Securities report, which takes stock of the third quarter of 2023, indicates that last year only debt was issued to finance the OGE, debt issuance in foreign currency was cut as much as possible and that 2024 will be the year with the highest debt service until 2028
Data from the Securities Report show that debt denominated in national currency is mostly held by commercial banks, which control 64% of the total issued, followed by legal entities, which control 13% of the total issued, and also by the BNA, which controls 8%. of the total. In the final part of the table, there are pension and investment funds, which, according to the data to which OPAÍS had access, control 5% of the total issued.
In specific terms, the data indicates that the highest concentration of stock of OT-MN securities until September 2023 was with BAI 20%, followed by BFA 14% of a total of 9 billion kwanzas, equivalent to 10, 93 billion USD.
Regarding the stock of debt denominated in foreign currency, the data indicates that the stock is mostly held by National Commercial Banks, with 61% of the total issued, followed by Public Institutions, which control 23%, as well as Legal Entities 11%. and Individuals 4% of the total issued..If we look at the maturities, we realize that the stock of the period has a greater concentration of 4 and 10 year maturities, corresponding to around 44.6% of the total stock of securities..
In 2023 only debt was issued to finance OGe
In 2023, the State only issued public debt to finance the OGE. These issues had maturities varying between six months and eight years, as can be seen in the data to which OPAÍS had access. With regard to OT-MN- NR-2023, that is, the issuance of debt securities in national currency, which as we know was the majority for financing OGE 2023, have terms ranging from 3 years to 10 years and interest coupons ranging from 14.50% to 17% per year.
But here it is important to mention that although in 2023 it was issued only to finance the OGE, there was a time when debt was issued for other purposes, such as in 2017, when the State issued debt for the Reversion of the Baia de Luanda project to the State, with a maturity of seven years. In addition to this, attention is drawn to the issues intended to give life to the Business Development Fund, an issue with a maturity of 10 years, the issue to finance the National Reconstruction program in 2007 and also the issue for the so-called TAAG Project in 2005, with maturities of 5 and up to six years respectively.
It is important to note that in addition to the issuance just to finance the OGE, in 2023 the strategy of reducing emissions in foreign currency was also defined. José Jaime, economist and university professor, shows that the Executive finally has some idea of what efficiency in spending means, since the debt in foreign currency weighs heavily on the State, due to the exchange rate issue.
2024 will be the year with the highest debt service until 2028
The service of the debt in securities is not limited to these securities issued in 2023, in fact, as can be seen above, there are issues that must end their maturity now in 2024, therefore, with regard to debt service until 2028, they indicate that the year 2024 will be the year with the greatest activity in this regard. According to the data, the values could even reach six billion kwanzas, and only in 2026 and 2028, debt service activity will rise again, but not as much as in 2024, and could reach close to 3 billion kwanzas. . Of these values, it is important to note that a large part corresponds to the payment of the capital debt and another small part refers to interest.
The service of Treasury Bonds in National Currency (OT-MN) corresponds to the largest portion of service in the period, 71%, followed by Treasury Bills representing 10% and Treasury Bonds in Foreign Currency (OT-ME), with a weight of 19%. In terms of monetary value, the OT-MN reached more than 9 billion kwanzas, the BT represented 736.2 billion kwanzas and the OT-ME represented 2.34 billion kwanzas.
BY: Ladislau Francisco