Gov’t to start treasury bond sales again after DDEP
The government has taken a major step towards restoring investor confidence and reviving the domestic capital market as it prepares to resume the issuance of treasury bonds for the first time since the completion of the Domestic Debt Exchange Programme (DDEP).
In a new development, the Ministry of Finance, through the Bank of Ghana, has issued a Request for Proposals (RFP) inviting qualified banks and
licensed securities dealers to apply to serve as Primary Dealers and Bond Market Specialists for government securities.
This move marks a decisive phase in the country’s post-debt-restructuring recovery strategy, aimed at normalising government borrowing operations, rebuilding liquidity in the bond market, and restoring credibility with investors who were affected by the DDEP.
The Finance Minister, Dr Cassiel Ato Forson, is expected to oversee the selection of new Primary Dealers who will play a pivotal role in ensuring consistent issuance, market-making, and trading of government securities.
These dealers will help facilitate both short- and long-term borrowing through treasury bills and bonds, guided by a structured issuance calendar to promote transparency and predictability.
According to a statement issued by the Bank of Ghana, applicants must meet rigorous eligibility criteria to ensure the reformed market operates with stability and discipline.
Prospective Primary Dealers must commit to purchasing a minimum target amount in all government security auctions and must actively trade these instruments in the secondary market to enhance liquidity and investor confidence.
Furthermore, applicants for the Bond Market Specialist designation are required to demonstrate strong technical and operational capacity.
This includes proven book-running experience, wide distribution networks, and the ability to conduct marketing campaigns to attract both institutional and retail investors.
They must also provide clear plans to support capacity building for the government and key market participants to strengthen the broader financial ecosystem.
