Government urged to pay outstanding coupons due companies not involved in DDEP

Dr Kwesi Eyison, Chief Executive Officer, Pacific Solutions and Services, has called on the government to immediately pay outstanding coupons due companies that did not participate in the Domestic Debt Exchange Programme (DDEP).

He said this in response to President Akufo-Addo’s announcement for the payment of first and second payment in August 2023, second leg of payment in September 2023, and second coupons payment in February 2024.

However, Dr Eyison said the government had not paid companies that invested and did not participate in the DDEP since July last year.

“President Akufo-Addo suggested that all bond holders are being paid their coupons and principals, however companies that invested and did not participate in the domestic debt exchange programme are not being paid,” Dr Eyison said.

The situation, he said, was affecting the operations of the mainly Small and Medium-sized Enterprises (SMEs), as they are unable to pay salaries, utility bills, rent and other statutory and regulatory payments like taxes, social security.

“Government is the issuer of the bonds, so if they do not pay the coupons and principals these companies might go out of business any time soon. The due dates for payments were July and September 2023, and January 2024,” Dr Eyison said.

He stated that the current business environment in the country was harsh, with many businesses collapsing, as such any delay in the payment of coupons due companies that did not participate in the DDEP would be unpleasant.

“These interest payments were used to support operations and if they are not paid, it would be difficult to continue to run our businesses, employ and grow,” the Pacific Solutions and Services CEO said.

Source: GNA