Ghana has obtained a draft time period sheet on debt aid from its official collectors that’s enough for the Worldwide Financial Fund to disburse $600 million to the West African nation, Finance Minister Ken Ofori-Atta mentioned.
The time period sheet from the Paris Membership Group of collectors and new ones together with China comes after months of negotiations to restructure as a lot as $5.4 billion of bilateral debt. The IMF board is predicted to fulfill in every week.
“We’re reviewing the draft time period sheet,” Ofori-Atta mentioned in an interview within the capital, Accra on Thursday, declining to supply particulars within the draft accord. “We have to scrutinize each clause however by way of the broad framework, all events are in settlement so it’s sort of a clearance to the fund. I’m hoping by tomorrow we’d have completed in order that no matter must be completed can be despatched to the fund,” he mentioned.
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Ghana’s bonds due January 2026 rose for a fifth day to the touch the very best ranges since Oct. 16 at 43.41 cents on the greenback. Debt due in October 2030 virtually superior for a fifth day, the longest streak in two months. The worth of the bond was quoted at 63 cents to the greenback, the very best since January 1 on a closing foundation.
Ghana began restructuring most of its public debt in December 2022 to qualify for a $3 billion prolonged credit score facility program with the IMF. The nation obtained an upfront disbursement of $600 million when it agreed to this system in Could. Additional releases, nonetheless, rely upon assembly debt-rework and different efficiency targets.
Discussions between Ghana and the official creditor committee are ongoing, and good progress is being made, IMF spokeswoman Julie Kozack advised reporters Thursday, including that the fund is assured an settlement might be reached quickly.
Public debt — excluding loans to state-owned enterprises — eased to 66.4% of gross home product on the finish of September, helped by the completion of a home debt reorganization. These buyers primarily suffered interest-rate cuts once they swapped about 126 billion cedis ($10.5 billion) of native debt final yr.
A memorandum of understanding with the bilateral lenders may additionally unlock $550 million of further funding from the World Financial institution by the tip of February, Ofori-Atta mentioned final week.
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