lack of transparency

Ghana: Economic woes deepen over debt swap debacle, Eurobonds decline

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This article is part of the dossier:

Cash-strapped Africa…

By Kent Mensah

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Posted on March 8, 2023 13:20

The Ghanaian cedi has been awarded the ‘title’ of the continent’s worst performing currency in 2022. © Adobe Stock
The Ghanaian cedi has been awarded the ‘title’ of the continent’s worst performing currency in 2022. © Adobe Stock

Ghana’s failure to meet a self-imposed deadline to restructure its bilateral debt by the end of February has led to a sharp decline in its Eurobonds, the lowest level in nearly three months. This leaves the West African nation in a critical stage in dealing with its economic woes triggered by the Covid-19 pandemic and Russia’s war against Ukraine.

Ghana has about $13bn worth of dollar-denominated international bonds. Recent data from Bloomberg shows that its 2032 dollar bonds slumped to 36.69 cents last Wednesday, the least since 5 January. They traded near 39 cents as recently as two weeks ago.

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