Ghana’s public debt stock has recorded a significant drop, falling to GH₵736.0 billion in November 2024 from GH₵761.0 billion in October 2024. This development, detailed in the Bank of Ghana’s January 2025 Summary of Economic and Financial Data, highlights a 3.3% month-on-month reduction and marks a positive step toward stabilising the nation’s fiscal position.
The reduction in public debt has been attributed to adjustments in both external and domestic debt levels during the period under review. According to the report, Ghana’s external debt decreased from GH₵453.7 billion in October 2024 to GH₵425.3 billion in November 2024. Similarly, domestic debt experienced a slight decline, falling from GH₵311.7 billion to GH₵307.3 billion over the same timeframe.
Notably, the public debt stock as a percentage of Gross Domestic Product (GDP) also improved, dropping to 72.2% in November 2024 from 74.6% in October 2024. This improvement in Ghana’s debt sustainability indicators reflects ongoing efforts to address fiscal challenges and reduce the country’s vulnerability to economic shocks.
The government of Ghana has reiterated its commitment to fiscal consolidation, implementing measures aimed at reducing the debt burden and enhancing revenue mobilisation. The recent decline in debt stock provides some respite as the country continues its efforts to stabilise the economy, foster growth, and restore investor confidence.
With these positive developments, Ghana is gradually positioning itself for a more sustainable fiscal trajectory, even as it navigates the complexities of economic recovery and development.
source :BANK OF GHANA
