Ebonyi state plans a 20 bln naira ($130 mln) bond to finance infrastructure development, the lead issuing house said on Wednesday, the latest of several states to announce bond plans in recent months.

Cowry Asset Management said the bond would be a 5-year paper issued in two tranches of 16.5 billion naira and 3.5 billion naira before the end of the month. It said the bond would have a coupon of 13 percent.

The issuing house said the south-eastern state would use the proceeds to repay existing bank loans, build an international market, water project, roads, bridges, an international hotel and a rice processing factory.

The state is awaiting SEC approval for the bond.