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A three-year restrictive measure that was implemented in 2023 at the height of Ghana’s financial crisis has been lifted, according to the Ministry of Finance’s announcement of the “expiration of the restrictions on new domestic bond issuance.”
“The three-year restriction was imposed in 2023 to prevent the Government from issuing new bonds following the debt default that preceded the Domestic Debt Exchange Programme (DDEP),” the Ministry states.
The strategy was a component of larger initiatives to stabilise the domestic debt market and rebuild macroeconomic credibility following the restructuring process.
The Ministry pointed out that the development coincides with a better period for the economy.
The expiration takes place “at a time when inflation is low, investor confidence has improved, and the macroeconomic environment is strong, supported by a robust medium-term debt management strategy and significant buffers,” according to the statement.
Additionally, the government emphasised that “since 2025, the Government has honoured every coupon payment and obligation under the restructured bonds, demonstrating its credibility, fiscal discipline, and commitment to responsible debt management.”
According to officials, this track record has been essential to restoring confidence in the domestic bond market.
“The expiration of the restrictions paves the way for the government to drastically reduce its dependence on Treasury bills to finance its budget and allows for the issuance of new, longer-dated domestic bonds,” the Ministry stated after lifting the restrictions.
According to analysts, this change may lessen the need for refinancing and enhance the maturity profile of Ghana’s national debt.
“President John Dramani Mahama’s administration is once again deeply grateful to the Ghanaian people for their forbearance and cooperation during the difficult period,” the statement continued, expressing gratitude to citizens and reiterating its commitment to preserving macroeconomic stability moving forward.
Source: newsthemegh.com
