Ghana’s public debt burden relative to the size of the economy increased to 45.1% by May 2026, despite a decline in the country’s total debt stock when measured in US dollar terms.
The latest Summary of Economic and Financial Data for July 2026, released by the Bank of Ghana, shows that the debt-to-GDP ratio rose from 42.2% in February to 45.1% in May.
The increase was driven by a rise in the cedi value of the country’s total public debt, which grew from GH¢674.1 billion in February to GH¢720.8 billion by May.
The debt stock increased steadily over the period, reaching GH¢686.1 billion in March and GH¢695.9 billion in April before rising sharply to GH¢720.8 billion in May.
However, in US dollar terms, Ghana’s public debt declined from US$63.2 billion in February to US$61.5 billion in May, reflecting the impact of the appreciation of the cedi against major international currencies.
The latest figures highlight the contrasting impact of exchange rate movements on Ghana’s debt position, with the cedi value of the debt rising even as its dollar equivalent declined.
External debt increased from GH¢313.6 billion in February to GH¢341.7 billion in May, representing 21.4% of GDP.
Domestic debt also rose during the period to GH¢379.1 billion, accounting for 23.7% of GDP, as the government continued to rely on the domestic financial market to meet financing needs and refinance maturing obligations.
The development comes as the government continues to implement fiscal and economic reforms under its IMF-supported programme, with debt sustainability and fiscal consolidation remaining key priorities.
Despite the increase in the overall debt stock, the government has continued to make significant payments to external creditors.
The latest major payment was the early settlement of a US$700 million Eurobond obligation on July 2, 2026.
The payment comprised US$525.2 million in principal and US$174.8 million in interest.
According to the Ministry of Finance, the latest payment brings Ghana’s cumulative payments to Eurobond holders to US$2.1 billion since January 2025 under the country’s Eurobond Debt Exchange Programme.
The Ministry has maintained that the latest repayment was financed through pre-arranged funding mechanisms and did not place undue pressure on the country’s foreign exchange reserves.
The latest debt figures are expected to keep attention focused on the pace of debt accumulation, the government’s financing strategy and the need to ensure that economic growth outpaces the rate at which public debt is increasing.
