Access Bank set aside N103.1bn provision for Ghana debt crisis

By David Awoyemi

Access Holding Plc disclosed in making it’s provision as impairment loss resulting from the economic impact of Ghana’s sovereign debt crisis.

Access Bank also said the West African country’s debts in its books have been valued at N348.1billion as of December 2022.

In it’s 2022 financial statement, the Group said it “took an impairment of N103.10billion in recognition of the economic loss impact of Ghana sovereign debt crisis (Domestic debt and Eurobonds).

“While the economic loss on Ghana’s Domestic debt has been determined via a Domestic Debt Exchange Programme (DDE) with definite terms, unlike the DDE, the Ghanaian government has not yet presented restructuring terms for the Eurobonds.

“Though restructuring parameters are subject to a lot of uncertainty, the possibility of further material impairment charge for this event is considered remote. The fair value for Ghana sovereign debts in the books of the Group amounts to N348.15billion.”

According to the bank, it also reported that the West African country’s debts in its books have been valued at N348.1billion as of December 2022.