Benin is back selling Africa’s first foreign-currency bond of the year, just a day after postponing the issue due to market volatility. The West African nation’s swift return signals improving investor sentiment for emerging market debt, a sector that has seen significant turbulence in recent months.

For Benin, the bond sale is a critical funding tool to finance its budget and development projects. Sovereign issuances from smaller African economies are closely watched as bellwethers for broader access to international capital, especially after recent global rate hikes dampened demand.

The successful placement will be a key test for other frontier markets considering issuances this year. Investors will scrutinize the final pricing and order book depth for clues on appetite for African sovereign risk, with the outcome influencing borrowing costs across the region.