Congo Misses Eurobond Payment as Government Contractor Chases Unpaid Bills
- Company blocks transfer of cash to bondholders amid dispute
- Second African nation to miss payment in 2017 after Mozambique
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The Republic of Congo became the second African country this year to miss a Eurobond payment after a contractor alleging the government owes it money blocked the transfer of funds to debt investors.
Holders of the Central African nation’s $363 million of securities due in 2029 did not receive around $21 million in coupons and amortization payments by the end of July, when the grace period expired, according to Lutz Roehmeyer, a money manager at Landesbank Berlin Investment. Two other bondholders, who did not want to be identified as they aren’t authorized to speak about the matter, also said they hadn’t been paid.