Ghana must prioritise building a stronger domestic capital market to ensure sustainable economic development and reduce reliance on costly international borrowing, according to Mr. Jacob Assa, Senior Economist and Strategic Advisor at the United Nations Development Programme (UNDP) Regional Bureau for Africa.
Speaking at the opening of a two-day national workshop on strengthening sovereign credit ratings in Tema, Mr. Assa said Ghana’s transition into a middle-income country has limited its access to concessional financing, while international capital markets often present high borrowing costs.
“These conditions require Ghana to strengthen its domestic financial markets,” he said. “A robust domestic capital market can help increase borrowing at reasonable rates, build investor confidence, reduce speculation, and provide long-term financing for businesses.”
He explained that well-developed domestic capital markets allow companies to raise funds locally while enabling investors to allocate resources more efficiently.
This, he noted, supports entrepreneurship, innovation, and employment creation through access to long-term, local-currency finance.
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The workshop, organised by UNDP in collaboration with the Government of Ghana and the Government of Japan under the Credit Ratings and Development Programme, brought together technical experts from key institutions including the Ministry of Finance, Bank of Ghana, Ghana Investment Promotion Centre (GIPC), Ghana National Petroleum Commission (GNPC), and the Ghana Gold Board.
Mr. Assa also stressed the importance of improving coordination among government ministries in their engagements with credit rating agencies (CRAs).
“It’s not enough to have a good economy. We must tell a strong, consistent narrative backed by credible data to attract investment and secure better ratings,” he said.
On his part, Mr. Edward Ampratwum, Head of Inclusive Growth and Accountable Governance at UNDP Ghana, said the training aimed to build the technical expertise of stakeholders responsible for shaping Ghana’s credit ratings story.
He explained that credit ratings in Africa are often dominated by external players, and the programme seeks to equip domestic experts with the knowledge to engage effectively with CRAs, challenge methodologies when necessary, and ensure transparency.
“Ultimately, this will help reduce the cost of borrowing for Ghana and free up resources to finance national priorities,” Mr. Ampratwum noted, urging participants to apply the lessons in practice.
The workshop forms part of a broader UNDP effort to enhance African countries’ resilience in global financial markets, by ensuring they present accurate and compelling economic narratives to attract sustainable investment.
