Senegal’s Bonds Slide as Sonko’s Cabinet Probes Budget Holes

  • Prime minister says debt, budget deficit were under-reported
  • Nation’s dollar bonds fall on news of planned investigation

Prime Minister Ousmane Sonko

Photographer: Annika Hammerschlag/Bloomberg
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Senegal’s dollar bonds weakened sharply after the government announced a probe into the previous administration for painting an unrealistic picture of the country’s finances.

The bonds were the worst performers in a Bloomberg index of emerging and frontier sovereign dollar debt. The yield on the securities due 2048 climbed 34 basis points to 9.84% by 8:30 a.m. in London. The yields on the notes due 2033 and 2031 were also climbing quickly.