News Guide Africa

Tag: Ministry of Finance

  • Ghana signals post-restructuring recovery as historic GH¢10.8bn coupon payment disbursed

    Ghana signals post-restructuring recovery as historic GH¢10.8bn coupon payment disbursed

    By Adnan Adams Mohammed

     

    Ghana’s economic recovery marked a major milestone as the government fully disbursed GH¢10.8 billion in Domestic Debt Exchange Programme (DDEP) coupon payments on schedule, delivering a powerful signal of stability to local financial institutions and international credit markets.

    The timely cash settlement, the largest single payout since the 2023 debt restructuring, brings total returns delivered to domestic bondholders over the past 18 months to GH¢41.36 billion.

    The disbursement fulfills an explicit promise made by Minister for Finance, Dr. Cassiel Ato Forson, during the 2026 Mid-Year Budget Review in Parliament, where he assured lawmakers and the public that the government would honor its obligations to bondholders without delay.

    Speaking during his mid-year address to Parliament, Dr. Ato Forson underscored that consistent cash settlements remain central to rebuilding trust among domestic creditors and international market participants.

    “There was a time when the world doubted us. Today, every payment made on time answers that doubt, assuring bondholders in London, pension funds in New York, and investors at home that our word is our bond,” Dr. Ato Forson told Parliament. “Payment after payment, coupon after coupon, Ghana has proven one thing: We now keep our word. That is how market confidence is rebuilt—not through speeches, but through repayment.”

     

    Following the transaction, the Ministry of Finance released an official statement confirming the disbursement and highlighting its macroeconomic significance for Ghana’s sovereign risk profile.

    “In line with government’s commitment to the continued success and credibility of Ghana’s domestic debt operations, the payment was settled in full and on schedule,” the Ministry stated. “This timely settlement underscores the government’s fiscal discipline, reduces sovereign default risk, and reinforces the country’s financial credibility. All future DDEP obligations will also be paid in full and on schedule.”

     

    Market analysts expect the GH¢10.8 billion liquidity injection into financial institutions, pension funds, and asset managers to improve local market liquidity while cementing Ghana’s broader economic recovery efforts following the completion of its domestic and external debt restructuring exercises.

     

  • Experts divided over GoldBod’s $1.7bn losses and forex impact

    Experts divided over GoldBod’s $1.7bn losses and forex impact

    By Adnan Adams Mohammed

     

    Ghana’s aggressive push to assert state control over the small-scale gold trade has ignited a fierce ideological divide among top economic thinkers.

    At the center of the dispute is whether a reported $1.7 billion loss under the Ghana Gold Board (GoldBod) represents an intolerable hit to public coffers or a necessary investment to defense-fund national currency stability.

    The state-led purchasing framework, introduced to channel small-scale mining output directly into official reserves, faces dual pressures: celebrated on one side as a market-shaping success that starved illicit smuggling routes, and criticized on the other as a flawed intervention that shifted massive financial burdens onto the central bank.

    A Price Worth Paying for Currency Stability?

    Defending GoldBod’s financial record, Dr. Emmanuel Steve Asare Manteaw, Co-Chair of the Ghana Extractive Industries Transparency Initiative (GHEITI), argued that fixating on short-term balance sheet deficits misses the broader macroeconomic victory.

    According to Dr. Manteaw, the $1.7 billion deficit should be understood as a operational setup cost necessary to break foreign cartels that previously controlled the local gold supply.

    “We make it look like this is the first time Ghana is making losses in its gold purchase program,” Dr. Manteaw observed during an appearance on JoyNews’ PM Express. “I’ve looked at the data. In 2022, we made a loss. In 2023, 2024, and 2025, we’ve made losses all those years. Why didn’t that become a problem?”

    “So if you had to incur a loss of $1.7 billion to bring in $10 billion, that for me shouldn’t be a problem… For me, they are transaction costs, and all the governments over the years have been incurring transaction costs.”

     

    Dr. Manteaw explained that upon its inception, GoldBod was forced to buy gold at competitive forex-bureau rates to outbid foreign syndicates predominantly Chinese, Indian, and Turkish buyers who had long monopolized local supply lines by providing cash advances and machinery to small-scale miners. He maintained that the resulting foreign exchange liquidity has stabilized the cedi, lowered inflation, and built a foundation for broader economic initiatives, such as the proposed 24-hour economy.

