Dr. Cassiel Ato Baah Forson, Finance Minister, promises investors and citizens of Ghana’s full economic recovery as Fitch Ratings upgrade of the country’s improvement in the country’s creditworthiness.
Fitch, in its June assessment, scored Ghana’s long-term foreign-currency Issuer Default Rating (IDR) to ‘B-’ from ‘Restricted Default’ (RD) with a stable outlook, signifying the confidence in the country’s ability to meet its debt obligations.
It cited normalisation of the country’s relations with the significant majority of external commercial creditors, including the restructuring of the US$13.1 billion Eurobonds in October 2024, for the upgrade.
“I assure you – this is only the beginning. We are unwavering in our resolve to fully revive the economy and deliver lasting relief and shared prosperity to you, the good people of Ghana,” the Minister said in reaction to the upgrade.
“The rating upgrade is expected to facilitate Ghana’s re-entry into global capital markets, ease borrowing costs, and attract renewed investment across key sectors,” Dr. Ato Forson stated.
He pledged the government’s commitment to protecting the livelihoods of Ghanaians and ensuring inclusive growth as the country rebuilt international confidence and restored macroeconomic stability.
During the June assessment, Fitch observed the need to restructure the country’s US$2.6bn of non-performing external debt, describing Ghana’s negotiation of holdout risks with the outstanding commercial creditors as “small.”
It projected public debt to fall to 60 per cent of Gross Domestic Product (GDP) in 2025 and 2026, from the 72 per cent in 2024 and a peak of 93 per cent in 2022 when the announced its intention to default.
“We anticipate growth will remain solid, at four per cent in 2025 and 4.5 per cent in 2026, on a rebound in agricultural output after a steep decline in cocoa production in recent years, and a continued expansion of the industrial and services sectors,” Fitch stated.
On inflation, the rating firm anticipates a further decline from the 18.4 per cent as of May 2025 to 15 per cent in 2025 and 10 per cent by 2026 and called for a continued tight monetary policy stance and fiscal consolidation.
“The size of the pass-through of exchange rate appreciation is uncertain, but we believe it will rapidly contribute to a moderation in domestic inflation, backed up by lower oil prices and international food prices,” Fitch said.
These developments are coming on the back of Ghana’s ongoing implementation of a US$3 billion loan-supported programme with the International Monetary Fund (IMF), expected to end in 2026.
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