Dr. Mohammed Amin Adam
Source: Africa Publicity
Dr. Mohammed Amin Adam, the immediate past Finance Minister of Ghana, has dismissed claims that the decision to honor the fourth coupon payment to Domestic Debt Exchange Programme (DDEP) bondholders was solely due to President John Mahama’s directive.
Dr. Adam says the past New Patriotic Party (NPP) government in which he served as Finance Minister had already built the foundation to ensure seamless continuation of these payments.
According to him, the NPP administration had committed significant resources to meet these obligations, paying a total of GH¢17.25 billion in Payment-In-Cash (PIC) and GH¢9.77 billion in Payment-In-Kind (PIK) to bondholders between August 2023 and December 2024. Additionally, individual bondholders who did not tender their bonds received a total of GH¢515.17 million.
The Member of Parliament for Karaga Constituency pointed out that the NPP government had not defaulted on coupon payments since the restructuring of domestic debts. “Buffers were also built in the Debt Reserves Accounts to support upcoming debt service obligations such as the fourth coupon payment,” he noted.
Providing a breakdown of the payments made under the NPP government, Dr. Adam outlined:
– 1st Payment (August 2023): Total payment of GHS8.55 billion (PIC – GH¢5.42 billion & PIK – GH¢3.13 billion)
– 2nd Payment (February 2024): Total payment of GHS9.11 billion (PIC – GH¢5.85 billion & PIK – GH¢3.27 billion)
– 3rd Payment (August 2024): Total payment of GH¢9.35 billion (PIC – GH¢5.98 billion & PIK – GH¢3.38 billion)
Dr. Adam argued that these consistent payments demonstrate the NPP government’s commitment to the program’s continuity, making it inaccurate to attribute the fourth payment solely to President Mahama’s directive.
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