Pensioner Bondholders’ Forum await clarity on Gov’t’s bond buyback proposal as it says no conclusion reached yet
The Pensioner Bondholders’ Forum has released a statement clarifying the current status of the proposal for the government to buy back all principal amounts from June 2023 to December 2023 at market price. According to the Forum, no conclusive decision has been reached regarding the submission of such a proposal. The Forum clarifies that their understanding from a previous meeting between the Finance Ministry and the Forum was that the Ministry was considering making such an offer. However, the Forum advises that if a “buy back” offer is indeed being contemplated, it should include the principal amount plus accrued interest payable to ensure a fair resolution for bondholders.
This assertion by the Pensioner Bondholders’ Forum stems from a previous meeting where the Finance Ministry, representing the Government, made promises to address the concerns of individual pensioner bondholders. The meeting resulted in a series of commitments from the government to rectify the situation and provide relief to affected bondholders.
One of the immediate actions promised by the government was the prompt payment of outstanding coupons that were due from 12th to 29th May 2023. This step aims to alleviate the financial burden faced by pensioners who have been anxiously awaiting their rightful coupon payments.
In addition to the coupon payments, the government expressed its commitment to ensuring the payment of outstanding principal amounts owed from 20th February 2023 to 29th May 2023. Within two weeks from the date of the meeting, the government intends to settle these outstanding principal payments, providing much-needed financial stability to the affected pensioners.
Furthermore, the government proposed a buyback initiative for the principal amounts due from June 2023 to December 2023. However, the details and feasibility of this proposal have yet to be finalized.
To address concerns, clarify details, and foster a constructive dialogue, the government has extended an invitation to all members of the Pensioners Bondholder Forum to attend a meeting scheduled for Thursday, 8th June 2023, at 9:00 am. This meeting serves as a platform for open discussions and aims to expedite the resolution process.
As pensioners eagerly await a clear resolution, the Pensioner Bondholders’ Forum emphasizes the importance of fair and transparent solutions that consider the principal amount and accrued interest payable. The upcoming meeting between the Forum and the Finance Ministry will play a crucial role in shaping the outcome and providing much-needed clarity for all affected bondholders.
