Government has scheduled holding a final consultation with relevant stakeholders regarding the Domestic Debt Exchange Programme (DDEP) before the January 31, 2023 deadline.
The Government is hopeful that it will be able to obtain the necessary participation from stakeholders during its engagement before the stipulated deadline.
This follows the government’s presentation of its final proposal to insurance companies, capital market operators, and pensioners.
However, representatives from these groups stated that they need to consult with their leadership and members before making a decision on participation in the program.
It is currently uncertain what the government will offer individual bond holders in the Domestic Debt Exchange Program.
That notwithstanding, the Finance Minister, Ken Ofori-Atta has emphasized that the government will take all necessary steps to meet the January 31, 2023 deadline.
“I am confident that we will 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 the end of February for us to go through what we call the common framework and then, we expect them to go to the board in Washington in March. So really, we don’t have that type of time.”
Ofori-Atta
Executive Vice President of Unilever UK, Yaw Nsarkor has called on honest conversations to be held among all stakeholders to find a lasting solution to the Ghanaian canker.
“Where we are in Ghana today, the cedi has ceded the second row – it has ceased to be a store of value and this is a major crisis situation when any currency enters that place.
“I know that we are a very polarized society so already people would have started trying to figure out where is this guy coming from? – Is he an opposition man, is he government man? I am nothing.”
Yaw Nsarkor
This is no time for partisan political parochialism, Mr. Nsarkor opined while declaring his stand by indicating his position as an independent operator, who voices out the truth the way he sees it.
Mr. Nsarkor characterized Ghana’s economic difficulties as severe and stated that significant action is needed to be put in to revive the economy.
During a program organized by FBN Bank, Mr. Nsarkor, who was also an Executive President of Unilever Ghana stated that the country’s economic indicators demonstrate a clear policy failure.
According to him, a sovereign default which has triggered debt restructuring is bad for an economy and may take more than a generation to recover trust among investors.
“When inflation is at 54% and there is such tremendous yo-yoing of a country’s currency, that country is in serious trouble, there’s no other way of putting it.
“There is no other way of putting the politicians and priests and whoever can say what they want but the country is in serious trouble and we must shake ourselves out of the complacency, recognize it, have honest conversations and say; what are we going to do about it?”
Yaw Nsarkor
DDEP: GHASALC Members Will Not Be Affected
The Ghana Association of Savings and Loans Companies (GHASALC) has given the reassurance that the operations of its members will not be impacted by the Domestic Debt Exchange Program.
The Association issued this statement after observing that the sector has recovered following the financial cleanup by the Bank of Ghana.
“I remember when this started, I spoke here and said that we should all exercise some restraint. There is no need for us to panic and for that matter, your financial sector is a hit place that when you want to build the economy you go to and therefore, it is a collective effort.
“So when your financial sector has a challenge, every facet of the economy will be challenged. Therefore, for us, we believe in helping build the financial space in helping contribute our quota to serving the populace and to making sure that the financial sector is resilient.”
Tweneboah Kodua Boakye, Executive Secretary of the Ghana Association of Savings and Loans Companies (GHASALC)
READ ALSO: NDC national executives to meet Minority Caucus over reshuffle
