Eskom dollar bonds rally as govt weighs extra support options

Dollar-denominated bonds issued by South Africa’s Eskom gained on Thursday after a senior treasury official said the government was weighing extra options to support the struggling state power firm.

The 2023 issue added 0.7 cents in the dollar, while the 2028 issue gained 0.5 cents in the dollar, according to Tradeweb data.

Read: Government weighs new support measures for struggling Eskom

SA won’t consider quantitative easing to help Eskom – Masondo

The support included swapping Eskom’s debt for government bonds or ring-fencing it in a special account, Reuters reported on Wednesday, citing a senior treasury official.