The Ministry of Finance has announced the successful completion of Ghana’s Eurobond debt exchange and consent solicitation process, a key step in the country’s economic recovery efforts. This initiative, launched on September 5, 2024, aimed to restructure the nation’s Eurobond debt and garnered overwhelming support from bondholders.
By the final expiration deadline on September 30, 2024, 98.6% of bondholders, representing the recognized principal amount of existing bonds, had participated in the offer. The exchange provided eligible bondholders with two options—Par and Disco—under which they could swap their existing Eurobonds for new ones. The majority of bondholders (91% of the principal amount) opted for the Disco menu of new notes, while 7.6% chose the Par menu, leaving U.S. $605 million available for future allocation under the Par option, which was capped at U.S. $1.6 billion.
During bondholder meetings held on October 3, 2024, holders of the 2013, 2014, and 2015 WB-Guaranteed Notes passed extraordinary resolutions with over 90% representation. This allowed the restructuring process to continue without delays. Additionally, consents for the Aggregated Collective Action Clause (CAC) Notes exceeded 98.7%, surpassing the required threshold for approval.
As part of the exchange, a total of U.S. $126 million in consent fees will be distributed to eligible bondholders who submitted their instructions by the early consent deadline. The new bonds are expected to be issued on or around October 9, 2024, with full settlement following shortly after.
The completion of this Eurobond exchange is a significant milestone for Ghana’s debt restructuring efforts, which are part of the country’s International Monetary Fund (IMF) programme. The government has emphasized that this step will further solidify Ghana’s path to debt sustainability while normalizing relations with international capital markets.
The Ministry of Finance expressed its gratitude to bondholders for their participation, noting that this successful outcome reflects a shared commitment to restoring economic stability in Ghana. To ensure a smooth settlement process, all existing Eurobonds, including those for which no consent or exchange instructions were provided, will be blocked from trading until the final settlement is completed.
