Ghana’s government will not rush back to the international capital market for Eurobonds, despite improved sovereign ratings and renewed investor interest. Finance Minister Dr. Cassiel Ato Forson confirmed this position, stating that the government prioritizes debt sustainability over fresh external borrowing.
This cautious approach comes even as Ghana’s macroeconomic fundamentals have strengthened, restoring investor confidence and reopening access to global markets. The country has made significant progress in restoring fiscal stability after the 2022 debt crisis, which previously made international borrowing impossible. Dr. Forson highlighted that while the market is now inviting Ghana back, the government will not be hasty in its return.
This strategy aligns with Ghana’s broader economic recovery efforts following its debt restructuring program and engagement with the International Monetary Fund (IMF). The nation’s debt-to-Gross Domestic Product (GDP) ratio has declined to 45%, meeting the statutory debt target ahead of schedule. This achievement is earlier than projected under the IMF-supported program, signaling a positive trajectory for Ghana’s public finances. The latest joint World Bank-IMF Debt Sustainability Analysis has also upgraded Ghana’s debt outlook from unsustainable in 2023 to sustainable in 2025, with the risk of debt distress improving from high to moderate.
Dr. Cassiel Ato Forson, speaking during the presentation of the 2026 Mid-Year Budget Review in Parliament, emphasized the importance of prudent fiscal management. He stated, “Today, the market is inviting us back. But we are not in a hurry.” This measured stance reflects a commitment to long-term fiscal health rather than short-term access to capital. He also noted that prudent fiscal management has reduced borrowing costs, saving the country GHS 4.2 billion in interest payments in the first half of the year. Lower treasury bill rates and government bond yields are easing borrowing costs for businesses and households, creating opportunities for investment, expansion, and job creation.
Looking ahead, decision-makers will closely watch how Ghana manages its significant upcoming debt obligations. The country faces GHS 58 billion in Domestic Debt Exchange Programme (DDEP) bonds maturing in 2027 and another GHS 53 billion in 2028. To meet these commitments, the government has strengthened the Sinking Fund and, under the 2026–2029 Medium-Term Debt Management Strategy, will allocate 7% of non-oil tax revenue, along with proceeds from domestic bond issuances, towards future debt servicing. This proactive approach aims to ensure Ghana can meet its financial obligations without resorting to immediate external borrowing. The government has also returned to the domestic long-term bond market, successfully raising GHS 2.7 billion through its first seven-year Cedi-denominated bond since the 2022 DDEP, further diversifying its funding sources.
The Finance Minister also reported that the removal of several taxes, including the Electronic Transfer Levy (E-Levy), Betting Tax, COVID-19 Health Recovery Levy, Emissions Levy, and VAT on motor insurance, has not negatively impacted revenue. On the contrary, non-oil tax revenue increased from 12.6% of GDP in 2024 to 13.1% in 2025, despite these tax abolitions and the introduction of no new taxes. This indicates a resilient domestic revenue generation capacity, further supporting the government's cautious approach to external borrowing.