Accra: Ghana's total public debt has declined by GHS113.7 billion during the first half of 2025, marking a significant fiscal turnaround. Addressing Parliament during the Mid-Year Budget Review, Mr. Cassel Ato Forson, Minister of Finance, attributed the development to prudent fiscal measures, debt restructuring, and currency appreciation.
According to Ghana News Agency, the country's public debt fell from GHS726.7 billion at the end of December 2024 to GHS613 billion as of June 2025. 'For the first time in Ghana's history, there is a negative 15.6 percent rate of debt accumulation,' Mr. Forson stated.
Dr. Forson reported that Ghana's debt-to-GDP ratio declined from 61.8 percent to 43.8 percent over the six-month period, describing the 18-percentage point drop as evidence of improved macroeconomic performance under the International Monetary Fund (IMF) programme. He added that the share of external debt in total public debt had reduced from 57.4 percent in December 2024 to 49 percent by mid-2025.
'These results show that our reforms are working. Ghana's debt is no longer on an unsustainable path,' he told the House. The Minister pledged the government's continued commitment to responsible financial management, enhanced domestic revenue mobilisation, and efforts to plug expenditure leakages, citing public procurement and monitoring reforms as key safeguards.
While acknowledging the progress, Dr. Forson noted that public perception would hinge on whether improved macroeconomic indicators translate into tangible benefits for households and businesses. He said the government remained focused on achieving better credit ratings than the current B-minus awarded by Fitch.
