Audio By Carbonatix
Finance Minister Seth Terkper says the favorable assessment of Ghana's creditworthiness by some rating agencies shows that government is on track in stabilizing the economy.
Rating Agencies, Moody's and FITCH have all given government a favorable assessment of its ability to pay back on time funds borrowed on the international market.
Moodys in a statement issued on September 23, said it has affirmed Ghana's "issuer and Senior unsecured rating at B3 and changed the outlook to stable from negative."
Another rating agency, FITCH has assigned Ghana's USD750m six-year 9.25% senior unsecured notes a final rating of 'B'.
The final rating replaces the expected rating that Fitch assigned on 1 August 2016.
KEY RATING DRIVERS
The rating is in line with Ghana's Long-Term Foreign Currency Issuer Default (IDR), which was affirmed in March 2016 at 'B' with a Negative Outlook.
RATING SENSITIVITIES
The rating of the notes is sensitive to changes in Ghana's Long-Term Foreign Currency IDR.
But Speaking to JOYBUSINESS, Mr Terkper noted that the verdict shows that government is on with programs aimed at fast-tracking the stability of the economy.
Mr. Terkper was of the view that, the development could also result in the reduction in the cost of borrowing for the country.
Meanwhile, finance minister Seth Terkper says he also expect this assessment to impact positively on government’s cost of borrowing on the international market.
In a related development Managing Director of Standard Chartered Bank, Kweku Bedu-Addo says he expect the developments on the Ghana’s credit ratings, to bring some relief to bank exposed to international dealings.
Latest Stories
-
A decade of dance and a bold 10K dream as Vivies Academy marks 10 years
13 minutes -
GCB’s Linus Kumi: Partnership with Ghana Sports Fund focused on building enduring systems
52 minutes -
Sports is preventive healthcare and a wealth engine for Ghana – Dr David Kofi Wuaku
59 minutes -
Ghana Sports Fund Deputy Administrator applauds GCB’s practical training for staff
1 hour -
Ghana Sports Fund strengthens institutional framework with GCB Bank strategic partnership
1 hour -
UBIDS to Complete Abandoned Projects Following GETFund Financial Clearance – Vice Chancellor
1 hour -
Nii Moi Thompson questions Anokye Frimpong’s ‘distorted history’ narratives
2 hours -
Anthony O’Neal set to receive Ghanaian citizenship, prepares to launch ‘Class on the Bus’ Initiative
2 hours -
South Tongu MP inspects GH₵500,000 surgical equipment, supports District Court with logistics
3 hours -
Kpasec 2003 Year Group hosts garden party to rekindle bonds and inspire legacy giving
5 hours -
Financing barriers slowing microgrid expansion in Ghana -Energy Minister
5 hours -
Ghana’s Ambassador to Italy Mona Quartey presents Letters of Credence to Pres. Mattarella
5 hours -
KOSA 2003 Year Group unveils GH¢10m classroom project at fundraising event
5 hours -
Woman found dead at Dzodze
7 hours -
Court blocks Blue Gold move as investors fight alleged plot to strip shareholder rights
7 hours
