Ghana left with 200 USD to offset 2007 Eurobond – Terkper

14:12 - 16 November 2016

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The 750 million dollar Eurobond which matures next year was Ghana’s first ever Eurobond issued at par to yield of 8.5 percent.

The Finance Minister Seth Terkper has revealed that Ghana has to pay 200 million dollars in order to finish paying its 2007 Eurobond.

At a press conference in Accra Terkper said the strategy adopted by the country in refinancing the bond has helped provide some financial space for government’s fiscal policies.

“We have US$200 million approximately on that bond but its fully funded we have put money aside into the Sinking Fund to be Buying Back anytime anybody wants to trade because that was one of the uses of the funds.”

Terkper said the Sinking Fund that they set up has helped in refinancing the Eurobond. The Sinking Fund, that will allocate some funds to refinance the bond.

“We showed that the combination of the Sinking Fund that we had about 100 million, we showed that the World Bank guaranteed funds were not exhausted and we were ready to add 150 million dollars to it and we showed that the bond itself that were going to be issuing, we could add.”

He added that this move has given government an opportunity to still have some cash in the fund to buy back anytime investors want to trade their shares in the bond.