Business Maverick: Ghana Missed Interest Payment Sparks Default Coverage Payout

The Credit Derivatives Determinations Committee made the decision at a meeting held on Monday, according to aon the panel’s website on Friday. Ghana skipped payment of interests on Jan. 18 of a $1 billion eurobond maturing in 2026. The missed payment triggered a 30-day grace period, which eventually expired at the end of the day on Feb. 17.

The ruling triggers the payout of the insurance protection on Ghana’s sovereign debt. Credit-default swaps covered a gross $66.4 million and net $34.4 million of Ghana’s debt as of Feb. 10, according to data from the Depository Trust & Clearing Corp. The nation’s eurobonds were unchanged following the decision, with the majority of the notes trading at a discount of 60-65% versus their face value, according to CBBT pricing compiled by Bloomberg.

The swaps panel had already ruled in January that Ghana’s decision to suspend debt servicing on its eurobonds, commercial term loans and most of its bilateral debt met the definition of a “potential repudation/moratorium.” This happened before the grace period on the first missed payment had expired.

Ghana has been engaging investors since November to restructure about $30 billion of its $46 billion in local and international debt. It recently completed the first part of a domestic restructuring, with investors exchanging 83 billion cedis , or 64% of holdings, for new securities, against an overall target of 80%. It aims to start “substantive” discussions with international bondholders and their advisers in coming weeks, Minister of Finance Ken Ofori-Atta said Feb. 16.

Sverige Senaste nytt, Sverige Rubriker

Similar News:Du kan också läsa nyheter som liknar den här som vi har samlat in från andra nyhetskällor.

Business Maverick: Asian equities swing lower, led by China tech: markets wrapA gauge of Asian stocks dipped, led by declines in Hong Kong-listed technology shares, and US equity futures dropped as traders continued to digest more hawkish comments by Federal Reserve officials.
Källa: dailymaverick - 🏆 3. / 84 Läs mer »

Business Maverick: China loses more than 40 million workers as population agesChina’s number of working people has fallen by more than 41 million in the past three years, reflecting both the coronavirus pandemic’s toll on the economy and a decline in the working age population. Wow that’s a staggering number… The plan is on track & their achievements they aimed for too
Källa: dailymaverick - 🏆 3. / 84 Läs mer »

Business Maverick: UK mothers say it no longer makes financial sense to workThree-quarters of women paying for child care in the UK say it doesn’t make financial sense for them to work, according to a new report that could spark concerns about a labour market already under strain. I'm not saying it's good, but at a 120% towards child care, just stay at home. You've saved 20% right there. Jokes aside, my UK staff are paying £55k a year for nannies. It's crazy.
Källa: dailymaverick - 🏆 3. / 84 Läs mer »

Business Maverick: Anti-ESG bill passes Senate as Biden threatens first vetoThe Democratic-led US Senate voted to block a Labour Department sustainable investing rule, marking a victory for Republicans in their crusade against “woke” capitalism and teeing up President Joe Biden’s first veto.
Källa: dailymaverick - 🏆 3. / 84 Läs mer »

Business Maverick: Boris Johnson Says Voting for Brexit Deal Will Be DifficultBoris Johnson, who led the UK out of the European Union and still remains popular within the governing Conservative party, said he will struggle to support a revised Brexit deal seen as key to mending ties with the country’s biggest trading partner.
Källa: dailymaverick - 🏆 3. / 84 Läs mer »