Ghana's Public Debt Stock Drops by GH¢24b
Accra, Ghana - 25 Jan, 2025 - Ghana has recorded a significant decrease in its public debt stock, with a drop of GH¢24 billion bringing the total value down to GH¢736.9 billion as of November 2024.
This reduction is a major step forward in the country's efforts to address its debt burden and achieve fiscal sustainability.
According to data from the Bank of Ghana, the debt-to-GDP ratio has also improved, standing at 72.2% compared to 74.6% previously. This progress is attributed to stringent fiscal measures and debt restructuring efforts implemented by the government.
The external component of the debt stock has declined, reflecting gains from improved foreign exchange reserves and restructuring agreements with external creditors. However, the domestic component of the debt stock has increased, highlighting the need for continued fiscal discipline and structural reforms.
While the reduction in public debt is a positive development, analysts caution that sustaining this progress will require careful management of the economy and prudent decision-making. The government has reiterated its commitment to reducing the debt burden and achieving long-term fiscal sustainability.
Source: Lead News Online