The Ministry of Finance has described the results of the U.S. dollar-denominated bond exchange as successful.
92% of eligible holders, as determined by the Central Securities Depository, participated in the swap, which came to a close at 4 p.m. on August 25. These holders offered their qualifying bonds for exchange.
The involvement represents a notable accomplishment, and thus the government has expressed its satisfaction with the outcomes.
The government claims that the high participation rate of eligible holders in the exchange is consistent with its ambitions to carry out the economic plans described in the PC-PEG, especially in light of the current financial crisis.
It, however, extended the settlement date from September 1, 2023, to September 4, 2023, with a corresponding adjustment of the issue date, interest accrual schedules, and payment schedules.
Below is the full statement by the Finance Ministry.
THE GOVERNMENT ANNOUNCES SUCCESSFUL RESULTS OF THE U.S. DOLLAR-DENOMINATED BONDS EXCHANGE WITH APPROXIMATELY 92% PARTICIPATION RATE AND A NEW SETTLEMENT DATE
The Government announces today the results of the U.S. dollar-denominated bonds exchange which closed at 4:00 p.m. on 25th August 2023. Approximately 92% of holders eligible to participate in the Invitation to Exchange (as determined by the Central Securities Depository) tendered their Eligible Bonds.
Capitalised terms used but not defined herein have the meaning ascribed to such terms in the Exchange Memorandum (as amended from time to time) available at https://projects.morrowsodali.com/GhanaDDE and https://mofep.gov.gh/news-and-events/debt-operations.
2. The Government is pleased with the results, as a substantial majority of the Eligible Holders have tendered. This result is a significant achievement for the Government to implement fully the economic strategies in the post-COVID-19 Programme for Economic Growth (PC-PEG) during this current economic crisis.
3. Attached overleaf as an Appendix Table we are presenting the details regarding the results of the exchange.
4. To provide sufficient time to settle the New Bonds in an efficient manner, the Government is extending the Settlement Date of the exchange from the previously announced 1st September 2023 to 4th September 2023. The issue date, interest accrual schedules and payment schedules for the New Bonds will be adjusted to reflect the actual Settlement Date. Except as set forth in this paragraph, the terms and conditions of the Invitation to Exchange are not modified or amended.
5. As the Invitation Period has expired, no new tenders will be accepted, and no revocations or withdrawals are permitted. For more details on these procedures, please refer to the Exchange Memorandum or contact the Central Securities Depository (CSD) at the contact information below.
6. The Government expresses its deep appreciation to bondholders and key stakeholders for their immense support of the Domestic Debt Exchange Programme (DDEP).
