Mahama orders finance ministry to settle GHS6.08bn DDEP coupons, allocate GHS9.7bn to sinking fund to strengthen debt buffers

President John Dramani Mahama has directed the Ministry of Finance to fulfil its obligations under the Domestic Debt Exchange Programme (DDEP) by settling outstanding coupon payments and reinforcing Ghana’s debt buffers through the Sinking Fund.

Following this directive, the government has today disbursed GHS6.081 billion in cash payments to all DDEP bondholders as part of the Payment-In-Cash (PIC) commitment. Additionally, the Payment-In-Kind (PIK) portion of GHS3.46 billion has been credited to bondholders’ securities accounts in accordance with the terms outlined in the DDEP Memorandum.

To ensure future debt servicing, the government has also deposited GHS9.7 billion into the Debt Service Recovery Cedi Account (Sinking Fund) as a financial cushion for the upcoming fifth DDEP coupon payment due in July and August 2025.

President Mahama reaffirmed his administration’s commitment to honouring all obligations under the DDEP and outlined plans to restore market confidence through the upcoming 2025 Budget Statement. The budget is expected to introduce further measures to prioritise government spending, enhance transparency, and strengthen accountability in public financial management.

Despite inheriting a challenging economic landscape from the previous administration, the government is focused on restoring fiscal discipline, stabilising the Cedi, curbing inflation, and creating job opportunities for Ghana’s youth.

The announcement was made by Felix Kwakye Ofosu, MP, who serves as the President’s spokesperson and Minister for Government Communications.