    Structural Flaws and Hidden Tax Costs

    Taking a starkly different stance, economist Professor Godfred Alufar Bokpin warned against over-attributing currency performance to GoldBod, arguing that the policy’s current architecture carries severe hidden costs for Ghanaian taxpayers.

    While acknowledging that GoldBod successfully squeezed gold smuggling, Prof. Bokpin insisted that broad economic stability remains the product of policy management by the Bank of Ghana and the Ministry of Finance, rather than commodity trading interventions.

    “This whole domestic gold purchase arrangement for which Gold Board essentially became the face of it from 2025 has also come at a significant loss to us,” Prof. Bokpin warned. “If you adopt a holistic approach and look at the whole intervention we put in place, the losses actually exceed the $1.7 billion we are talking about here.”

     

    Prof. Bokpin pointed to design flaws within the purchasing model and highlighted the state’s decision to scrap the 1.5% withholding tax on small-scale gold production to incentivize official declarations a move that deprived the treasury of vital revenue.

    “You have all these losses sitting on the books of the Bank of Ghana. In addition to that, we had to abolish the 1.5% withholding tax,” he noted. “If you look at total gold exports from artisanal small-scale miners which exceed $10 billion the fiscal losses that could have gone to fund roads, schools, and infrastructure were given up.”

     

    Unwinding the Deficit

    Despite their conflicting interpretations of the program’s value, both analysts agreed that running billion-dollar operational gaps is unsustainable over the long term.

    Prof. Bokpin noted that state authorities are already preparing an exit mechanism to restructure the program’s financial exposure.

    “Government itself, together with the Gold Board and the Bank of Ghana, recognize that these losses are not sustainable going forward,” Prof. Bokpin stated. “As part of the exit plan, the government intends to reduce these losses from about 17% or 14.5% down to about 5% going forward.”

     

    As Ghana navigates its post-recovery economic landscape, the battle over GoldBod highlights a critical trade-off: how much state revenue should be spent to secure foreign exchange reserves in a highly informal extractive economy.

     

  • COCOBOD reforms strengthen Ghana’s cocoa value chain and derisk agricultural investment

    COCOBOD reforms strengthen Ghana’s cocoa value chain and derisk agricultural investment

    By Adnan Adams Mohammed

     

    Parliament’s passage of the revised Ghana Cocoa Board (COCOBOD) Act has delivered a significant boost to investor confidence, establishing stronger regulatory enforcement and statutory asset protections designed to stabilize supply chains, protect capital, and safeguard market integrity.

    The modernized framework addresses critical supply-side risks by introducing severe criminal penalties for smuggling, unlicensed purchasing, and quality tampering, while granting inspectors broad powers of entry, search, and seizure.

    By curtailing leakage into informal and cross-border channels, the legislation reinforces transparency and predictability for domestic and international stakeholders across the cocoa value chain.

    “For institutional investors and off-takers, regulatory certainty and supply chain integrity are non-negotiable,” said Dr Randy Abbey, COCOBOD Chief Executive in an interview following the bill’s passage. “This law arms our enforcement officers with the statutory teeth required to enter suspicious premises, seize illegal consignments, and eliminate grey-market arbitrage that distorts fair valuation.”

    Beyond anti-smuggling directives, the law addresses long-standing agricultural vulnerabilities by officially designating all cocoa farms as “protected economic assets.” This title creates a strict legal framework governing land use and sets binding regulations for mandatory compensation when cocoa trees are destroyed, damaged, or affected by infrastructural developments, mining activities, or disease eradication programs.

    “Cocoa farmers have historically borne the brunt of land encroachment and arbitrary destruction of their crops without prompt or adequate restitution,” noted Nana Osei Bonsu, President of the National Cocoa Farmers Association. “By designating our farms as protected lands, Parliament has finally given us a legal shield. The clear compensation rules ensure that no farmer will be left destitute if their trees are impacted.”

    Industry analysts expect the legislation to stabilize the domestic supply chain, safeguard the international reputation of Ghana’s premium cocoa beans, and deter illicit cross-border syndicates.

