Ghana creditors close to formalizing a group for debt talks -sources

Rothschild & Co SCA

11/11/2022 16:04

By Jorgelina   do Rosario and Karin Strohecker
       LONDON, Nov 11 (Reuters) - Some holders of Ghana's
international bonds are close to formalizing a creditor group,
two sources with direct knowledge of the matter told Reuters on
Friday.
    The creditors have chosen Rothschild & Co  ROTH.PA  and
Orrick, Herrington & Sutcliffe LLP as advisers, the sources
added, asking not to be named because the discussions are
private.
    "The group should be announced soon. We are getting together
to have an unified voice from the creditor side," one of the
people said.
    The hiring of the financial and legal advisers has been
previously reported by the Wall Street Journal. 
    The government still has not said whether it will move
forward to rework its overseas debt. Ghana's Finance Ministry
spokesperson declined to comment.
    The West African nation had reached out to the International
Monetary Fund (IMF) for financing aid in July, despite previous
pledges from the government to never again seek its assistance. 
    An IMF staff mission visited Ghana in late September to kick
off talks on a lending programme, with the finance ministry
saying in late October it expected another visit in weeks to
come. 
    Ghana’s consumer price inflation rate rose to 40.4% in
October, and the local currency, the cedi  GHS= , is seen under
pressure in the week ahead amid rising corporate demand and
limited dollar inflows.
    The cedi, trading at 14.00 to the dollar, has lost more than
half its value in 2022 and is Africa's worst-performing currency
this year.
 (Reporting by Jorgelina do Rosario and Karin Strohecker,
additional reporting by Rachel Savage; Editing by Bill Berkrot)
 ((jorgelina.dorosario@thomsonreuters.com;))