Government pushes ahead with IMF bailout plan despite bondholder opposition
Ghana’s government is standing firm on its domestic debt exchange program, despite protests from individual bondholders.
Finance Minister Ken Ofori-Atta has insisted that the program is necessary to secure an International Monetary Fund bailout and to balance the needs of the nation with protecting citizens’ livelihoods.
Individual bondholders have expressed concern that the program, which is seen as one of the harshest debt restructuring measures ever adopted, will cause economic hardship and potentially make their bonds worthless. They have also criticized the lack of consultation prior to the announcement of the policy.
In a recent interview with PM Express Business Edition, Mr. Ofori-Atta promised to address some of the concerns of individual bondholders and pensioners and to work towards creating a sustainable solution.
He cited the Zero Coupon for 2023 as an example of a measure that may need to change.
Despite the protests, the government is determined to push ahead with the domestic debt exchange program, which is seen as vital to securing the much-needed IMF bailout and stabilizing the country’s economy.
It remains to be seen how the situation will play out and whether the government’s efforts to address the concerns of individual bondholders will be successful.
