Finance Minister assures individual bondholders on coupon payments, maturing principals
Finance Minister Ken Ofori-Atta, has assured individual bondholders that the government will honor their coupon payments and maturing principals, despite not participating in the recently concluded Domestic Debt Exchange Programme (DDEP).
The statement released on Tuesday 14 February 2023 has provided clarity and assurance to bondholders who chose not to participate in the DDEP.
In the statement, the Minister indicated that the DDEP is being implemented to safeguard the economy and strengthen the country’s capacity to service its public debts effectively. He further explained that not executing the DDEP would have resulted in significant disorder in the servicing of the national debt, which would exacerbate the current economic crisis.
The Finance Minister’s statement has reassured bondholders that the government is committed to its fiscal commitments and ensuring that coupon payments and maturing principals for government bonds are honored.
The Ministry of Finance also acknowledged the input made by various stakeholders during the DDEP engagement, highlighting the government’s commitment to address the issues raised.
The Finance Minister specifically stressed the commitment to honoring the coupon payments and maturing principals of all individual bondholders, especially senior citizens.
The statement has been welcomed by many as a positive development that would enhance investor confidence in the government’s ability to manage its public debts. It provides assurance to individual bondholders who chose not to participate in the DDEP that their investment in government bonds is safe and secure.
This development comes at a time when Ghana is facing significant economic challenges due to the impact of the COVID-19 pandemic. The government has been implementing several measures to address these challenges, including the DDEP, to ensure that the country’s economy remains resilient and stable.
The Finance Minister’s statement has provided clarity on the government’s commitment to managing its debt portfolio effectively, which is essential to the country’s economic recovery.
The Finance Minister’s statement has provided reassurance to individual bondholders in Ghana that their coupon payments and maturing principals are safe and secure.
It demonstrates the government’s commitment to managing its public debt effectively and ensuring that the country’s economy remains stable and resilient. This development is a positive step towards enhancing investor confidence and promoting economic growth in Ghana.
