A Fellow at the Center for Democratic Development (CDD-Ghana) and a pharmacist, Dr. Kwame Asiedu Sarpong, has voiced concerns about the impact of the government’s Domestic Debt Exchange program on his investments in Ghana.
Former Finance Minister Ken Ofori-Atta introduced Ghana’s Domestic Debt Exchange Programme aiming to restore the country’s ability to manage its crippling debt.
During the programme’s launch, the former Finance Minister stated that the goal of the Programme is “to invite holders of domestic debt to voluntarily exchange approximately GH¢137 billion of the domestic notes and bonds of the Republic, including E.S.L.A. and Daakye bonds, for a package of New Bonds to be issued by the Republic.”
However, in an interview with Kojo Marfo on Kumasi-based Abusua 96.5FM, Dr. Sarpong revealed that the Domestic Debt Exchange program caused him to lose an astonishing £19,000 after investing £41,000.
“I invested £41,000 and lost more than £19,000. I received £22,000, which is 54% of my initial £41,000 investment,” he cried out.
Meanwhile, at the launch, Ken Ofori-Atta reaffirmed the Government’s promise that there will be no reduction on bond principals and Treasury Bills, countering rumors that investors are set to lose their investments in the upcoming debt restructuring.
Dr. Sarpong also mentioned that the depreciation of the Ghanaian cedi further affected his investment.
“At the time I made the investment, £1 was just around 8-9 cedis, but when the restructuring occurred, and I lost the money, the pound was trading at GH¢14.8, resulting in a £19,000 loss,” he stressed.
Vows to Avoid Future Investments in Ghana
Reflecting on his experience, Dr. Asiedu Sarpong vowed not to invest in Ghana again. “With my experience and loss of money, I won’t invest in Ghana again,” he emphasized.
Criticism of Economic Management and Political Leadership
Dr. Asiedu Sarpong also criticized the head of the Economic Management team and the Presidential candidate for the ruling New Patriotic Party, stating, “While our economy is in turmoil, the man in charge is searching for the steering wheel.”