The Ghana Road Contractors Association has refuted claims of receiving any formal communication from the government regarding a proposed debt restructuring.
This comes after Finance Minister Dr. Mohammed Amin Adam revealed that letters had been sent to private banks and contractors to restructure approximately $2.8 billion in outstanding obligations.
John Afful, the Association’s National Chairman, clarified that the restructuring seems to involve foreign contractors, as the government’s debt to local contractors is significantly smaller, amounting to less than $1 billion. He emphasized that the association has not been approached regarding any restructuring offer.
“We haven’t been contacted, and from what I’ve read, it appears to relate to foreign contractors. Local contractors have not been approached, and I doubt we will be involved, as the amount owed to us is much smaller than the $2.8 billion,” Afful stated in an interview on Thursday.
Afful further expressed that local contractors would not participate in any debt restructuring if approached, noting that the debt owed to them has been outstanding for a long time, dating back to 2016. “It would be very unfair to involve us in such a process after all this time,” he added.
A report by the Graphic Newspaper on Thursday mentioned that the government had initiated a new round of debt restructuring, sending an offer to private banks and contractors who are owed about $2.8 billion. After securing agreements with its bilateral and Eurobond holders, the government is now focusing on private banks and contractors.
During a monthly economic update, Minister of Finance Dr. Mohammed Amin Adam confirmed that offers had been sent to creditors, including those in Ghana and China, for their consideration. “We visited China and engaged with some of the creditors. We have also shared our offer with those here in Ghana,” the minister said, expressing hope that the terms would be accepted.
