Debt exchange: Abstainers hold on to GH¢14.76bn of old bonds
Some investors, including pensioners that declined Ghana’s domestic debt exchange programme (DDEP) hold about GH¢14.76 billion of the now old sovereign paper, a statement from the Ministry of Finance has indicated.
Their holdings will not be converted into new bonds for settlement in line with the debt programme meant to tidy up the country’s debt stock and earn it a US$3 billion support from the International Monetary Fund (IMF).
The abstainers include the pensioner bondholders which have been protesting their inclusion in the programme.
In the statement released Tuesday, February 14, the Ministry of Finance said of the GH¢97.75 billion outstanding principal, GH¢84.99 billion was voluntarily tendered by investors that opted to participate in the programme.
It said the subscription rate was equivalent to about 85 per cent.
“The government is pleased with the results, as a substantial majority of the eligible holders have tendered,” the statement, signed by the Minister of Finance, Ken Ofori-Atta, said.
“This result is a significant achievement for the government to implement fully, the economic strategies in the post-COVID-19 Programme for Economic Growth (PC-PEG) during this current economic crisis,” the statement added.
Ghana needs an IMF programme to reorganise it finances, regain market access and confidence for rising inflation and the falling cedi to stabilise.