President John Dramani Mahama has projected that Ghana’s debt-to-GDP ratio will fall to between 55% and 58% by the end of 2025, significantly ahead of previously anticipated targets.
Speaking at a Presidential Dialogue during the African Development Bank’s Annual Meetings in Abidjan, Mahama credited the country’s ongoing economic reforms, strategic debt restructuring, and the recent appreciation of the Ghanaian cedi for driving the fiscal turnaround.
He highlighted recent progress in debt reduction, stating that the government had made substantial headway over the past five months.
“We’ve reduced our total debt by nearly GH¢150 billion in just the past five months,” the President said. “This is not only the result of the debt exchange program, but also because the cedi has strengthened, reducing the local cost of our external debt.”
Ghana’s improved fiscal outlook follows a painful but necessary debt restructuring process, which concluded earlier this year with bilateral creditors. The program both lowered the nominal debt burden and extended repayment timelines. Mahama emphasized that the strengthening of the cedi is now consolidating the gains achieved through restructuring.
“If this trajectory holds, we will reach our medium-term debt sustainability target by the end of this year, not 2028, as originally forecast,” he said.
Mahama made these remarks during a panel discussion joined by President Azali Assoumani of Comoros, Tanzanian Vice President Philip Mpango, and Nigerien Prime Minister Ali Lamine Zeine, all of whom shared progress stories from their respective countries.
This year’s AfDB meetings are being held under the theme “Making Africa’s Capital Work Better for Africa’s Development.” The agenda emphasizes strengthening domestic financing, regional trade, infrastructure, and macroeconomic resilience.
Looking to Ghana’s broader investment strategy, Mahama also pointed to examples of “smart borrowing” that help minimize fiscal pressure. He cited the country’s investment in infrastructure projects designed to repay themselves over time through direct revenue channels.
“Our Tema port, built through a public-private partnership, is paying for itself without burdening the national debt,” he noted.
The dialogue was opened by President Alassane Ouattara of Côte d’Ivoire, who used the opportunity to urge African governments to rely less on external funding and more on their own domestic capital.
The session also served as a farewell tribute to AfDB President Dr. Akinwumi Adesina, who ends his term in August after a decade in office. Adesina highlighted the Bank’s transformative impact, including $91 billion in financing and improved livelihoods for over 565 million people across the continent.
