as other projets.
This bond loan is paid at the annual rate of 6.25% on 5 years maturity of an amortizing loan of 1 year.
B. Loan object and destination
The product of issue bond loan by public offering “EOG 6.25% Net 2019-2024” on the financial market of the (CAEMC) states members, will be use to partially finance certain investment projets enshrined in the legislation of finance 2019, financed on own resources.
| PROJECTS | GLOBAL COST | FINANCED COST BY APE | % APE AMOUNT |
|---|
| Project: Seed program phase II | 1 000 000 000 | 1 000 000 000 | 1 |
| Project: Rural and agriculture development program | 3 562 502 467 | 1 000 000 000 | 1 |
| Biodiversity conservation and sustainable forest and waters management | 15 087 011 000 | 2 096 553 106 | 2,1 |
| Project: Arc Emeraude – protected areas management around Libreville | 7 215 527 000 | 1 199 766 006 | 1,2 |
| Project: Control of forest management | 7 871 484 000 | 896 787 100 | 0,9 |
| Management of hydraulic resources and sanitation | 43 624 890 900 | 1 146 381 492 | 1,1 |
| Project: Acces to basic services and capacity building of rural services | 35 224 890 900 | 300 000 000 | 0,3 |
| Project: hydraulic pumps | 8 400 000 000 | 846 381 492 | 0,8 |
| Health: offer and access to medical care | 18 000 000 000 | 14 000 000 000 | 14 |
| ? | 10 000 000 000 | 10 000 000 000 | 10 |
| Project: equipment for provential hospitals | 8 000 000 000 | 4 000 000 000 | 4 |
| Pre-primary, primary and secondary education | 23 145 000 000 | 14 645 000 000 | 14,6 |
| Project: rehabilitation and development of school infrastructures | 19 200 000 000 | 10 700 000 000 | 10,7 |
| Project: College and high Schools development program | 3 945 000 000 | 3 945 000 000 | 3,9 |
| Equipment and infrastructures | 143 982 949 961 | 41 445 232 902 | 41,4 |
| Project: management of the road assets | 16 145 232 902 | 16 145 232 902 | 16,1 |
| Project: management and rehabilitation works of the municipal roadways of Libreville | 28 137 717 059 | 7 800 000 000 | 7,8 |
| Project: Resurfacing of departmental roads | 10 000 000 000 | 7 900 000 000 | 7,9 |
| Project: Road development PK 12 – PK 105 | 89 700 000 000 | 9 600 000 000 | 9,6 |
| Building / Constructions, accommodation and collective equipment | 65 500 000 000 | 17 954 725 000 | 18 |
| Project: comprehensive plan of resettlement | 40 000 000 000 | 5 000 000 000 | 5 |
| Project: Rehabilitation of Léon Mba and Omar Bongo palaces | 14 000 000 000 | 1 454 725 000 | 1,5 |
| Project: city and rural lighting | 11 500 000 000 | 11 500 000 000 | 11,5 |
| Work, employment and professional formation | 118 136 798 410 | 6 712 107 500 | 6,7 |
| Project: Youth support and employabilite | 55 513 640 910 | 1 542 107 500 | 1,5 |
| Project: Construction and equipment of 3 centre of professional formation | 57 953 157 500 | 500 000 000 | 0,5 |
| Project: Development of technical and professional education | 4 670 000 000 | 4 670 000 000 | 4,7 |
| Total | 432 039 152 738 | 100 000 000 000 | 100 |
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