NAIROBI/LONDON, Oct 3 (Reuters) – Ghana’s investors have signed off on its proposal to restructure $13 billion worth of international bonds, the government said on Thursday, paving the way for the country to emerge from a painful 2022 debt default.

More than 90% of bondholders voted in favour of the plan, the government said in a regulatory news statement, calling it a “pivotal milestone”, adding that the new bonds would be issued as part of the debt restructuring on or around Oct. 9.

“Our economy has turned a corner,” Ghana’s President Nana Akufo-Addo said in a separate statement. “This will allow Ghana to stabilise our finances and focus all our efforts on continuing the implementation of the ambitious reform program to improve the well-being of the Ghanaian people.”

Ghana’s near completion of the debt restructuring process leaves Ethiopia as the only other country on the continent that is still working to overhaul its debt.

Ghana has secured investor approval of its bonds restructuring after data showed its economy expanded at the fastest pace in five years in the second quarter of this year. Inflation has also been falling, allowing policymakers to cut its benchmark interest rate last month, the first easing since January.

The West African gold and cocoa producer defaulted on most of its $30 billion of international debt in 2022, as the strain of the COVID-19 pandemic, war in Ukraine and higher global interest rates tipped it into crisis.

It secured an agreement in principle with two bondholder groups in June, paving the way for the exchange offer and consent solicitation.

The existing defaulted bonds will be swapped for a number of new instruments – including so-called “disco” bonds and a par bond option capped at $1.6 billion.

Ghana is restructuring its debt under the G20 Common Framework, which has seen Zambia and Chad also reach agreements.

Investors welcomed the results of the consent solicitation and bonds exchange.

“The overwhelming support from regional and international bondholders shows strong support of the Ghana’s economic reform programme,” said Samuel Sule, financial adviser to the regional bondholders group.

“The government can now, accordingly, focus on implementation and execution of programme including promoting economic growth and fiscal consolidation.”

(Reporting by Anait Miridzhanian, Duncan Miriri and Karin Strohecker; Editing by Toby Chopra and David Evans)