Cassiel Ato Forson offers GH₵29bn early redemption for DDEP bondholders

Finance Minister Dr. Cassiel Ato Forson has announced an early redemption offer for GH₵29 billion in bonds issued under the Domestic Debt Exchange Programme (DDEP). Speaking during the 2027 Budget Statement presentation in Parliament on November 12, 2026, the Minister invited bondholders to collect their payments ahead of the scheduled February 2027 maturity. This move is part of a broader strategy by the Mahama administration to manage the national debt sustainably and rebuild investor trust in the local financial market following years of restructuring.

The redemption is backed by resources accumulated in the Cedi Sinking Fund, which Dr. Forson confirmed holds sufficient liquidity to cover the principal amount. The Finance Minister emphasized that the government has been proactive in meeting its financial obligations, noting that approximately GH₵41.36 billion has already been paid to both DDEP and Eurobond holders since 2025. By offering early repayment, the government aims to reduce the debt pressure expected in early 2027, where total obligations for the first half of the year are projected to reach GH₵53 billion.

Beyond the local bond buyback, the government is targeting the clearance of a $590 million Eurobond obligation by December 31, 2026, just ahead of its January 2027 due date. To ensure future stability, a Debt Service Reserve Account has been established to cushion upcoming payments. Dr. Forson also highlighted systemic reforms intended to prevent future debt crises, including the proposed merger of various investment vehicles into a Sovereign Wealth Fund and the introduction of a new Loans Act to govern state borrowing practices.

The early redemption offer is seen as a significant step toward achieving a debt-to-GDP ratio of 45% and lowering the overall cost of borrowing for the state. Finance Ministry officials urged eligible bondholders to participate in the offer, assuring them that the funds are ready for immediate disbursement. This fiscal maneuver signals a commitment to restoring the health of the financial sector while clearing the way for increased spending on agriculture and infrastructure development.