Senegal successfully raised $750 million in the international financial market through private placement to enable the country cover its financial needs for 2024, the West African nation's finance and budget ministry said on Thursday.

The soon-to-be oil and gas-producing country mandated J.P. Morgan London for a $500 million issuance with a coupon of 7.75% per year and a seven-year maturity.

"In order to further optimize debt servicing, these securities were simultaneously converted into euros, at an average rate of 6.47%," the ministry said in a statement.

It added that an additional tranche of $250 million was raised following strong interest from investors.

"This private placement of bonds with international investors is a first operation of its kind for the state of Senegal," the ministry said, adding it was part of the government's medium-term strategy to diversify its financing instruments and broaden its investor base.

Senegal's return to the capital market follows that of Ivory Coast in January, Benin and Kenya in February after a near two-year drought as sub-Saharan African countries, hit hard by rising interest rates and the fallout from the COVID pandemic, stayed away from the international debt market.

(Reporting by Diadie Ba Writing by Bate Felix Editing by Anait Miridzhanian)