The Ghanaian government has announced arrangements to pay the fourth maturing debts to domestic bondholders under the Domestic Debt Exchange Program (DDEP) on Tuesday.
A statement said late Monday that 6.08 billion Ghana cedis, or 393 million U.S. dollars, would be paid to all DDEP bondholders as part of the scheduled fourth coupon payments.
In line with agreements with the bondholders, the government has also made a payment-in-kind (PIK) deposit of 3.46 billion cedis, or 223 million dollars, into the respective securities accounts of all bondholders.
The government has also reactivated its local cedi currency debt service recovery account known as the sinking fund with 7.0 billion cedis or 452 million dollars as a buffer for the fifth DDEP coupon payment due in July, added the statement.
The statement added that the John Mahama-led government is committed to honoring all obligations under the DDEP.
“Ultimately, the government seeks to restore fiscal prudence while ensuring value for money in every expenditure,” the statement said.
In line with that, it said the 2025 budget statement would announce further measures to restore market confidence in the economy, prioritize spending, and improve transparency and accountability in public spending.
“Despite the challenging economy bequeathed by the previous administration, the government is determined to bring back a stable cedi currency, control spiraling inflation, and create jobs for the teeming youth of the country,” the statement added.
Ghana embarked on the DDEP in December 2022 as part of the requirements to access the support of the International Monetary Fund (IMF) for its reforms aimed at curing the ailing economy