Chairperson of Parliament’s Public Accounts Committee (PAC) and former Deputy Finance Minister, Abena Osei Asare, has defended the Akufo-Addo government’s Domestic Debt Exchange Programme (DDEP), describing it as a tough but necessary intervention to stabilise Ghana’s economy.
Speaking on Channel One TV, Mrs. Osei Asare acknowledged that the debt restructuring exercise was one of the most challenging policy decisions undertaken by the government but insisted it was essential for restoring macroeconomic stability.
“The debt restructuring was one of the most painful but necessary exercises we needed to take as a country,” she said.
She noted that the government deliberately took steps to protect vulnerable groups, particularly pension funds and other entities that were unable to participate in the programme.
“Even with that, the government made sure pension funds and others who, for some reason, could not sign onto the DDEP were secured. The government entered into arrangements with them, and though payments were delayed, they were eventually made,” she explained.
Mrs. Osei Asare also clarified that investors did not lose their principal amounts under the programme, although interest payments were affected.
“Nobody lost money on their principal; it was the interests,” she emphasised.
Introduced in 2022, the Domestic Debt Exchange Programme formed a key part of the government’s strategy to restructure Ghana’s unsustainable debt and pave the way for support under the International Monetary Fund (IMF) programme.