Ken Ofori-Atta sends good news from China

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The Finance Minister, Ken Ofori-Atta, has stated that Ghana is making progress towards securing a debt restructuring deal with China.

In a tweet on social media, Mr Ofori-Atta disclosed that China has given Ghana positive assurances on reaching an agreement with the government.

“So far, had very positive and encouraging meetings in China. Looking forward to securing external assurances very soon, even as we pass our outstanding domestic revenue bills back home. Great progress on all fronts,” he said in a tweet.

“I am trusting that Ghana’s experience under the common framework will be different and signal progress towards a more credible framework for debt treatment,” he added.

 Ghana is seeking about $1.7 billion debt restructuring with China – a key requirement that will propel the country to get debt cancellation from Paris Club creditors.   

Status of the Negotiations

Mr Ofori-Atta described the meeting as “very positive” a signal that could mean Ghana may announce the way forward soon.  

Sounding optimistic, the Finance Minister expressed optimism that the three revenue bills currently before parliament will also be approved.

Mr Ofori-Atta is expected to turn his attention to the Paris Club for discussions on restructuring Ghana’s debt with the countries that make up the group.

China’s commitment to Ghana’s Programme

In an earlier meeting with a German Minister, Mr Ofori-Atta noted that China had committed to a bilateral negotiation.

In view of that, he is hopeful a deal can be reached to enable Ghana to present its case before the International Monetary Fund board.

“The big elephant in the room is China as in how they will comport themselves in the comparability of treatment because China wants to do bilateral,” he said.

The China Visit

The meeting with China is expected to end on Friday 24th March 2023.

The Ghana delegation includes Technical Officials from the Ministry of Finance, Ministry of Foreign Affairs and Bank of Ghana

Mr Ofori-Atta went to China after attending the UNECA High Level meeting in Ethiopia and engaging Paris Club members at that gathering as well.