President John Dramani Mahama has sounded the alarm over Ghana’s economic struggles, emphasizing the urgent need for financial restructuring and responsible governance to steer the country back to stability.
Delivering his State of the Nation Address (SONA) to Parliament on Thursday, February 27, Mahama highlighted soaring public debt and the deteriorating financial health of key state-owned enterprises, which he said were hindering economic growth.
“Ghana is saddled with staggering debts and glaring signs of almost deliberate and, in some cases, reckless mismanagement of our resources,” he stated.
- Public Debt Crisis: Ghana’s national debt has ballooned to GHS721 billion, placing a severe strain on the country’s finances.
- Struggling State Enterprises: Institutions such as the Electricity Company of Ghana (ECG) and Ghana Cocoa Board (COCOBOD) are struggling under enormous debt burdens, making it difficult for them to operate effectively.
- ECG’s Financial Woes: The company currently owes GHS68 billion, raising concerns over the stability of the country’s power sector.
- COCOBOD’s Mounting Liabilities: The cocoa sector, a key pillar of Ghana’s economy, faces uncertainty as COCOBOD’s GHS32.5 billion debt continues to threaten its operations. Of this amount, GHS9.7 billion is due by September 2025.
Mahama’s address reinforced the need for urgent financial reforms to prevent further economic decline. His remarks signal a renewed commitment to restructuring debt, enhancing fiscal responsibility, and ensuring accountability in state institutions.
As Ghanaians and policymakers digest the president’s sobering revelations, the focus now shifts to what steps the government will take to restore economic stability and instill confidence in investors, businesses, and the general public.
