Dr Mohammed Amin Adam
In a major breakthrough, Ghana has successfully restructured its Eurobond debt, securing a staggering 98.6% investor participation rate.
The landmark deal marks a significant milestone in the country’s efforts to restore financial sustainability and debt management.
Finance Minister Dr. Mohammed Amin Adam announced the achievement at a press briefing in Accra, revealing that the consent solicitation exceeded the government’s target of 65%.
The restructuring effort, launched last month on the London Stock Exchange, aimed to amend the original terms of $13 billion in debt owed to Eurobond holders.
Dr. Amin Adam hailed the achievement, stating, “Ghana has achieved significant debt relief in record time.
“This swift action showcases the government’s unwavering commitment to restoring financial and debt sustainability.”
Implications of the Deal
The successful restructuring is expected to: restore financial and debt sustainability, Improve Ghana’s credit rating, enhance investor confidence and Support economic growth and development.
Ghana’s debt crisis has been a longstanding concern, with the country struggling to service its $13 billion Eurobond debt.
The restructuring deal provides a much-needed lifeline, paving the way for renewed relationships with rating agencies and global financial markets.
Next Steps
The government is expected to issue new bonds in the coming weeks to replace the existing $13 billion Eurobonds.
The successful restructuring is seen as a critical step towards Ghana’s economic recovery and growth.
However, Ghana’s landmark Eurobond restructuring deal marks a significant turning point in the country’s economic journey.
The government’s commitment to fiscal discipline and debt management has yielded impressive results, paving the way for a brighter economic future.
-BY Daniel Bampoe
