Senegal is aiming for an agreement in principle with its official lenders and bondholders by December, three sources said on Tuesday, two years after the emergence of misreported debt that analysts estimate totals $13 billion.
The West African country, which said last month it would seek debt “treatment” under the G20’s Common Framework, made the comments during its first call with investors to outline its debt treatment plans, the sources told Reuters.
It also said it would seek a “constructive contribution” from the 1 trillion CFA francs ($1.72 billion) outstanding in total return swaps (TRS).
The closely watched TRS, derivative contracts that Senegal used to raise financing which are backed by CFA franc government securities, are largely untested in restructurings.
A government presentation named three counterparties, First Abu Dhabi Bank, Africa Finance Corporation and Société Générale for its TRS instruments, the sources said.
