Data from the Bank of Ghana indicates that the country’s total debt has declined
The country’s public debt has seen a substantial reduction in the first half of 2025, falling by GH¢139 billion.
Data from the Bank of Ghana indicates that the country’s total debt declined from GH¢752.1 billion in January to GH¢613.0 billion by the end of June 2025.
This trend highlights an improvement in fiscal management, buoyed by currency stability, nominal GDP growth, and more restrained domestic borrowing.
Despite this overall decline, external debt continues to dominate Ghana’s debt profile, placing pressure on foreign reserves and heightening exposure to exchange rate volatility and global interest rate risks.
As of June 2025, Ghana’s external debt edged up to GH¢300.3 billion, representing 21.4% of GDP compared to GH¢296.2 billion in May.
Domestically, debt levels dropped slightly to GH¢312.7 billion in June from GH¢315.6 billion the previous month. This now accounts for 22.3% of GDP.
On the country’s debt-to-GDP ratio, it held steady at 43.8% in June, down significantly from 66.8% recorded a year earlier.
This sharp drop is largely attributed to GDP rebasing and broader macroeconomic stabilisation efforts.
Although the downward debt trajectory has been met with optimism, investors and economists remain cautious.
SA/MA
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