Ghana’s Public Debt Climbs to GH¢674 Billion as Cedi Depreciation Increases External Debt
- Ghana’s total public debt has climbed to GH¢674.1 billion in February 2026, with cedi depreciation adding an estimated GH¢13.5 billion to external debt
- Despite the increase in nominal debt, the debt-to-GDP ratio improved to 42.2%, supported by stronger economic growth and better fiscal performance
- The country also recorded a primary surplus of 1.2% of GDP, signalling gradual progress in efforts to stabilise public finances and restore debt sustainability
Ghana’s total public debt increased to GH¢674.1 billion in February 2026, according to the latest Summary of Economic and Financial Data released by the Bank of Ghana (BoG) in May 2026.
The figure reflects a continued upward adjustment in the country’s debt profile, although officials note mixed signals in broader fiscal indicators.
Source: Twitter
In dollar terms, the debt stock rose to $63.1 billion, up from $61.3 billion recorded in December 2025.
Cedi depreciation adds pressure to external debt
A key factor behind the rise in the external debt burden is the depreciation of the cedi, which contributed an estimated GH¢13.5 billion increase to Ghana’s external obligations over the period.
Despite this, external debt remained broadly stable in structural terms at $29.3 billion in February 2026, equivalent to 19.6% of GDP.
Although the nominal debt stock increased, Ghana’s debt-to-GDP ratio improved, falling to 42.2% in February 2026 from 44.7% in December 2025.
According to a publication sighted on Citinewsroom, the data suggests that stronger economic output helped to offset the impact of rising debt levels.
The BoG report also indicates that overall economic expansion played a role in improving key sustainability indicators.
Domestic borrowing continues upward trend
Domestic debt rose further to GH¢360.4 billion in February 2026, up from GH¢341 billion in January.
This now represents around 22.6% of GDP, reflecting the government’s continued reliance on the local market to finance budgetary needs and manage liquidity pressures.
Despite rising debt levels, Ghana’s fiscal position recorded improvement. The fiscal deficit-to-GDP ratio stood at 0.3% in March 2026, while the primary balance registered a surplus of 1.2% of GDP.
Analysts suggest the combination of a lower debt ratio and a primary surplus could help strengthen investor confidence and support Ghana’s ongoing efforts to restore debt sustainability, particularly as the country transitions from its International Monetary Fund (IMF) programme to a Policy Coordination Instrument framework.
Cedi depreciate by 8.4% against US dollar
Earlier, YEN.com.gh reported that the cedi had fallen by over 8% against the US dollar so far in 2026, per the central bank.
The latest performance of the local currency was captured by the Bank of Ghana’s May 2026 Economic and Financial Summary.
Unlike the sharp volatility witnessed in 2025, the 2026 depreciation pattern has been more gradual and sustained.
Source: YEN.com.gh
