The Convener of the Individual bondholders’ Forum, Senyo Hosi, has described the “pressure” exerted on customers by banks to sign on to the domestic debt exchange programme as illegal and unethical.
The banks, according to the convener, are under pressure to coerce their customers to sign onto the programme for the government to achieve its target for participation.
“Unfortunately, on the market, we see some conducts that are unethical and also illegal. We see pressure coming from different quarters compelling banks to try and force customers to try and tender or accept the DDE, that is illegal, that is unethical and immoral. Banks should be cautious of their actions”
Senyo Hosi
Mr. Hosi further averred that the risk of the banks actions is that tomorrow, the same customer will come and say he or she accepted to participate under duress. “Who is really going to take responsibility for that?” he questioned.
Senyo Hosi therefore bemoaned the government’s unilateral posture concerning suggestions that have been made concerning the programme.
“Up until now, we have essentially seen only unilateral proposals. None of the conversations that were entered into by the technical committee between the government and the individual bondholders has reflected. All the proposals that we made, that we talked about, involving almost 83 billion cedis, has not been discussed by the government.”
Senyo Hosi
Senyo Hosi Communicates Words Of Assurance To Individual Bondholders
Still with optimism that Individual bondholders will be exempted, Senyo Hosi has urged individual government bondholders not to be afraid of losing their investments or having variations to their contracts for not signing up for the Domestic Debt Exchange programme of Government.
“Spoke to some Ministers and parliamentary committee Chairmen today. They did not sign up. Fear not. You have a better bond in the old bond. Do not sign if you do not wish to! Remember, the finance minister has categorically said that Individuals are free not to participate.”
Senyo Hosi
There has been widespread fear that persons who failed to sign up for the Domestic Debt Exchange Programme, which means taking a haircut on their investments, will lose their investments altogether.
But the Convenor, Mr. Hosi, has debunked the notion, assisting that their bonds are safe and the terms of their contracts will be respected.
Meanwhile, the Finance Ministry has extended the deadline to 10th February 2023 for individual bondholders who could not sign up for the programme due to technical glitches as they tried to sign up online.
“In connection with the ongoing Domestic Debt Exchange Programme (DDEP), the Government of Ghana thanks all bondholders who have so far tendered their bonds. However, it has come to the attention of Government that some bondholders faced technical glitches as they tried to complete the online tender process.”
Finance Minister Ken Ofori-Atta
50% Participation Attained
Despite the Individual bondholders refusal to sign onto the debt exchange program along with other controversies surrounding it, the Deputy Finance Minister, Madam Abena Osei Asare, has disclosed Government’s achievement of more than 50 percent participation of its target.
“The government had 80 percent target for the exercise and it has now had more than 50% bondholders signing up for it. As of yesterday, Tuesday, 7 February 2023, when we decided to extend and grant that administrative window, we had done above 50 percent.”
Madam Abena Osei Asare
