Government records 95% participation in Pensions Fund Alternative Offer

The invitation period for the Pensions Fund Alternative Offer has ended with approximately GH¢29.6 billion representing 95 per cent of eligible bonds participating in the Exchange.

This is out of the GH¢31.02 billion outstanding principal amount.

Following the development, government has announced September 4, 2023, as the new settlement date as against the previous date of September 1, 2023.

“The issue date, interest accrual schedules and payment schedules for the Exchange Bonds will be adjusted to reflect the actual Settlement Date,” the Ministry of Finance said in a statement.

The intent behind extending the settlement date, the Ministry noted was to provide government the sufficient time to settle the Exchange Bonds in an efficient manner.

It said it was pleased with the outcome of the exchange programme, as a substantial majority of the Eligible Holders had tendered.

“This result is a significant achievement for the Government to implement fully the economic strategies in the post-COVID-19 Programme for Economic Growth (PC-PEG) during this current economic crisis,” the statement read.

It noted that with expiration of the exchange period, no new tenders would be accepted, and no revocations or withdrawals would be permitted.

“Accordingly, the payment on the Exchange Bonds that was scheduled to be paid shortly after the settlement date (such payment to be made as if such Exchange Bonds had been issued on 21st February 2023 and held by the tendering Eligible Holders as of 22nd August 2023, which is the first interest payment date under the Existing Exchange Series) will now be made on or about 5th September 2023,” the statement read.

Source: GNA