Ghana set to conclude MoU with bilateral creditors on debt restructuring – IMF

Kristalina Georgieva, the Managing Director of the International Monetary Fund (IMF), has hinted that Ghana will sign a Memorandum of Understanding (MoU) with her bilateral creditors as part of the restructuring of debts owed these lenders, myjoyonline.com reports.

According to her, the country’s negotiations with her bilateral creditors are far advanced and should be concluded soon.

She explained, “Ghana is in a good place now because it has advanced negotiations with the bilateral creditors on restructuring of debts. There is very tangible progress made towards signing a Memorandum of Understanding with bilateral creditors.”

While commending Ghana for progress made with regards to the country’s debts restructuring, she warned against not securing a good deal when negotiating debts with Eurobond holders and private creditors.

She believes failure to do so would plunge the country into more economic misfortune.

“Ghana is indeed benefiting from the experiences of countries that have gone for debt restructuring under the common framework. The sooner we do a great deal the better for the country. To do a deal that may actually reverse progress is not going to be good for the country. You cannot allow the Eurobond creditors to twist your arm. Why? Because you have done a very painful domestic debt restructuring, you have agreed in principle on debt restructuring with the official creditors of Ghana under certain conditions. The deal with the Eurobond has to be a fair deal vis-a-visa what was already done otherwise we risk seeing what happened in Zambia,” myjoyonline.com quoted her.

The IMF Managing Director made these comments in a meeting with President Akufo-Addo during her official visit to Ghana.

EAN/OGB

Watch the latest edition of BizHeadlines below:



Ghana’s leading digital news platform, GhanaWeb, in conjunction with the Korle-Bu Teaching Hospital, is embarking on an aggressive campaign which is geared towards ensuring that parliament passes comprehensive legislation to guide organ harvesting, organ donation, and organ transplantation in the country.

Click here to follow the GhanaWeb Business WhatsApp channel