The Ministry of Finance has announced the successful completion of its Eurobond debt exchange and consent solicitation process.

 The initiative, launched on Thursday, 5 September 2024, has received overwhelming backing from bondholders, highlighting confidence in the country’s financial recovery efforts.

As of the final expiration deadline on Monday, 30 September 2024, an impressive 98.6 per cent of bondholders, representing the recognised principal amount of existing bonds, participated in the exchange offer.

Eligible holders were invited to swap their old bonds for new ones under two options: Par and Disco.

During a series of bondholder meetings on Thursday, 3 October 2024, holders of the 2013, 2014, and 2015 World Bank-Guaranteed Notes passed extraordinary resolutions with over 90 per cent representation, ensuring a seamless restructuring process.

For the Aggregated CAC Notes, consents exceeded 98.7 per cent, surpassing the required thresholds for the exchange.

The majority of bondholders, approximately 91 per cent of the principal amount, opted for the Disco menu of new notes, while 7.6 per cent chose the Par menu, which remained under its cap of USD1.6 billion, leaving a balance of USD605 million for future allocations.

Additionally, USD126 million in consent fees will be distributed to eligible bondholders who submitted their instructions by the early consent deadline.

The issuance of the new bonds is expected around Wednesday, 9 October 2024, with full settlement following shortly thereafter.

This successful exchange is a significant milestone in Ghana’s broader debt restructuring strategy under its International Monetary Fund (IMF) programme, reinforcing the country’s commitment to achieving debt sustainability and rebuilding relationships with international capital markets.

The Government of Ghana expressed its gratitude to bondholders for their participation, emphasising that this outcome reflects a collective commitment to restoring the nation’s economic stability.

To facilitate a smooth final settlement, all existing Eurobonds, including those for which no consent or exchange instructions were provided, will be blocked from trading in preparation for the issue date.