Ghana has won a moratorium with official creditors on debt payments through May 2026, and expects to reach a deal with Eurobond investors to revamp US$13 billion debt by the end of March.
Finance Minister Ken Ofori-Atta said the payments owed on US$5.4 billion of bilateral obligations would be repaid in two tranches in 16 and 17 years time, under the terms of the deal struck in principle last week. It was the first time he has publicly shared these details of the pact.
Speaking from the World Economic Forum in Davos, he said the agreement with official creditors also “builds momentum and confidence” to revamp the Eurobond debt.
“There’s a sense globally that Ghana has done its part and therefore talking to the Eurobond investors, there’s a sense of urgency,” he told Bloomberg.
Ghana’s pact with official creditors, announced 12 January, means debt payments from 2023 would be repaid in 2039 and 2040, while debt service due in 2024 would be repaid in 2040 and 2041, he said. The forbearance will run for the duration of Ghana’s program with the International Monetary Fund (IMF) that ends in May 2026.
Ghana’s pact, finalized in just over a year, has been hailed as one of the quickest under the Group-of-20 Common Framework for Debt Treatment. Ethiopia and Zambia have also been seeking to restructure their debt under the template.
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