Finance Ministry makes GHS 2.4bn first coupon payment for restructured debt instruments
The Ministry of Finance has taken a decisive step towards settling the inaugural matured coupons of bonds under the Domestic Debt Exchange Programme (DDEP).
Following a successful restructuring effort earlier this year, the government managed to reconfigure approximately GHC 87.76 billion worth of existing bonds, transforming them into 16 novel bonds characterized by a diverse array of maturing dates.
These maturities are set to span from August 2027 up to August 2038, each accompanied by varying interest rates ranging between 5% and 15%. Notably, interest payments on these new bonds are slated to occur biannually.
Making the announcement via its official Twitter handle on Tuesday, the 22nd of August, the Finance Ministry underscored its commitment to sustaining the success and credibility of Ghana’s domestic debt operations.
The Ministry’s tweet read: “In a resolute stride toward nurturing the triumph and reliability of Ghana’s domestic debt operations, instructions have been disseminated to effectuate the settlement of the first coupon payment, amounting to GHC 2.4 billion, within the framework of the DDEP. The payment, slated for today, exemplifies our unwavering dedication.”
The government is expected to channel funds totaling nearly GHS 2.5 billion towards bondholders by the day’s close on Tuesday, August 22nd, 2023. The GHS 2.4bn coupon payment serves as a testament to the government’s dedication to prudent financial management, imbued with transparency and a steadfast commitment to bolstering investor confidence.
