Domestic Debt Exchange Program: Government Extends Deadline Again

After series of meetings between government and some bondholder associations, the deadline for the program has again been extended following the expiration of the last extension.

Following the expiration of the previous deadline on January 31, 2023 government through the Ministry of Finance has extended the deadline to February 7, 2023.

According to the Ministry of Finance, a new settlement date of Tuesday, February 14, 2023, will be confirmed through the new Exchange Memorandum.

The statement further indicated that a laudable progress has been made with all the various stakeholders who hitherto opposed the Domestic Debt Exchange Program.

The Ministry said it “has made significant progress with all stakeholders, including financial sector industry associations and representative groups of individual bondholders, with respect to their participation in the Programme.”

With this, Government encouraged all stakeholders to participate in the DDEP, which they describe as an essential step towards meeting our debt sustainability targets and restoring macroeconomic stability and economic growth.

“These developments have necessitated the final extension of the deadline from January 31, 2023, to Tuesday, February 7, 2023, and a new settlement date of Tuesday, February 14, 2023, that will be confirmed via the new Exchange Memorandum,” the Finance Ministry added.

The Ministry thanked the various stakeholders since the beginning of the DDEP, which it said has enabled it to make such remarkable progress possible.

“All bondholders are hereby encouraged to commence all administrative processes towards their participation in the Exchange, in line with the agreements reached,” the Ministry concluded.