Any further delays in DDEP could pose significant risks to our economy – Ofori-Atta

Finance Minister, Ken Ofori-Atta, has hinted that there will not be a further extension for the expiration Domestic Debt Exchange Programme (DDEP) beyond the set deadline of January 31, 2023.

This comes after government on January 16, 2023, announced a third extension for the deadline as part of efforts to build consensus with some affected bondholders who have openly expressed their displeasure with the DDEP.

Ken Ofori-Atta speaking in an interview with Accra-based Joy News indicated that government aims to attain 80 percent of subscription for the DDEP adding that it is running on a tight schedule to secure a Board-Level approval from the IMF for an extended credit facility.

“No, I don’t think so. I’m confident that we’ll get there. You know we have done the staff level agreement as you know, we met with the Paris Club membership and we have given them till end of February for us to go through what we call the common framework or some version of it but that will be facilitated, and then we expect them to go to board in Washington in March,” Ofori-Atta explained.

He continued, “So really, we don’t have that type of time, because as you know, usually the first quarter is when we would have gone to the international capital market for our usual Eurobond issuance”.

“Now that market is not there for us this year, maybe even next year, an agreement in the fund programme is what one is using to be able to give the necessary comfort that is required,” the Finance Minister stressed.

Ken Ofori-Atta further said any further delays to the DDEP could pose a serious risk to the ailing Ghanaian economy which continues to suffer various setbacks.

MA/FNOQ