    “This is not merely a regulatory update; it is an economic defense measure,” explained Dr. Evelyn Mensah, a senior agricultural economist at the University of Ghana. “By securing quality compliance and protecting the primary producer, the law reinforces the integrity of the entire value chain.”

     

    The Ministry of Finance and COCOBOD are expected to roll out nationwide sensitization campaigns in the coming weeks to educate farming communities, licensed buying companies, and local task forces on the new provisions before full operational enforcement begins.

     

  • Technology-Driven ports reforms yield $300m revenue surge – Finance Minister reveals

    Technology-Driven ports reforms yield $300m revenue surge – Finance Minister reveals

    By Adnan Adams Mohammed

     

    An artificial intelligence platform deployed across Ghana’s ports has generated more than $300 million in additional revenue over three months, reflecting the impact of technology-led compliance measures at the Ghana Revenue Authority (GRA).

    Presenting the 2026 Mid-Year Fiscal Policy Review in Parliament, Finance Minister Dr. Cassiel Ato Forson explained that the Publican AI platform introduced by the Customs Division in March 2026 has significantly curbed trade misinvoicing and manual valuation loopholes.

    The automated verification system has driven a 17.5% increase in assessed import values, delivering a 17% rise in monthly customs revenue without adding new levies or increasing import volumes.

    Closing Leakages Without Raising Taxes

    Delivering the mid-year budget statement, Dr. Forson highlighted that technology-driven compliance tools have proven far more effective at boosting state coffers than hiking tax rates on businesses and citizens.

    “Since the introduction of these AI-powered customs reforms, monthly Customs revenue has increased by approximately 17 percent, reflecting stronger compliance, more effective enforcement, and significantly reduced leakages,” Dr. Forson told Parliament.

     

    The Finance Minister emphasized that the revenue growth was achieved alongside broad fiscal relief measures, including the abolition of several levies.

    “The results have been remarkable,” Dr. Forson stated. “Despite abolishing multiple taxes and introducing no new tax handles, non-oil tax revenue increased by 0.5 percent of GDP from 12.6 percent of GDP in 2024 to 13.1 percent of GDP in 2025. Simply put, Government collected more revenue even after abolishing nuisance taxes.”

    “The lesson is simple: better policy, stronger compliance, and smarter administration will always deliver more sustainable revenue than higher taxes.”

     

    How Publican AI Transforms Port Operations

    Before the deployment of AI-based verification, customs collections faced significant shortfalls caused by under-declaration of cargo, fraudulent misclassification using Harmonised System (HS) codes, and manual inspection bottlenecks at entry points such as Tema Port.

    The Publican AI system addresses these vulnerabilities by cross-referencing global supply chain data, historical trade trends, and live market pricing to flag suspicious shipments automatically. High-risk containers are flagged for targeted inspection, while compliant consignments move rapidly through automated clearings.

    To consolidate these gains, the Ministry of Finance has also recentralized the Customs Technical Services Bureau (CTSB) into a single-window valuation node and restricted the transit of sensitive goods via land borders to direct port processing.

    Broader Macroeconomic Impact

    The $300 million revenue uplift forms part of a wider macroeconomic recovery outlined in the 2026 mid-year review. Real GDP growth reached 6.0% in the first half of the year, outperforming the initial target of 4.8%, while inflation dropped to 5.3%.

    Key drivers cited in the budget report included:

    ● Gross International Reserves: Reached five months of import cover, supported by $15 billion in foreign exchange inflows generated through the Ghana Gold Board (GoldBod) initiative.

    ● Debt Servicing Savings: Reduced interest payment overheads amounting to over GH¢15 billion due to exchange rate stabilization.

    ● Expenditure Control: Total first-half expenditure stood at GH¢143.7 billion (47.5% of the annual budget), keeping the overall fiscal deficit within target parameters.

    Parliamentary leaders praised the port technology results, with the Majority side hailing the integration of AI as a turning point for domestic revenue mobilization and institutional transparency in Ghana’s trade ecosystem.

     

  • Ghana to scrap 20% excise tax on local fruit juices to drive agro-processing and economic growth

    Ghana to scrap 20% excise tax on local fruit juices to drive agro-processing and economic growth

    By Adnan Adams Mohammed

     

    The Government of Ghana has unveiled plans to eliminate the 20 percent excise duty on locally manufactured fruit juices, delivering a significant policy victory to domestic processors and agricultural producers.

