Ghana to engage China for possible debt cancellation – Finance Minister

 The Finance Minister, Ken Ofori Atta, has disclosed that talks are under­way with China over Ghana’s debt following a successful domestic debt ex­change programme.

Mr Ofori-Atta said negotia­tions with China were important because they hold the majority of the external bonds.

Speaking with Citi News in Accra yesterday, the Finance Minister said he would lead a delegation to China to plead for debt cancellation.

“The big elephant in the room is China, we will be visiting China by the end of the week to really discuss how they come into the envelope as quickly as pos­sible. So we are looking at that support from them. China rep­resents about a third of the $5.7 billion loan and so it is important that we engage them,” he said.

In January 2023, the Inter­national Monetary Fund (IMF) indicated that it was working towards a debt cancellation programme for Ghana and other countries amid a global economic recession scare this year.

The other countries are Ethi­opia, Zambia, Chad, Lebanon, Surinam, and Sri Lanka.

The move, Madam Kristalina Georgieva, the IMF Managing Director, said, was to avert any “bad surprise” on the global economy, out of which 25 per cent had its trade in emerging markets territories.

“We’re working hard to press for debt resolution for these countries, and we’ve engaged with the traditional creditors, the Paris Club, the non-traditional creditors, China, India, and Saudi Arabia. Our call is very simple: Urgently we have to act,” she said in an interview

Show More
Back to top button