Honouring DDEP commitment injects investor confidence – Dr. Sharif Mahmud Khalid

Dr Sharif Mahmud Khalid, Economic Policy Adviser to the Vice-President, has commended the government’s commitment to servicing its debt under the Domestic Debt Exchange Programme (DDEP), stressing its critical role in boosting investor confidence and ensuring economic stability.

His remarks come after the Ministry of Finance, following a directive from President John Dramani Mahama, fulfilled the Payment-In-Cash (PIC) coupon of GHS6.081 billion to all DDEP bondholders. Additionally, the government honoured the Payment-In-Kind (PIK) portion of GHS3.46 billion, which was credited to bondholders’ securities accounts in line with the DDEP Memorandum.

To further strengthen debt sustainability, GHS9.7 billion was deposited into the Debt Service Recovery Cedi Account (Sinking Fund) as a buffer for the upcoming fifth DDEP coupon payments scheduled for July and August 2025.

Speaking on Channel One Newsroom on Thursday, February 20, Dr Khalid underscored the necessity of fulfilling financial commitments, describing it as a fundamental responsibility of any government.

“It is very important… It is a contract, and you ought to oblige. It was a contract that got broken, which is why we are here today. Servicing that commitment is crucial,” he stated.

He further emphasized that honouring obligations under the DDEP enhances trust in the government’s financial policies and reassures investors.

“What it does is that it injects investor confidence,” he added.