GHANA TAKES BOLD STEP TOWARD DEBT RECOVERY WITH $2.8 BILLION RESTRUCTURING APPROVAL

Ghana's $2.8 billion debt restructuring plan an effort to restore economic stability and reduce fiscal pressure.

Ghana Restructuring plan Economic recovery Africa Fiscal reforms.
Ghana’s Parliament Approves $2.8 Billion Debt Restructuring Plan
Ghana’s Parliament Approves $2.8 Billion Debt Restructuring Plan


Ghana’s Parliament has approved a $2.8 billion debt restructuring plan, marking a critical milestone in the country’s journey toward economic recovery and fiscal sustainability.

The agreement, part of broader efforts to restore investor confidence and unlock international financial support, comes after months of negotiations with bilateral creditors. 

The deal is expected to slash Ghana’s debt-to-GDP ratio to 55% by 2026, while bringing the debt service-to-revenue ratio below 18% by 2028, a significant shift for a country that defaulted on much of its $30 billion international debt at the end of 2022.

The newly approved framework builds on a memorandum of understanding signed earlier this year with 25 creditor nations, including key lenders China and France. Ghana’s Finance Minister, Cassiel Ato Forson, described the approval as “a turning point for the economy,” but stressed that negotiations with private creditors still owed around $2.7 billion remain ongoing.

Ghana’s economic struggles were compounded by multiple global shocks, including the COVID-19 pandemic, the fallout from the war in Ukraine, and soaring interest rates. The country, once considered one of Africa’s most promising economies, is now attempting to rebuild confidence through tough fiscal reforms and strategic debt management.

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