Govt pays GH¢10.8bn to DDEP bondholders

Background On December 4, 2022, the New Patriotic Party (NPP) government launched the DDEP in a bid to restructure domestic bonds of about GH¢137 billion and reduce the country’s debt expressed in terms of general productivity – Gross Domestic Product (GDP) – from the region of 85 per cent to sustainable levels.

The extensive restructuring of domestic debt and Eurobonds was a key component of and a precondition for admission into the Extended Credit Facility (ECF) programme of the International Monetary Fund (IMF) for a $3 billion economic bailout to address unsustainable debt levels, which were hitting more than 85 per cent of GDP.“Making this coupon payment reinforces market confidence by demonstrating strong fiscal discipline and government’s unwavering commitment to honouring all its upcoming debt obligation, by lowering perceived risk of sovereign default”.