The Committee of holders of Ghana’s Eurobonds has announced that it has reached an agreement in principle with the government of Ghana on a restructuring of the Eurobonds.
This was captured in a statement released by the Bondholder committee today, Monday, June 24.
Details of the Agreement
The statement showed that the proposed agreement on the restructuring of the Eurobonds will resolve Ghana’s default on the Eurobonds in a manner that, “It will provide significant cash flow and debt stock relief to support Ghana’s economic recovery in the context of the IMF-financed programme.”
“Alongside debt relief, the Committee recognises that the most important factor to support Ghana’s fiscal and debt sustainability going forward is sustained economic policy implementation to bolster macroeconomic stability, improve the investor environment and institutionalise fiscal credibility “it added.
The Committee also maintained that, in particular, the Committee welcomes the government’s commitment to reinstate and implement an amended Fiscal Responsibility Act.
Measures being implemented by the Government following this agreement
The Bondholder Committee also revealed that the government has adopted nonfinancial provisions included in the agreement-in-principle, such as the semi-annual disclosure of public debt, the most-favoured-creditor clause and loss reinstatement clause, which are part of the package of measures to normalize relations with bondholder investors and to progress towards restoring Ghana’s international market access.
It also revealed that the implementation of the agreement-in-principle is subject to mutual agreement on deal documentation and other stated conditions.
Committee advice to bondholders
The Committee encourages all holders of the Eurobonds to carefully consider the terms of the government’s prospective offer about the agreement-in-principle and to make their own independent appraisal of the merits and risks of participation.
It also disclosed that Members of the Committee include the following holders (acting either directly or on behalf of funds or the accounts they manage): Abrdn; Amundi (UK) Limited; Grantham, Mayo, Van Otterloo & Co. LLC; Greylock Capital Management; Neuberger Berman and Wellington Management.
.
Latest Stories
-
CAF President blasts Ghana over Baba Yara stadium ban
2 mins -
GUTA calls for de-politicization of fight against galamsey
3 mins -
Police outlines guidelines for NDC’s nationwide demonstration against EC
18 mins -
Demystifying the claims of rip-offs and arbitrary charges in Ghana’s port sector—from the shipping lines perspective
29 mins -
EducationUSA: Ghanaian students in US benefit from $9 million Investment
43 mins -
Elections not about insults; be decent in your speech – Bawumia to Mahama
48 mins -
Reverse osmosis the most reliable way to filter water – Association of Packaged Water Producers
1 hour -
UG SRC Presidential Race: Court ruling has taught me a lot about life – Guru
1 hour -
Voazok Tours to hold Canada Agricultural Tour
1 hour -
Peace Council implements measures to ensure peaceful 2024 elections
1 hour -
Staff of banks involved in fraud increases by 46% in 2023; BoG expresses worry
1 hour -
NDC calls for public support for upcoming protest – W/R NDC Secretary
2 hours -
2024/25 GPL: Vision FC secure 2-0 maiden GPL win against Accra Lions
2 hours -
I didn’t pull a gun at DRIP commissioning – Gomoa West MP refutes allegations
2 hours -
Galamsey: Current effort doesn’t match the scale of crisis – Kenneth Ashigbey
2 hours