The Ghana Government and the Ghana Association of Banks (GAB) have made significant progress in terms of bank participation in the Domestic Debt Exchange Programme (DDEP).
Final adjustments to the program’s terms are included in the new agreement.
These include a commitment to pay a 5% coupon in 2023 and a single coupon rate for each of the twelve (12) new bonds, resulting in an effective coupon rate of 9%, clarity regarding the operational structure and conditions of access to the Ghana Financial Stability Fund (GFSF), and the removal or modification of all provisions in the Exchange Memorandum that permit the Republic to change the terms of the Exchange at its sole discretion.
A joint statement from the Finance Ministry and GAB that was released on Monday contains this information.
GAB stated that member banks’ participation in any case should not come after the January 30 deadline.
“This is a significant milestone towards addressing our economic challenges, and will thus help to restore macro-economic stability and accelerate Ghana’s economic growth. With this achievement, the Government of Ghana reiterates its commitment to concluding the DDEP in time with all other stakeholders,” the statement noted.
Read the statement below:
MOF-GAB Press Release DDE 23Jan23
