Audio By Carbonatix
Participating holders of the 2023 bonds will receive a 2% cash fee, the Finance Ministry has said.
This is to compensate for the maturity extension.
It said the investors will only get new bonds maturing between 2027 and 2033.
“Given that holders of Eligible 2023 Bonds are being asked to extend the maturities of what are now effectively short-term instruments, investors will receive a cash tender fee of 2% of the outstanding amount of such 2023 Bonds tendered and accepted, to compensate for the maturity extension”, it explained In the Amendments to the Invitation to Exchange.
It emphasised that the government has decided to proceed with paying interest accrued up to January 24, 2023 to all Eligible Holders participating in the exchange, in a capitalised form. This means that the accrued interest will be added to the notional amount of the new bonds.
The Invitation to Exchange also stressed that there are 12 new bonds in the Amended Exchange, instead of four, with a new coupon rate structure.
“Investors indicated a preference for having more numerous bonds with standard bullet bonds, instead of fewer, larger and more liquid bonds (the previous structure), which has been reflected in the amended exchange. In the same spirit, the amended coupon structure for the new bonds has been designed to mimic a yield curve with a standard shape”.
Meanwhile, treasury bills remain still excluded from the domestic debt operations.
Latest Stories
-
Securing children’s tomorrow today: Ghana launches revised ECCD policy
3 hours -
Protestors picket Interior Ministry, demand crackdown on galamsey networks
3 hours -
Labour Minister highlights Zoomlion’s role in gov’t’s 24-hour economy drive
3 hours -
Interior Minister receives Gbenyiri Mediation report to resolve Lobi-Gonja conflict
3 hours -
GTA, UNESCO deepen ties to leverage culture and AI for tourism growth
4 hours -
ECG completes construction of 8 high-tension towers following pylon theft in 2024
4 hours -
Newsfile to discuss 2026 SONA and present reality this Saturday
4 hours -
Dr Hilla Limann Technical University records 17% admission surge
4 hours -
Meetings Africa 2026 closes on a high, Celebrating 20 years of purposeful African connections
4 hours -
Fuel prices to increase marginally from March 1, driven by crude price surge
5 hours -
Drum artiste Aduberks holds maiden concert in Ghana
5 hours -
UCC to honour Vice President with distinguished fellow award
5 hours -
Full text: Mahama’s State of the Nation Address
5 hours -
Accra Mayor halts Makola No. 2 rent increment pending negotiations with facility managers
5 hours -
SoulGroup Spirit Sound drops Ghana medley to honour gospel legends
6 hours
