Government lifts DDEP-induced restrictions on domestic bond issuance after three years

Finance Minister, Dr. Cassiel Ato Forson.

The Ministry of Finance has announced the expiration of restrictions on new domestic bond issuance, effectively ending a three-year measure introduced at the height of Ghana’s debt crisis in 2023.

In a press release dated March 2, 2026, the Ministry stated that the restriction was initially imposed to prevent the Government from issuing new bonds following the debt default that preceded the Domestic Debt Exchange Programme (DDEP).

The move formed part of broader efforts to stabilise the domestic debt market and restore macroeconomic credibility after the restructuring exercise.

According to the statement, the expiration of the restrictions comes at a more favourable time for the economy. The Ministry noted that inflation has declined significantly, investor confidence has strengthened, and the macroeconomic environment has improved, supported by a robust medium-term debt management strategy and the build-up of fiscal buffers.

The Government also highlighted its post-restructuring track record, stating that since 2025 it has honoured every coupon payment and obligation under the restructured bonds. Officials say this consistent performance has demonstrated fiscal discipline and reinforced credibility in the domestic bond market, helping to rebuild investor trust after the DDEP.

With the restrictions now lifted, the Ministry explained that the development will enable Government to significantly reduce its reliance on short-term Treasury bills to finance the budget. It also creates room for the issuance of longer-dated domestic bonds, a move analysts believe could improve the maturity profile of Ghana’s public debt and ease refinancing risks.

During the restrictive period, Treasury bills became the primary domestic financing instrument, leading to heightened rollover pressures. The ability to reintroduce longer-tenor bonds is therefore expected to deepen the domestic capital market and enhance debt sustainability over the medium term.

The statement further expressed appreciation to Ghanaians for their patience during the economic adjustment period. It noted that President John Dramani Mahama’s administration remains grateful for the forbearance and cooperation shown by citizens throughout the difficult restructuring phase.

The Ministry reaffirmed its commitment to prudent debt management and maintaining macroeconomic stability, signalling that future domestic bond issuance will be guided by a disciplined financing strategy aimed at consolidating recent economic gains.