Ghana’s debt stock has surged to GH₵761.2 billion, accounting for 75.7% of the country’s Gross Domestic Product (GDP ) as of July 2024.
The debt stock has risen significantly compared to last year, increasing from GH₵587.7 billion (70.3% of GDP) to GH₵761.2 billion (75.7% of GDP) within the same period. This information comes from the latest Summary of Economic and Financial Data released by the Bank of Ghana in September 2024.
Additionally, the external debt has grown to US$31.6 billion, up from US$30 billion last year, now representing 46.1% of GDP.
The domestic component of the debt was at GH₵290.9 billion representing 28.5 percent of the GDP.
Divided by the country’s current population, every Ghanaian is estimated to owe GH₵22,076 as of July 2024.
Ghana is currently engaged in an International Monetary Fund (IMF) program, aiming for a US$3 billion bailout to support economic recovery. On July 1, 2024, the country received a third tranche of funding totalling US$360 million after a successful performance review by the IMF. The Fund has indicated that Ghana’s overall performance under the program has been strong.
The International Monetary Fund (IMF) has initiated a third review of Ghana’s performance under its ongoing program, a crucial step toward unlocking the next tranche of funding.
This review is particularly important as it comes closer to the end of the year and could significantly impact the country’s economic recovery efforts.
During a joint press conference with the Ministry of Finance and the IMF on July 2, 2024, the Governor of the Bank of Ghana, Dr. Ernest Addison, emphasized the need for state authorities to closely adhere to the criteria established for this review.
He warned that any delays in meeting the required benchmarks could jeopardize progress and adversely affect the outcome of the review.
Dr. Addison’s call to action highlights the urgency of maintaining momentum in the program to ensure that Ghana can secure the necessary financial support for its economic recovery.