Gabon's Dollar Bonds Gain As Junta Sets Election for April

Le pays

Swearing-in of Brigadier General Brice Clotaire Oligui Nguema, President of the Transition (file photo).

23 January 2025

Daba Finance (Abidjan)

Gabon's dollar bonds rallied after the nation's junta announced presidential elections will take place on April 12, 2025, signaling a potential return to civilian rule. The election will follow the timeline promised by military leaders after Brice Oligui Nguema overthrew former President Ali Bongo in August 2023.

Energy Minister Séraphin Akure-Davin confirmed the date, stating voting will follow existing regulations. No candidates have yet declared their intention to run. Under the constitution adopted in November 2024, Gabon will shift to a presidential system, abolishing the prime minister role, with a seven-year presidential term and a one-time re-election limit.

The 2023 coup came after disputed elections, with the military citing irregularities. Nguema, then commander of the Republican Guard, became transitional president.

Key Takeaways

Adherence to the junta's electoral timeline and structural changes to governance, including the new constitution, signal efforts to stabilize Gabon's political environment. Markets responded positively, with bondholders optimistic about reduced uncertainty. While the election date offers a path forward, Gabon's reliance on oil revenues and political stability remains central to its economic prospects. Military-led African transitions often face international scrutiny, but Gabon's planned return to civilian rule could improve investor sentiment and strengthen its global standing.

Read the original article on Daba Finance.