    Announced as part of broader economic measures to strengthen local manufacturing, the initiative aims to lower operational costs for beverage manufacturers, reduce post-harvest crop losses for fruit farmers, and stimulate job creation across the agribusiness sector.

    For years, local manufacturers and agricultural stakeholders have raised concerns over the 20 percent tax on locally packaged fruit juices, arguing that it placed domestic processors at a competitive disadvantage against cheap, imported alternatives.

    Unveiling the policy initiative, government representatives emphasized that removing the excise duty aligns with national strategies to accelerate industrialization, deepen import substitution, and support local value addition under economic recovery programmes.

    “By removing the 20 percent excise duty on locally produced fruit juices, government is taking a decisive step to support domestic industries, protect jobs, and encourage value addition within our agricultural sector,” stated a spokesperson from the Ministry of Finance during an economic policy briefing. “We want to create a conducive business environment where local agribusinesses can scale up operations, remain competitive, and contribute meaningfully to our national output.”

     

    Agribusinesses Welcome the Relief

    The decision has drawn praise from trade associations and local fruit processing companies, many of which have struggled with high production costs, utility tariffs, and macroeconomic pressures.

    Industry leaders noted that eliminating the tax burden will significantly lower production overheads, allowing processors to reinvest capital into capacity expansion, modernized processing equipment, and product innovation.

    “This is a landmark relief for domestic fruit juice processors who have endured squeezed margins and tough competition from foreign brands,” said a representative of the Association of Ghana Industries (AGI). “Removing this tax burden directly restores our competitiveness. It enables local manufacturers to price their products more affordably for consumers while reinvesting savings into modern technology and plant expansion.”

     

    Boosting Local Farmers and Reducing Post-Harvest Losses

    The tax relief is expected to send positive ripple effects down the agricultural value chain. Local fruit farmers particularly those producing pineapples, oranges, mangoes, and passion fruit frequently suffer severe post-harvest losses due to limited off-take capacity from local processing plants.

    With processing companies poised to expand production volumes following the tax removal, demand for raw agricultural produce is projected to surge.

    “When local processors grow, farmers thrive,” remarked an agricultural economist and agribusiness consultant. “This policy will create a reliable market for smallholder fruit farmers who previously lost substantial portions of their harvest to spoilage. Increased demand from processing factories means guaranteed incomes, improved livelihoods, and reduced post-harvest losses for farm households across the country.”

     

    Job Creation and Economic Outlook

    Beyond agricultural support, government officials anticipate that the move will spur employment across logistics, packaging, marketing, and factory operations.

    As local manufacturers prepare for the policy’s formal implementation, trade analysts advise that complementary measures such as improved access to affordable credit, energy cost stabilization, and strict quality control on imported beverages will be essential to maximizing the long-term impact of the policy.

    The proposed repeal of the 20 percent excise duty is expected to be submitted to Parliament as part of upcoming fiscal legislation, paving the way for full operational execution in the coming fiscal quarter.

     

  • Growing Beyond Stabilisation: Ghana’s new economic agenda as expected in mid-year budget

    Growing Beyond Stabilisation: Ghana’s new economic agenda as expected in mid-year budget

    By Adnan Adams Mohammed

     

    In what is being positioned as a decisive turning point for Ghana’s economy, the Minister for Finance, Dr. Cassiel Ato Forson, is scheduled to present the 2026 Mid-Year Budget Review to Parliament on Thursday, July 23, 2026.

    The presentation will mark a major shift in the economic management of the Mahama administration. Following months of strict fiscal consolidation, the government is ready to transition from defensive stabilisation measures to an aggressive, productivity-driven growth strategy designed to directly impact jobs and standard of living.

    Locking in the Gains of the Economic “Reset”

    The mid-year review is presented in accordance with Section 28 of the Public Financial Management Act, 2016 (Act 921), comes on the heels of better-than-expected macroeconomic performance in the first half of the year. Inflation has continued a steady downward trajectory, food inflation has plunged significantly, and the standard VAT rate reduction from 21.9% to a flat 20% has provided breathing room for local markets.

