The Ministry of Finance in a statement has announced the payment of additional coupons to cover matured 2 year and 20 year notes and also indicated its intentions of making additional payments towards outstanding coupons in undisclosed future dates.

Meanwhile, the latest move is a big statement on the part of the government that it is ready to honor its debt obligations.

The Ministry of Finance, therefore, expressed gratitude to all stakeholders for their patience and cooperation as the government works towards the restoration of macroeconomic stability.

The announcement comes after the government started processes to settle payments on outstanding bonds on March 13, 2023, following pressure from bondholders. The Coalition of Individual Bondholders had Issued a 48-hour ultimatum for the government to honour its debt obligations, while Pensioner bondholders were also concerned about the government’s silence regarding the bond payments.

The announcement of this additional payment is likely to be a welcome relief to bondholders who have been considering picketing again to press home their demands.

Moreover, the government’s commitment to honouring its debt obligations is a significant step towards restoring confidence in the country’s economy. It is also an indication of the government’s determination to address the macroeconomic challenges that have been facing the country.

The government’s announcement of additional payments towards outstanding coupons is likely to be well-received by investors, who have been monitoring the situation closely.

It is worth noting that the country’s economy has been facing a number of challenges in recent times, including high inflation, currency devaluation, and a sluggish growth rate. These challenges have put pressure on the government’s finances and led to concerns about its ability to meet its debt obligations.

However, with the announcement of additional payments towards outstanding coupons, the government has demonstrated a willingness to address these challenges and work towards the restoration of macroeconomic stability.

Going forward, it will be important for the government to continue to demonstrate its commitment to honouring its debt obligations. This will require sustained efforts to address the underlying macroeconomic challenges facing the country, including inflation and currency depreciation. It will also require close cooperation with stakeholders, including bondholders, to ensure that the country’s debt obligations are met in a timely and transparent manner.

Overall, the government’s announcement of additional payments towards outstanding coupons is a positive development for the country’s economy. While there are still challenges to be addressed, this latest move is an indication of the government’s commitment to restoring confidence in the country’s finances and working towards macroeconomic stability.

Meanwhile, Ghana’s debt situation remains a significant concern for both the government and investors alike, with the country’s public debt stock remaining unchanged at GHS 575.7 billion at the end of November 2022, representing about 93.5% of Gross Domestic Product (GDP).

Similarly, the external component of Ghana’s public debt reached $29.2 billion (GHS 382.7 billion) in November 2022, equivalent to 62.1% of GDP.