By: Eric Murphy Asare

The government announced that the results of the domestic debt exchange program were successful as approximately 85% of holders are eligible to participate in the invitation to exchange (as determined by the securities depository tendered) in the exchange.

The deputy finance minister, Lawyer John Kumah in an interview with omanhene Yaw Adu Boakye on Sompa Tv/Fm Ade Akyeabia says the guarantee for bondholders is that the Bank of Ghana will pay bondholders when their bonds mature, whether there’s money or not.

“Once the bond is matured, Bank of Ghana will pay off every bondholder whether there are enough funds or not”.

He added that according to the 2023 budget which was passed in November 2022, there were 3 added taxes that parliament couldn’t finalize, and that is what IMF is demanding that parliament seek for its approval, the taxes according to him including the Income Tax, Exercise Duty Tax, and Sustainability Tax.

Touching on the need for the cancellation of Ex-Gracie's allowance, the finance expert said, policies can be reviewed and it takes a collective effort to make changes.

“The Ex-Gracie is bonded by the constitution and a committee is set to review whenever the time is due for payment however the committees can propose to the government for review, he explained.

The deputy minister touching on the gold for oil said the policy is to help reduce the amount invested into buying oil from the diaspora.

According to him, the target is to meet the 50% threshold which will help reduce the pomp price of fuel drastically.

“If we meet the 50% target mark, it will reduce the pomp price, and so many companies have expressed interest that the ministry of energy, Bank of Ghana, and 2MC are handling. We have enough gold so the swap system will help, we have two principles in dealing with this gold for oil, it’s either we swap the gold for oil as better direct or some investors are ready to pay for the oil fee on behalf of the government and take the gold” he explained.

He further said the external debt restructuring process is ongoing and IMF has taken over the discussion together with Paris Club.

According to the minister, Ghana can only be loaned the expected $3 billion after the external and domestic restructuring process goes through, and once the domestic one has achieved its goal, there's hope.

Explaining the difficulties in the domestic debt restructuring as against the external one, he said the foreigners have experience in trading and know that they either lost or gain.

Source//www.sompaonline.com//Gh.