Ghana has achieved a key milestone under its $3 billion IMF programme, reaching the targeted 55% debt-to-GDP ratio three years ahead of the 2028 deadline, according to new data from the Bank of Ghana (BoG).
The sharp decline in the debt ratio comes despite a GH¢ 42.7 billion ($3.3 billion) increase in public debt during the first quarter of 2025.
The drop is attributed to strong economic growth, with the nominal value of Ghana’s economy expanding from GH¢ 1.176 trillion at the end of 2024 to GH¢ 1.4 trillion by March 2025, a rise of GH¢ 224 billion.
This growth was driven mainly by higher output and export earnings from key commodities. Gold exports rose by 40.8% month-on-month, increasing from $3.72 billion in March to $5.25 billion in April.
Cocoa exports also surged by 22.5%, climbing from $1.5 billion to $1.84 billion within the same period.
BoG figures show external debt now stands at GH¢ 442.5 billion, or 31.6% of GDP, while domestic debt is pegged at GH¢ 326.9 billion, representing 23.4% of GDP.
This shows that the early attainment of the IMF debt target provides fiscal breathing space and positions the country for further debt reduction if ongoing consolidation measures remain on track.
