Government announces suspension of payments on eurobonds, bilateral debt, others
Finance Chief Ken Ofori-Atta, has announced the suspension of payment on selected external debts including payment on Ghana’s Eurobonds, commercial term loans, and bilateral debt.
The decision by the Finance Ministry to suspend payments of the country’s external debts, it notes in a statement issued on Monday, December 1, 2022, forms part of “additional emergency measures necessary to prevent a further deterioration in the economic, financial, and social situation in Ghana.”
“This suspension will include the payments on: our Eurobonds; our commercial term loans; and on most of our bilateral debt. This suspension will not include the payments of our multilateral debt, new debts (whether multilateral or otherwise) contracted after 19 December 2022 or debts related to certain short term trade facilities.
“We are also evaluating certain specific debts related to projects with the highest socio-economic impact for Ghana which may have to be excluded. This suspension is an interim emergency measure pending future agreements with all relevant creditors,” read parts of the statement.
“As it stands, our financial resources, including the Bank of Ghana’s international reserves, are limited and need to be preserved at this critical juncture,” it added.
Read details of statement below:
