DDEP: Ghana Faces Ghs150.3bn Debt Repayment Bill Over Next Four Years - Ato Forson
Accra, Ghana - 13 March, 2025 - Ghana's Finance Minister, Dr. Cassiel Ato Forson, has sounded the alarm on the country's daunting debt repayment obligations and the pressing need to address the ailing energy sector.
In a televised interview, Dr. Forson revealed that Ghana is staring down a staggering GHS150.3 billion domestic debt repayment bill under Domestic Debt Exchange Programme (DDEP).over the next four years, inherited from the previous administration.
The repayment schedule is daunting, with GHS57.6 billion due in 2027 and GHS52.5 billion in 2028 according to the Finance Minister. This significant financial burden threatens to strain Ghana's already stretched finances.
“We have domestic bonds that we inherited. In the next four years put together, we have to repay GHS150.3 billion, of which in 2027 alone we have to repay debt of GHS57.6 billion, and in 2028 we have to repay GHS52.5 billion,” he stated in an interview on The Point of View on Channel One TV on Wednesday, March 12, 2025.
Dr. Forson emphasized that the government is working to address this challenge, but the task ahead is formidable.
Compounding the debt repayment woes is the energy sector crisis. Dr. Forson disclosed that the sector faces annual shortfalls exceeding $2 billion, with a staggering "legacy debt" of $2.1 billion accumulated as of December 2023.
“We have inherited an energy sector that is on its knees. An energy sector that is throwing out an annual shortfall of in excess of $2 billion every single year that the state must look for money and finance. In the 2025 budget, I have provisioned GHS28 billion to support the energy sector.
“If we had failed to do that, the energy sector by year-end would have seen difficulties, problems, and this is something we inherited,” he explained.
The government has allocated GHS28 billion in the 2025 budget to support the sector, but the minister cautioned that without urgent intervention, the energy sector would likely face severe difficulties by year-end.
Source: Lead News Online
