Govt will settle all repayments from Domestic Debt Exchange Programme – Ato Forson

Finance Minister-designate, Dr. Cassiel Ato Forson, has assured the public that the government will address the challenges arising from the Domestic Debt Exchange Programme (DDEP) and will ensure that all necessary repayments are made.

Speaking before the Appointments Committee of Parliament on January 13, 2025, Dr. Forson committed to implementing measures that will resolve the negative impacts of the debt restructuring initiative on the country’s economy and its citizens.

The Domestic Debt Exchange Programme, launched to tackle Ghana’s escalating debt crisis, involved the restructuring of domestic bonds and debts.

However, the programme has faced significant backlash due to the losses sustained by creditors and the complexity of the repayment schedule, which has raised concerns about the country’s fiscal sustainability in the coming years.

Despite the challenges posed by the programme, Dr. Forson reassured the public that his administration would do everything necessary to remedy the situation.

“We will do whatever it takes to clear the harms that have been created as a result of the domestic debt restructuring,” he said, highlighting the government’s commitment to ensuring a stable economic recovery.

He went on to outline the country’s repayment obligations arising from the debt restructuring, which would amount to GH¢12.6 billion in 2025.

In 2026, Ghana will have to repay an additional GH¢15.7 billion, followed by GH¢53 billion in 2027.

Dr. Forson also noted that similar challenges exist with the Eurobond repayments, where billions of dollars are due.

He revealed that $364 million has already been paid, with another $1 billion scheduled for payment annually starting in 2026.