Coronavirus: United Kingdom, facing worst recession on record, sees GDP drop 20.4% in Q2

The UK has seen its economy, hit by the coronavirus crisis, suffer a "record" contraction of 20.4% in the second quarter, and is officially facing its worst recession on record, agency figures show National Statistics (ONS), published Wednesday 12 August. 
Economists consider that a country enters a technical recession when it accumulates two consecutive quarters of contraction in its economy. According to the ONS, most of the contraction, which began to be felt in March, occurred in April, an entire month of containment and almost total cessation of activity in the country, which saw production collapsed by 20%.

With a very early recovery in construction sites and manufacturing activity, gross domestic product (GDP) rebounded in May by 2.4% (revised figure), followed by an acceleration in June (+8.7 %) thanks in particular to the reopening of all shops. This is the biggest contraction in the UK economy since the ONS began these quarterly statistics in 1955, he said…

Dakar to launch 'bonds covid-19' issue of little over 103 billion CFA Francs

The State of Senegal will launch an issue of assimilable Treasury bills called "Bonds Covid-19", for an amount of 103 billion 130 million CFA francs, APS learned Thursday from Agence UMOA-Titres.
This issue '' aims to allow the issuer to mobilize the savings of natural and legal persons in order to cover the cash flow gaps created by the fight against the Covid-19 pandemic and its consequences '', specifies a information note from Agence UMOA-Titres.

Dakar to launch 'bonds covid-19' issue of little over 103 billion CFA Francs

She recalls that the State of Senegal raised, at the beginning of last June, 38.5 billion CFA francs on the financial market of the West African Economic and Monetary Union, following an issue of similar bonds from the Treasury of 'an amount of 35 billion CFA francs.
At the end of that same month of June, he had also collected 82 billion CFA francs from a simultaneous issue of similar bonds from the Treasury of the General Directorate of the Treasury and Public Accounts.

In May, the UMOA-Titres Agency announced the mobilization, within the framework of “Bons Social Covid – 19”, of “more than 1,000 billion CFA francs” on the public securities market of the Economic Union and West African monetary policy, to meet the financing needs of member states.

The '' Covid-19 Social Bonds '' issuance program, amounting to approximately CFA francs 1,172 billion, has been validated by the countries of the Union, '' as part of the implementation actions to mitigate the negative impacts of the coronavirus pandemic ''.

This validation was carried out with the collaboration of technical and financial partners. The aim of this new instrument called '' Bons Social Covid-19 '' is to '' enable the Member States of the West African Economic and Monetary Union to mobilize financial resources enabling them to face emergencies related to the fight against the pandemic ''.

The UMOA-Titles Agency considers that "the implementation of the 'Covid-19 Social Voucher' program during the months of April and May 2020 was a resounding success".
It cites the participation of 85 UEMOA investors, ’an overall average issuance coverage of around 368% and a weighted average issuance rate of 3.1433%’ ’.

"The dispersion of rates around this weighted average varies between 2.7574% and 3.5208%," says the UMOA-Titles Agency.

For her, the high level of investor mobilization in a relatively short time demonstrates two things. The first is "the commitment of actors to the development of the WAEMU government securities market".
It demonstrates "also and above all the high level of their social responsibility in the face of the scale of the health crisis which is shaking the world".

The “Covid-19 Social Bonds” are equivalent Treasury bills, with a maturity of three months, issued by auction at rates deducted at or below 3.75%.

They not only benefit from access to the traditional window of the Central Bank of West African States, but also from access to a special Covid window for three-month refinancing, at a fixed key rate of 2, 5%, over their entire lifetime.