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Newsdesk Report
The Government of Ghana has paid GH¢10 billion in interest obligations under its Domestic Debt Exchange Programme (DDEP), marking what authorities describe as a major step in restoring market confidence and reinforcing macroeconomic stability.
In a press release issued Wednesday, the Ministry of Finance confirmed that the payment represents the sixth coupon settlement since the implementation of the DDEP and the second consecutive full cash settlement made without any Payment-In-Kind (PIK) component.
Officials say the full cash payment underscores improving fiscal strength and enhanced solvency following months of economic adjustments under Ghana’s broader debt restructuring and fiscal consolidation strategy.
The DDEP, introduced as part of the country’s domestic debt restructuring framework, required bondholders to exchange existing securities for new ones with revised terms aimed at reducing debt servicing pressures and stabilizing public finances. The latest settlement covers cedi-denominated coupon obligations in accordance with the restructuring memorandum.
According to the Finance Ministry, the timely servicing of the obligation sends a strong positive signal to both domestic and international investors, reinforcing market confidence at a time when Ghana continues to rebuild credibility in global financial markets.
Analysts note that regular coupon payments are critical to rebuilding trust among institutional investors, particularly banks and pension funds that absorbed significant exposure during the debt exchange exercise. The Ministry indicated that the payment is expected to support Ghana’s credit outlook and strengthen stability within the financial sector.
The government further emphasized its commitment to meeting future DDEP obligations, citing what it described as strong fiscal buffers and improving macroeconomic fundamentals. Authorities pointed to declining inflation, easing interest rates, and a stabilizing Ghana cedi as indicators of recovery momentum.
The DDEP formed a central pillar of Ghana’s domestic debt restructuring effort during a period of heightened fiscal stress and debt sustainability concerns. Sustained compliance with payment schedules is widely viewed as essential to restoring full investor confidence and advancing broader economic recovery objectives.
The Ministry reaffirmed that government remains fully committed to prudent debt management and fiscal consolidation as part of efforts to ensure long-term macroeconomic stability.
