In a significant development, Ghana has reached an agreement in principle with holders of $13 billion of international bonds for debt restructuring. The journey began in early 2022 when Moody’s downgraded Ghana’s credit rating, leading to a series of events including interest rate hikes and new tax measures.
The turning point came in December 2022 when Ghana sought IMF aid to address its spiraling debt crisis. By January 2023, a formal request for debt restructuring under the G20 Common Framework was made, marking the start of a complex negotiation process with various creditors.
After months of talks and negotiations, Ghana finally reached a deal-in-principle in June 2024 with its international bondholders to restructure its dollar bonds. This pivotal moment signifies a new chapter in Ghana’s economic recovery journey.
Through resilience and strategic decision-making, Ghana is now on the path to financial stability and sustainable growth, setting a positive example for other emerging economies facing similar challenges.