Government clears way for return to long-term domestic borrowing
The Ministry of Finance has announced the expiration of restrictions on new domestic bond issuance, effectively ending a three-year measure introduced at the height of Ghana’s debt crisis.
In a press release dated March 2, 2026, the ministry said the measures, imposed in 2023 following the debt default that preceded the Domestic Debt Exchange Programme, have now lapsed.
The ministry explained that “The three-year restriction measure was imposed in 2023 to prevent Government from issuing new bonds following the debt default that preceded the Domestic Debt Exchange Programme (DDEP).”
It said the decision to allow the measure to expire reflects improved economic conditions. “This comes at a time when inflation is low, investor confidence has improved, and the macroeconomic environment is strong, supported by a robust medium-term debt management strategy and significant buffers.”
The statement further underscored the government’s performance under the restructured debt programme, noting: “Since 2025, the Government has honoured every coupon payment and obligation under the restructured bonds, demonstrating its credibility, fiscal discipline, and commitment to responsible debt management.”
According to the ministry, the removal of the restrictions is expected to significantly alter the government’s financing strategy. “The expiration of the restrictions paves the way for government to drastically reduce its dependence on Treasury bills to finance its budget and allows for the issuance of new longer-dated domestic bonds.”
The reliance on short-term Treasury bills had increased sharply during the restructuring period, exposing the state to rollover risks and higher short-term borrowing pressures.
The return to longer-dated domestic bonds is therefore seen as a move to lengthen the maturity profile of public debt and provide greater stability to the domestic market.
The release concluded with a note of appreciation from President John Dramani Mahama. “President John Dramani Mahama’s administration is once again deeply grateful to the Ghanaian people for their forbearance and cooperation during the difficult period.”