The Ministry of Finance says the latest S&P’s sovereign credit rating upgrade of Ghana’s economy can be credited to the transformational leadership under the Minister, Dr. Cassiel Ato Forson.
The Ministry says the feat was achieved by dint of the bold and transformative policies spearheaded by the Finance Minister as the nation repositions itself on a path of macroeconomic stability and fiscal discipline.
S&P Global Ratings, on May 9, 2025, raised Ghana’s foreign-currency sovereign credit rating from Selective Default (SD) to CCC+, citing decisive progress in external debt restructuring and renewed fiscal credibility. The move reflects growing investor confidence and validates the direction of reforms initiated under the current leadership of the Ministry of Finance.
Reacting to the welcoming development, the Ministry says that at the heart of the upgrade was Dr. Ato Forson’s reform-driven economic agenda that emphasizes fiscal responsibility, legal safeguards, and long-term sustainability over short-term political gains.
A statement released by the Ministry on Saturday explained that the Minister took over an economy bedeviled with large fiscal arrears, elevated inflation, and crippling interest payments.
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The change the course, his administration has chosen a path of expenditure-led consolidation, avoiding the politically sensitive route of aggressive tax increases. Key reforms under his stewardship, the Ministry says, include amendments to the Public Financial Management Act, the reintroduction of fiscal rules, and efforts to establish an independent fiscal council. These measures are aimed at ensuring that public spending is efficient, targeted, and subject to strict oversight.
A major factor in S&P’s reassessment is Ghana’s progress in restructuring its external debt. With negotiations with commercial creditors nearing completion, pressure on foreign reserves has eased, and interest expenditure has significantly declined, from nearly 48% of government revenue in 2021-2022 to around 25% today.
On the inflation and currency stability fronts, the Ministry indicates that Dr. Forson’s approach helped to anchor inflation expectations. Although S&P maintains that the level of inflation still remains high at 22%, it is trending downward, helped by a stronger cedi, prudent monetary policy, and easing energy costs.
Monetary policy credibility, long questioned during past inflation surges, is gradually being restored. This, paired with a more stable currency environment, has helped rebuild investor and consumer confidence in the economy.
This achievement, the Ministry says, is poised to stay on course to consolidate the gains. To them, the S&P’s upgrade is an early vote of confidence in the policies spearheaded by the Minister, adding that they believe the progress will translate into long-term inclusive economic growth.
