DDEP: Govt reaches agreement with Securities Industry Association
Government has reached an understanding with the Ghana Securities Industry Association (GSIA) on the terms for participation by capital market operators in the Domestic Debt Exchange Programme (DDEP).
The agreement entails extending the improved terms of DDEP agreed with the banks to all GSIA members.Follow @Graphicgh
Collective Investment Schemes (CIS) and individuals who hold bonds in Trust accounts with Securities and Exchange Commission (SEC) approved firms, would be offered an enhanced commercial terms agreed with, or exemptions granted to, Individual Bondholders.
Government commits to providing support to GSIA members impacted by the DDEP via both the liquidity and solvency window of the Ghana Financial Stability Fund (GFSF).
The removal of all clauses in the Exchange Memorandum that empowers the Republic to, at its sole discretion, vary the terms of the exchange.
In a joint statement issued by the Ministry of Finance with GSIA in Accra today (January 27), it said “GSIA believes this agreement is necessary to restore market normalcy and confidence in the economy. GSIA urges its members to seek all required internal approvals and clients’ consent to participate in the DDEP per new terms in the updated Exchange Memorandum.
It said with this agreement, the Government has conducted negotiations with a significant group of Bondholders.
“Government views this program as very important towards restoring macroeconomic stability as we reset the economy on a path of strong growth and economic transformation,” it said.