The domestic debt exchange program’s expiration date has been extended by the government of Ghana until January 31, 2023.
Ghana’s finance minister, Ken Ofori-Atta, revealed this on Monday in a tweet. The deadline would have been extended a third time.
The government requested that domestic bondholders replace their existing securities for new ones by December 5, 2022.
A set of four new bonds with maturities ranging from 2027 to 2037 would replace the existing domestic bonds, according to the program’s explanation, which hoped to assist the government in reestablishing macroeconomic stability.
However, the initial December 19 deadline for the debt exchange was ultimately pushed back to December 30 and then to January 16.
Ofori-Atta stated in a tweet on Monday that the extension would let the government reach a consensus while interacting with investors and stakeholders.
“Building consensus is key to a successful economic recovery for Ghana,” he said.
“Pending further stakeholder engagement with institutional and individual investors recently invited to join the debt exchange programme, government is extending the expiration of the DDE (domestic debt exchange) to January 31, 2023.”
The International Monetary Fund (IMF) claimed to be assisting Ghana in regaining macroeconomic stability last year.
After street protests broke out in Ghana, one of West Africa’s greatest countries, in July over spiraling inflation, currency depreciation, and other economic problems, the country turned to the IMF for assistance.
After Ghana “announced a thorough debt restructure,” the IMF and Ghana struck a staff-level agreement for a $3 billion loan package over three years on December 13, 2022.