BoG Governor commends parliament's role in debt restructuring

The Governor of the Bank of Ghana, Dr. Ernest Addison, has praised parliament for its vital and varied role in the nation's debt restructuring programme.

According to him, the government's ability to carry out debt restructuring was made possible by the ratification of the 2023 budget, which included provisions for economic reforms and debt restructuring.

In a speech read

Read full articleon his behalf by the bank's secretary, Sandra Thompson, Dr. Addison expressed his gratitude during a three-day roundtable discussion with lawmakers and other economic stakeholders in Koforidua, the regional capital of Eastern Africa.

Representatives from the central banks of Nigeria, The Gambia, Liberia, Sierra Leone, and the Bank of Ghana were also present.

The World Bank Group (WBG), Westminster Foundation for Democracy (WFD), and the West African Institute for Financial and Economic Management (WAIFEM) are collaborating to enhance capacity through this event.

The purpose of the gathering, which was arranged by the West African Institute for Financial and Economic Management (WAIFEM), was to guarantee responsibility and openness in the handling of public debt.

According to Dr. Addison, the Parliament examined every facet of the debt restructuring plans to guarantee transparency, so enabling Ghanaian bondholders to feel secure enough to partake in the nation's debt exchange program.

Additionally, he said that Parliament's efforts made sure the debt restructuring adhered to legal requirements and procedures, particularly in the case of external loans that required approval of cross-border business dealings.

According to the BoG, the opposition political parties and ordinary people, including pensioners and domestic creditors, expressed worries regarding the debt restructuring's potential effects on the economy. These concerns were seen as a reflection of the democratic process of checks and balances.

He clarified that this provided a significant contribution to the discussions and choices made by Parliament.

Dr. Addison stated that Ghana was able to effectively negotiate a deal with official creditors to restructure roughly 5.4 billion dollars in loans because of the contributions made by the Parliament and Ghanaians, particularly pensioners.