Gov’t made a total of GHS 203bn domestic debt restructured with GHS 61bn savings – Ofori-Atta
GHS 29.6bn restructured Pension Fund holdings in Treasury bonds, ESLA and Daakye bonds excluding pension funds. The coupon rate and average maturity period remains the same at 20% and 4 years respectively.
Per details contained in the Investor Presentation document made available by the Finance Ministry and perused by norvanreports.com, a total amount of GHS 203bn in domestic debt have been restructured by the Government through the Domestic Debt Exchange Programme (DDEP).
On the back of the restructured amount, some GHS 61bn in interest cost savings (and partly a 50% cut in BoG principal amount) has been made by the Government.
The breakdown of the GHS 203bn restructured domestic debt is as follows:
- GHS 87bn restructured from Treasury bonds, ESLA and Daakye bonds excluding pension funds.
The average coupon rate and maturity period of the restructured bonds currently stands at 9.1 (previously 19.1%) and 8.3 years (previously 3.8 years).
- GHS 29.6bn restructured Pension Fund holdings in Treasury bonds, ESLA and Daakye bonds excluding pension funds.
The coupon rate and average maturity period remains the same at 20% and 4 years respectively.
- $742m restructured from dollar-denominated local bonds with average coupon rate and maturity period being 3% (previously 5.3%) and 1.5 years (4.5 years).
- GHS 7.7bn restructured from Cocoabills with the coupon rate and maturity period being 13% (previously above 30%) and 4.4 years (previously 0.7 month).
- GHS 70.9bn principal haircut on the non-marketable debt instrument of the Bank of Ghana with the current coupon rate and maturity period 10% and 15 years respectively.
Source: Norvanreports
