In its first 7-year cedi-denominated bond auction after the Domestic Debt Exchange Programme (DDEP), the government received bids totaling GH¢3.1 billion from investors. According to a summary issuance report reviewed by JOYBUSINESS, authorities accepted GH¢2.7 billion of those bids.
Officials agreed to a 12.5% coupon rate on the bond, which is set to mature on March 29, 2033.
Analysts and industry observers who spoke with JOYBUSINESS called the outcome positive and in line with current market conditions. They observed that the coupon rate is somewhat more favorable than the rates seen in the secondary market, where pre-DDEP bonds are currently being traded.
Settlement for accepted bids is scheduled for April 7, 2026. The bond will also be listed on the Ghana Stock Exchange to encourage active secondary market trading.
The results are viewed as a significant step toward reopening the domestic bond market, which could enable the government to resume long-term borrowing for development financing.
The government aims to raise GH¢15.231 billion through treasury bills and bonds from March to June 2026. These funds are intended to support budget execution and roll over maturing debt.
Authorities also plan to establish benchmark bonds through these issuances. “The Issuance Calendar for March to June 2026 is expected to offer market participants clear guidance to help shape their investment decisions.”
Background
On March 30, the government officially launched the 7-year cedi bond, marking its first such issuance since 2022. This follows the end of restrictions from the DDEP introduced in 2023 after Ghana defaulted on its debt.
Investors needed to place a minimum bid of GH¢50,000, and the bond was open to both local and foreign participants. Proceeds will fund projects outlined in the 2026 budget.
Reasons for the Bond Auction
A circular accompanying the issuance states that the government intends to reestablish a domestic funding program. This move is meant to support liquidity management and refinance maturing obligations. Authorities also seek to rebuild the sovereign yield curve, broaden investment options, and restore investor confidence. The Finance Ministry noted that participation is not restricted to pension funds, insurance companies, and asset managers alone.
