Training on sovereign borrowing from global capital markets underway

By Pa Modou Cham

The West African Institute for Financial and Economic Management (WAIFEM),  has organized a four day course on sovereign borrowing from global markets: International capital markets.

The training is undergoing at the paradise hotel in Senegambia and financial dealers within West Africa are in attendance.

Mr. Momodou Lamin Jarju, program manager, debt management department,  WAIFEM who represented the director general of WAIFEM explained that the institution was established on July 22, 1996 by the central bank of The Gambia,  Ghana, Liberia, Nigeria and Sierra Leone with core mandate to develop, on a sustainable basis, critical skills for macroeconomic,  debt and financial management among the officials of the central banks, ministry of Finance,  core economic and planning ministries and other public sector agencies core responsible for economic management and promotion of some practices.

"From January 1997 went the institute commenced operation to end June 2019, over 727 training and capacity building programmes in the form of national and regional courses, workshops, seminars,  and mission were executed by WAIFEM."

He added that the activities have benefited over 19,523 middle, senior and executive level officials from central banks, ministry of Finance, economic planning and development,  budgets, accountant general' department,  statistics, debt management,  offices, legislators and journalists and some private sector.

He reiterated that WAIFEM also established collaborative arrangements with world class training organizations and capacity building institutions to ensure best practices in the delivery of its programmes, and as a Centre of excellence in capacity building.

He stressed out that the course is organized on the back drop of growing capital flows to emerging and development markets.

Karamo Jawara director of banking at the Central Bank of The Gambia, who represented the governor explained that global financial conditions in recent years have provided developing countries with opportunities to tap international capital markets by increasing access to non - confessional financing. 

"Several developing countries are broadening the rang of debt instruments that they employ by issuing international bonds. The bonds are issued at a relatively higher interest cost compared to concessional financing."

He said there are many benefits associated with the insurance at international capital markets such as a Eurobond. He added that it serves as an alternative source of financing that some governments in Sub-Saharan Africa are tapping in due to many reasons some of which are: "African countries have huge infrastructure deficit.  It is obvious that these countries need to spend a lot of money on roads, railways, ports, water and energy to ensure steady economic growth. It makes good economic reasoning for a country to borrow to fill the financing gap."

Mrs. Josephine Robert,  the Executive assistant to the director general WAIFEM thanked the participants and the facilitators for the great initiative, while thanking the government and central bank of The Gambia, she said the training could have not take place without the help of them.