Finance Minister, Ken Ofori-Atta, has described the debt restructuring deal with external creditors as a major turning point for the economy.
According to him, this should help Ghana fast-track the process to reduce its debt to sustainable levels.
Mr. Ofori-Atta explained that the agreement with the official creditors on the terms for restructuring Ghana’s debt did not come easy, but praised the work done by officials of the Finance Ministry, the government and the cooperation of the creditors in reaching this agreement.
This he believes “shows that all the partners are committed to helping Ghana in restoring debt sustainability in line with the IMF’s programme targets
The Finance Ministry in a statement on January 12, 2024, announced that it has reached an agreement with the Official Creditors Committee on the debt treatment under the G20 common Framework.
This came after months of negotiations over the cut of date for restructuring Ghana’ debts.
However, after that final round of meetings last week, all the members of the OCC agreed on December 2022 as the deadline for restructuring Ghana’s debts.
The Finance Minister had been tight lipped of the details of the “term sheet”. He, however, did not rule out December 2022 as the cut-off date for restructuring Ghana’s debts.
Mr. Ofori-Atta also did not dispute the fact that Ghana will now start servicing its debts after the four-year moratorium. Payment will however commence after five years.
Interest rates on these debts will likely be pegged between 2 -3%:
THIS IS OFORI ATTA SAID
Story by Osei Akoto(Teacher Kojo) # Ahotoronline.com
