Minister of Finance, Dr. Mohammed Amin Adam, has revealed that the successful implementation of the external debt restructuring has saved the country a remarkable $12 billion.

Dr. Adam made these comments during a panel discussion at the 2024 Annual Meetings of the International Monetary Fund (IMF) and World Bank Group on Wednesday, October 23, 2024.

The session addressed the challenges faced by low-income countries in managing debt, a pressing concern amid global economic uncertainty and external shocks.

Dr. Adam highlighted that the debt revamp played a crucial role in alleviating Ghana’s financial difficulties and reducing its debt burden, creating a more sustainable fiscal environment.

The programme, which was first launched in December 2022, was a key element of Ghana’s broader debt restructuring efforts.

The programme required domestic bondholders to exchange their existing bonds for new ones under different terms, reducing the government's debt servicing obligations.

“The DDEP was a great success, and it paved the way for the restructuring of our bilateral debt, which also saw significant success,” Dr. Adam stated, adding that the government saved $2.8 billion from bilateral debt restructuring.

He further disclosed that Ghana has successfully restructured $13 billion in Eurobonds, concluding the process in early October. This resulted in an outright debt cancellation of about $5 billion and debt service relief of $4.3 billion, bringing total savings to approximately $12 billion.

“We still have an ongoing restructuring process with our commercial creditors involving about $2.7 billion, and we are working hard to conclude that,” he added.

Dr. Adam emphasised that the debt restructuring was an essential policy measure, laying the foundation for these wider debt relief efforts, which have significantly improved Ghana’s fiscal health.