By Standard Bank
In October 2025, Bayport Financial Services Mozambique, launched a MZN 600 million (about $9.4 million) local currency dual tranche bond. The issuance was awarded the Best Local Currency Bond – Financial Institutions – by Global Banking & Markets, with Standard Bank acting as co-arranger and bookrunner, delivering a landmark transaction that strengthens Mozambique’s debt capital markets and supports financial inclusion.
Bayport Financial Services Mozambique is the country’s largest microbank specialising in payroll lending to civil servants, once again made use of the local debt capital markets to expand its reach and empower communities. The MZN 600 million dual tranche bond, marked a significant milestone for the local financial sector, especially taking into account the prevailing market conditions.
The issuance, structured in two tranches, achieved an oversubscription of 2.3 times. This strong investor response reflects confidence in Bayport’s business model and underscores the appetite for well-structured local currency assets in Mozambique.
Standard Bank was appointed as co-arranger and bookrunner, responsible for structuring the deal and coordinating the bookrunning process. Our role extended beyond execution, we advised on the optimal issuance structure, facilitated regulatory approvals, and unlocked liquidity from local pension funds and banks through our Debt Capital Markets (DCM) syndicate. This collaboration between our Investment Banking and Global Markets teams ensured seamless delivery and demonstrated our leadership in Mozambique’s domestic debt market.
The impact of this transaction goes beyond numbers. Bayport’s lending model enables civil servants to access funding for essential needs such as home construction, education, transportation, and development of small businesses. By supporting Bayport’s funding strategy, we are contributing to financial inclusion and economic growth in Mozambique.
The oversubscription of the bond programme highlights our unique placement capabilities and reinforces our commitment to enabling local issuers to access funding, even amid challenging macroeconomic conditions. This deal exemplifies how we bring our purpose to life, driving Africa’s growth through innovative financial solutions.
