Debt Restructuring: Eurobond Holders Face 30% Cut — T-Bill Investors Exempt | Business News

Up until 2021, they have been earning some of the highest coupon earning rates available to them anywhere in the world, supposedly to compensate them for potential exchange rate risks.

But until the start of this year, their forex inflows (combined with Eurobond inflows) have curtailed cedi depreciation to barely five per cent over most of the period.

This has left them with real (dollar denominated) returns on investment of up to 15 per cent or more at a time that monetary easing in the western hemisphere has offered them less than 4-5 per cent in their home financial markets.

Indeed, these inordinately high dollar denominated yields, offered while Ghana's forex earnings were only rising marginally, are a major cause of the country's ongoing forex crunch.