Government to engage private banks, contractors over debt restructuring

The Minister of Finance, Dr Mohammed Amin Adam, has revealed that the next batch of creditors to suffer government’s financial haircut due to the current debt restructuring programme are private banks and contractors.

According to him, the government through the Ministry of Finance has sent an offer to private banks and contractors who it owes about $2.8 billion for a possible restructuring of the debt.

The Government of Ghana after successfully negotiating a deal with its bilateral and Euro-bond holders, has now turned its attention to private banks and suppliers. The negotiations with these creditors who form part of the country’s commercial creditors according to the finance minister are aimed at providing some debt relief to the country.

Responding questions from journalists at its monthly economic update, Dr Amin Adam announced that the government has sent an offer through its advisors. He said the government has also engaged physically with these creditors in Ghana and China.

“We visited China and we engaged some of them. We have also engaged some here in Ghana and we have shared our offer with them for their consideration. Hopefully, they will accept the terms that we are offering to them,” the finance minister told Journalists in Accra.