Pensioner bondholders in Ghana have expressed cautious optimism following the government’s commitment to honouring coupon payments, marking the first instalment under the new administration.
Speaking on Joy News’ PM Express on Monday, February 17, Dr. Adu Anane Antwi, Convener of the Pensioner Bondholders Forum, affirmed that forum members welcome the adherence to the agreed payment schedule.
Dr. Antwi, the former Director-General of the Securities and Exchange Commission (SEC), explained that the settlement dates for payments follow a six-month cycle.
“A settlement day was February 17, meaning six months down the line, the affairs agreement was due, and that has now been settled. For those who didn’t tender their bonds, small amounts were paid weekly, but for those who did, every single one was due for payment at the six-month mark,” he explained.
The February 2025 payment represents the fourth instalment in the cycle since the agreement was established. Dr. Antwi recalled that the previous payments were made in August 2023, February 2024, and August 2024, with the fourth one now completed in February 2025.
“Under the previous government, payments were made accordingly. For this new government, this is their first payment, and we expect the same level of consistency,” he stated.
Dr. Antwi also addressed concerns among pensioners about the political transition and its potential effect on the bond payments.
“Yes, many of our members were worried, wondering what the transition meant for the commitment to our payments. But I have assured them that this is a contract. Governments come and go, but contracts remain. The government must honour its obligations to maintain investor confidence,” he stressed.
He acknowledged that prior delays had led to pensioners’ protests, but now that payments have resumed, he expressed optimism for the future.
“That’s why we picketed,” he admitted. “But now that payments have resumed, we can see a pathway forward.”
Regarding the memorandum between the government and pensioner bondholders, Dr. Antwi confirmed that the agreed structure is being followed, with coupon payments being made every six months.
“Coupons are paid every six months. Once the settlement date was determined, the schedule was set – August, February, August, February. This is now the fourth six-month payment, meaning things are on track.”
Despite the positive developments, Dr. Antwi urged the government to maintain consistency to rebuild full investor confidence.
“When a government faces financial difficulties, the only way to rebuild trust is by doing things right. That means ensuring payments are made on time, both for coupons and when the principal becomes due,” he remarked.
He also highlighted that individual bondholders who did not tender their bonds have already received maturity payments, while those who did will have to wait.
“For those who tendered their bonds, the first maturity won’t come until four years down the line. In two years, 50% of individual bondholders’ bonds will be due for payment. The government must ensure that when that time comes, payments are honoured without fail.”
Dr. Antwi concluded by underscoring the importance of credibility in financial markets.
“Regular payments now will assure people that when the principal becomes due, it will be honoured. That’s what brings confidence. If the government wants to return to the market and issue more bonds, it must maintain its credibility by ensuring consistent payments.”