Ghana’s economic turnaround earns global recognition — Finance Minister welcomes S&P upgrade
The Minister of Finance, Dr Cassiel Ato Forson, has welcomed the latest credit rating upgrade by S&P Global Ratings, which raised Ghana’s foreign-currency sovereign credit rating from Selective Default (SD) to CCC+.
The announcement, made on May 9, 2025, marks a significant vote of confidence in the country’s economic recovery strategy.
“This upgrade is a testament to the tireless efforts of the government and the Ministry of Finance to restore macroeconomic stability and rebuild investor confidence. It reflects the positive outcomes of our ongoing fiscal and structural reforms,” Dr. Forson stated.
According to S&P’s report, Ghana’s near-completion of external debt restructuring and improving macroeconomic indicators have contributed to the improved rating. Inflation, though still high at 22%, is on a downward path due to a firming cedi and declining energy prices — signs of renewed economic momentum.
Dr. Forson emphasised that these gains are the result of deliberate policy choices. “We have launched critical reforms, including amendments to the Public Financial Management Act, reintroducing fiscal rules, and initiating the process to establish an independent fiscal council. These actions are not just about stability today, but about institutionalizing discipline for generations to come.”
Despite inheriting substantial arrears, the Finance Minister reiterated that the administration is committed to expenditure-led consolidation rather than tax-heavy adjustments. Under the IMF’s Extended Credit Facility (ECF) program, Ghana aims to achieve a primary surplus of 1.5% of GDP in 2025 while capping expenditure growth at below 10% per year over the next four years — a sharp contrast to historical averages.
Interest expenditure has dropped significantly, from a crippling 48% of government revenue in 2021–2022 to around 25%, due to successful debt restructuring measures. Public debt, net of liquid assets, is projected to decline from 71.4% of GDP in 2024 to 47.4% by 2028, according to S&P’s forecast.
“This is not just a statistical upgrade; it is a validation of Ghana’s renewed credibility in the eyes of the global financial community. We are mindful of the challenges ahead, including election-related fiscal pressures and external shocks, but our trajectory is clear,” Dr. Forson said.
He reaffirmed the government’s commitment to inclusive, sustainable growth and responsible economic stewardship. “This recognition by S&P is a strong signal to our international partners and investors that Ghana is back on a path of resilience, discipline, and long-term prosperity.”
Read the full statement on the Ministry's Facebook page