He was speaking in an interview with Umaru Sanda Amadu on Face to Face on Citi TV on Tuesday.

“What happened was we went in for cocoa bills and the interest rate was around 15%. So yes, we were able to manage it and then in a situation where we were unable to pay at a point, we roll over these cocoa bills. However, with the general economic situation in the country, the interest rate ballooned to about 32%.”

“…Indeed, when this happened, COCOBOD took the decision to use bonds outside the country to retire all the cocoa bills. And by retiring them, it gave us the space to operate comfortably and take care of all our responsibilities…Then the IMF came in and as part of the discussions, they felt that COCOBOD is part of government so eventually if COCOBOD is not able to pay [its debt] then it will fall back on government. So there is the need for them to restructure this arrangement hence the cocoa bills becoming part of the debt exchange,” he expounded.

COCOBOD extended an invitation to holders of its short-term debt securities (cocoa bills) to exchange that for longer-term debt securities.

The exchange programme being undertaken by COCOBOD is also with a longer-term principal maturity date.

Participation in this invitation to exchange is however voluntary.

Notwithstanding the invitation to exchange eligible bills for the new bonds, COCOBOD, in its sole discretion, may settle the eligible bills in full or in part and the eligible holders’ subscription to receive new bonds is voluntary.