IMF Urges Ghana to Finalize Debt Restructuring with Non-Eurobond Commercial Creditors
The IMF Director for the African Department, Abebe Selassie, has commented on Ghana’s ongoing debt restructuring efforts, noting that substantial debt remains to be renegotiated with non-eurobond commercial creditors.
Mr Selassie’s remarks, made during a press briefing on Friday, October 25, indicate that further debt agreements are essential to align with Ghana’s external debt restructuring framework and objective to attain debt sustainability by driving down the country’s debt-to-GDP to 55% by 2028.
The African Director at the press briefing expressed optimism that Ghana could make headway with non-eurobond commercial creditors in the coming weeks or months, advising the government to remain steadfast in securing a favourable deal for the nation.
“The government needs to stay strong and make sure that it gets the best deal it can for the people of Ghana,” he remarked, while acknowledging the progress achieved thus far.
Ghana, which recently concluded a highly anticipated external debt restructuring programme, secured significant debt relief from its creditors, including a $5 billion debt cancellation and a $4.3 billion debt service relief, saving the country approximately $12 billion across bilateral agreements and Eurobonds.
The debt restructuring process, completed in nine months, is considered a marked success relative to the two years often taken by other nations to restructure similar debt portfolios.