    Speaking ahead of the presentation, a senior economic analyst at the Ministry of Finance explained that the initial stabilization groundwork has been fully laid:

    “The era of stopping the economic bleeding is behind us. Having achieved a highly predictable macroeconomic environment in the first half of the year, Dr. Ato Forson’s presentation on July 23 will focus on unlocking the country’s productive capacity. This is about pivoting from basic stability to visible, tangible expansion.”

     

    What Is on the Horizon?

    The mid-year review is expected to offer crucial updates on several key policy initiatives, including:

    ● The IMF Transition: The planned transition from the IMF’s Extended Credit Facility (ECF) to the Policy Coordination Instrument (PCI).

    ● Debt Restructuring: Progress on external debt negotiations and updated debt sustainability metrics.

    ● Strategic Investments: Funding updates for major pillars like the “24-Hour Economy” and “Big Push” infrastructure projects.

    Lawmakers in Parliament are anticipating a highly detailed presentation. Reflecting on the significance of the July 23 sitting, a member of the parliamentary Finance Committee observed:

    “The business community is looking for policy predictability. We want to see how the fiscal discipline of the last six months translates into structural support for local industries and small enterprises. The Minister has been very disciplined with public spending, and now we want to see the blueprint for accelerated growth.”

     

    A Discipline-First Growth Framework

    Despite the shift toward expansion, Ministry officials maintain that the transition will not trigger reckless public spending. The government remains legally anchored to a strict target of a 1.5% primary surplus, a cap reinforced by the newly established independent Value for Money Office.

    Dr. Ato Forson has previously defended this dual approach of holding the line on discipline while pursuing development, stating:

    “Macroeconomic stability is not an end in itself; it is the foundation upon which we build jobs, attract investments, and drive industrialisation. But as we pivot to growth, our commitment to keeping the integrity of public finances sacred remains absolute.”

     

    With consultations with Cabinet concluding this week, all eyes will be on the floor of Parliament next Thursday as Dr. Ato Forson outlines the financial roadmap for the rest of the fiscal year.

     

  • BoG 2025 Annual Report: Historic turnaround yields 40.7% Cedi surge amid record single-digit inflation

    BoG 2025 Annual Report: Historic turnaround yields 40.7% Cedi surge amid record single-digit inflation

    By Adnan Adams Mohammed

     

    The Bank of Ghana’s newly published 2025 Annual Report and Financial Statements has unveiled a historic triumph of monetary craftsmanship, positioning the nation as a beacon of aggressive structural recovery.

    The report detailed a watershed year of aggressive macroeconomic stabilization, robust gross domestic product (GDP) growth, and a dramatic strengthening of external buffers.

    The spectacular economic turnaround achieved through an expertly engineered stabilization strategy, the central bank successfully crushed headline inflation from a staggering 23.8% in 2024 down to a phenomenal single-digit low of 5.4% by December 2025, comfortably outperforming the central bank’s medium-term target band of 8+-2%.

    Parallel to this achievement, the Ghanaian cedi mounted a brilliant, historic 40.7% appreciation against the US dollar, entirely erasing the previous year’s losses.

    Even as intense open market interventions to secure this stability resulted in a deliberate, counterpart operating loss of GH¢15.63 billion on its balance sheet, the Bank of Ghana has masterfully restored investor confidence and laid down an ironclad foundation for sustained national prosperity.

     

    The Year in Numbers: Key Macroeconomic Indicators

    The newly published figures paint a comprehensive picture of structural recovery across the domestic landscape:

    ● Real GDP Growth: Expanded by 6.0% (with non-oil GDP accelerating at an impressive 7.6%), driven heavily by the agriculture and services sectors.

    ● Headline Inflation: Closed the year at 5.4%, marking its lowest level since 2018.

    ● Monetary Policy Rate: Slid along an easing trajectory to end the year at 18%, down from an initial height of 28%.

    ● Current Account Surplus: Reached a historic high of US$9.39 billion, fueled by a massive doubling of gold export receipts.

    ● Gross International Reserves: Advanced to US$13.83 billion, providing a comfortable 5.7 months of import cover.

    ● Currency Performance: The Ghana cedi appreciated by a historic 40.7% against the US dollar, fully reversing the 19.2% depreciation logged in 2024.

     

    Stabilization Achieved “At Great Cost”

    Despite the stellar macroeconomic achievements, the sheer intensity of open market liquidity sterilization and reserve accumulation operations placed a significant burden on the central bank’s own balance sheet.

