Minister of Finance, Dr. Mohammed Amin Adam
The Official Creditor Committee, composed of Ghana's bilateral lenders, has approved the country's debt restructuring deal, clearing the way for the restructuring of $13 billion of Eurobonds.
In a statement released by the Finance Ministry on July 8, 2024, the government announced that it has received formal confirmation from its Official Creditor Committee (OCC), that the Agreement in Principle reached with representatives of Eurobond holders, is consistent with the Comparability of Treatment principle.
The statement explained that under the OCC Common Framework for debt restructuring, Ghana's debt must be treated comparably to that of all its other external creditors within the scope of the restructuring.
Furthermore, the ministry stated that the government plans to maintain active engagement with the Steering Committees to finalize documentation and swiftly proceed with the consent solicitation.
In conclusion, the government expressed gratitude to its official partners and representatives from the two Bondholders' Committees for their productive engagement over the past weeks.
Meanwhile, advisers to the Official Creditor Committee and the government have reported that Eurobond holders have agreed to a nominal haircut of 37%.
Additionally, creditors have the option to select between two payment instruments, one with an initial 5% interest rate and the other with a 1.5% interest rate.
MA/NOQ
