The government has been urged to consider restructuring external debts too if local debts are also restructured.

Speaking on The Big Issue on Citi TV/FM, a financial analyst, Jerome Kuseh, said his call was “a matter of fairness.”

“Now let’s say you are going to give them [local investors] a haircut, but the foreign investors who only decided to only buy your Eurobonds, they are not going to be subjected to a haircut, where is the fairness in that situation?”

“The domestic market stayed with you and kept oversubscribing even to treasury bills. Now, these investors are going to be punished,” Mr. Kuseh argued.

He stressed that the government must “endeavour to do some sort of external restructuring.”

There are reports that Ghana is poised to start talks with domestic bondholders on a restructuring of its local-currency debt.

This is part of Ghana’s plan to secure a $3 billion loan from the International Monetary Fund.

There are indications that major local investors, including local banks and pension funds, are preparing to engage in discussion on debt reorganisation that could entail extension of maturities and haircuts on principal and interest payments.

Ghana’s debt-service costs in the first half amounted to GH¢20.5 billion, equivalent to 68% of tax revenue, according to budget data.