    The Bank of Ghana recorded an Operating Loss of GH¢15.63 billion for the 2025 financial year, alongside a cumulative negative equity position of GH¢93.82 billion.

    Central bank officials emphasize that these financial developments do not impair the bank’s operational capacity. A phased recapitalization memorandum of understanding (MoU) has already been executed with the Ministry of Finance to progressively restore the bank’s equity over the medium term.

    Official Statements from Leadership

    In his official foreword to the report, Dr. Johnson Pandit Asiama, Governor of the Bank of Ghana, strongly defended the strategic execution of the bank’s mandate:

    “The experience of 2025 demonstrates that restoring and preserving stability requires commitment, discipline, and at times difficult choices, but the benefits are far-reaching”.

    Addressing the operating losses stemming from intense open market interventions to absorb excess liquidity, Governor Asiama remarked:

    “While these operations and developments negatively affected the Bank’s financial position, they were the financial counterpart of the stabilisation gains achieved during the year. Lower inflation, reduced borrowing costs, exchange rate stability, and improved investor confidence are now visible across the economy”.

    Looking ahead to the upcoming fiscal cycles, the Governor reaffirmed that the primary objective will remain entirely uncompromised:

    “Price stability remains the foundation upon which sustainable economic growth, investment, employment creation, and financial stability depend. As we look ahead, our focus will be on consolidating and safeguarding the gains in stability”.

    Banking Sector and Future Reforms

    The report notes that the broader banking sector remains highly resilient, boasting a capital adequacy ratio (CAR) of 17.5%, well clear of the 13.0% regulatory minimum.

    To prepare the financial ecosystem for long-term development, the central bank also successfully advanced critical institutional structural reforms in 2025. These included the formalization of the 2025–2029 National Payment Systems Strategy to accelerate digital finance infrastructure, as well as the landmark passage of the Virtual Asset Service Providers Act, 2025 (Act 1154), introducing a robust legal blueprint for cryptocurrency and digital asset frameworks inside the country.

     

  • 4 Customs officials suspended in the thwarted 18-truck smuggling racket

    4 Customs officials suspended in the thwarted 18-truck smuggling racket

    The Ghana Revenue Authority (GRA) has interdicted four of its customs officers following an investigation into an audacious attempt to illegally divert an 18-truck convoy of transit cargo into the local market.

    The decisive action is part of a sweeping internal crackdown aimed at rooting out institutional complicity, tightening border enforcement, and protecting the state from massive tax evasion.

     

    The interdictions stem from a high-stakes interception in February 2026, when customs officials halted the fleet of commercial trucks. The shipment had been officially declared as transit cargo originating from neighboring Togo and bound for Niger via the Akanu border. However, investigative authorities suspected that the shipment was being actively diverted into the local market to evade substantial state import duties and taxes.

    Addressing journalists at a media briefing on Tuesday, July 7, the Commissioner-General of the GRA, Anthony Sarpong, revealed the initial findings of the probe and confirmed that internal sanctions had commenced.

    “We have interdicted four officers who worked on the consignment, and we are going through our internal disciplinary processes to ensure that all officers found culpable are dealt with in accordance with our internal policies and the law,” Mr. Sarpong stated.

    The Commissioner-General emphasized that the GRA would not shield any personnel whose actions compromised the state’s economic interests.

    In a swift directive from the Ministry of Finance, the intercepted goods from all 18 trucks have been officially confiscated and reallocated to support the National School Feeding Programme.

    Mr. Sarpong assured the public and the legitimate trading community that the GRA’s Customs Division has significantly stepped up its border surveillance and compliance measures. He noted that cargo monitoring mechanisms have been tightened across major entry and exit points to ensure strict adherence to international transit regulations and to completely plug revenue leakages.

    Investigations into the cartels and logistics networks behind the attempted diversion are reportedly ongoing.

     

  • Ghana beats deadlines to pay over US$2.1bn in Eurobond debt since Jan. 2025

    Ghana beats deadlines to pay over US$2.1bn in Eurobond debt since Jan. 2025

    By Adnan Adams Mohammed

     

    In a major development that signals a dramatic turnaround for the nation’s financial standing, the Government of Ghana has successfully settled a massive US$700 million Eurobond obligation well ahead of its scheduled deadline.

