Some financial and economic experts have lauded the effort of the Finance Minister, Ken Ofori Atta, in reducing Ghana’s Public debt from over 90 percent to 66.4%.
The role played by the Finance Minister in seeking IMF assistance and the successful engagement in the Domestic Debt Exchange program as well as the ongoing external debts Exchange programs have begun to yield good results and help in shaping the country’s economy by reducing public debts, increasing foreign or international reserves, Samuel Gyimah a financial expert explained.
“Initially a section of the public agitated over the DDEP, today we have started seeing the benefit of the program and I think the Minister did well by seeing to the full and successful implementation of the program,” Yaw Yeboah, an economist noted.
Indeed, Ghana’s public debt has fallen to GHS 567.3 billion as of September 2023; a GHS14.2 billion decrease compared to the GHS 581.5 recorded in June 2023.
According to latest data from the Bank of Ghana, the new public debt figure represents 66.4 percent of Gross Domestic Product (GDP).
Comparatively, the public debt stock has risen by GHS 8.5 billion since January 2023 and since September 2022.
In dollar terms, the total debt stock stood at US$51.0 billion as of June 2023.
These are according to the Bank of Ghana’s Summary of Economic and Financial Data for November 2023.
External debt accounted for GH₵326.7 billion (US$29.4 billion), while domestic debt accounted for GH₵240.6 billion.
Both external and domestic debts have witnessed some marginal decreases since June 2023.
External debt fell by GHS 1.9 billion from GH₵ 328.6 billion (June 2023) to GH₵ 326.7 billion (September 2023).
Domestic debt declined by GH₵ 12. 3 billion, compared to the June 2023 figure of GH₵252.9.3 billion for the same period.
Nominal GDP, on the other hand, stood at GH₵854. 8 billion as of September 2023, up from the GH₵610.2 billion recorded in September 2022.