    The transaction marks one of the country’s largest single debt-service payments since it began restructuring its external bonds following the highly publicized 2022 default.

    According to an official statement issued by the Ministry of Finance, the strategic payment was fully executed and completed on Thursday, July 2, 2026.

    With this latest ahead-of-schedule settlement, Ghana has now injected a staggering total of US$2.1 billion back to Eurobond holders since January 2025 under the strict terms of its Eurobond Debt Exchange Programme.

    Breaking Down the Figures

    Financial analysts have closely watched the transaction, which represents a massive chunk of liquid capital. The latest US$700 million package is mathematically split into two key components:

    ● US$525.2 million allocated purely for direct principal repayments.

    ● US$174.8 million utilized to clear accrued interest payments.

    Significantly, the Ministry of Finance emphasized that the massive transaction did not disrupt local currency stability. The entire process was handled smoothly through the government’s carefully planned internal financing arrangements.

    Crucially, officials confirmed the payment was executed “without undue pressure on the country’s foreign exchange reserves,” a feat that signals vastly improved liquidity conditions and stabilizing macroeconomic indicators across the board.

    Restoring Defiant Investor Confidence

    The structured repayment program was originally engineered to completely replace the high-yield, unsustainable terms of Ghana’s legacy Eurobonds after the country launched a comprehensive external debt overhaul. By meeting and systematically beating these restructured deadlines, the government is sending an aggressive, clear message to international capitals and credit rating agencies.

    “The settlement reduces Ghana’s outstanding Eurobond debt and strengthens investor confidence in the country’s ability to manage its obligations,” the Ministry stated confidently.

     

    The Treasury further added that the proactive payment demonstrates a “steadfast commitment to disciplined public financial management and long-term macroeconomic stability.”

    The Path to Stabilization

    Ghana’s broader economy has shown remarkably steady signs of stabilization over the past several months. Inflation, which peaked at highly disruptive, volatile double-digit levels throughout 2024 and early 2025, has progressively eased under the strict anchor of an ongoing International Monetary Fund (IMF) supported program.

    While the Ministry of Finance did not publicly disclose the exact remaining balance left on the restructured Eurobonds, it took steps to reassure the local public that the country’s treasury is safe. Moving forward, the government will continue to enforce strict fiscal buffers to sustainably finance the nation’s ongoing development agenda without sinking back into unsustainable borrowing cycles.

    Closing out the official briefing, the ministry expressed profound gratitude to the local population for enduring the worst of the economic squeeze. The statement warmly thanked the good people of Ghana “for their continued patience, support, and confidence” throughout what has undoubtedly been a challenging but ultimately rewarding restructuring process.

     

  • Moving Beyond the “Resource Curse”: Gov’t integrates Upper East’s 10-year PEARL framework into national agenda

    Moving Beyond the “Resource Curse”: Gov’t integrates Upper East’s 10-year PEARL framework into national agenda

    By Adnan Adams Mohammed

     

    Speaker of Parliament Alban Bagbin warns against finite mining reliance, urging focus on lasting regional infrastructure and enterprise.

    The Government of Ghana has taken steps to formally integrate the Upper East Region’s newly launched 10-Year PEARL Framework into the country’s central development planning system, signaling a structural shift toward sustainable, diversified regional growth.

    The policy alignment, announced following the official unveiling of the framework, aims to ensure that the development initiatives designed for the Upper East Region are backed by national statutory frameworks and fiscal support.

    The 10-Year PEARL (Prosperous, Equitable, Accelerated, Resilient, and Localised) Framework outlines a blueprint to pivot the region away from a singular focus on mineral extraction toward long-term investments in human capital, mechanized agriculture, and industrial enterprise.

    Mining Is a Temporary Cure, Not a Permanent Strategy

    Speaking at the high-profile launch on Monday, the Speaker of Parliament, Rt. Hon. Alban Bagbin, delivered a strongly worded caution to policymakers and regional leaders against relying on mining as the bedrock of long-term economic stability.

    “The question before us is therefore not whether the Upper East Region possesses valuable mineral resources,” Bagbin stated in a speech read on his behalf. “The more important question is whether those resources will become the foundation for lasting prosperity, or whether the mineral resources will be a curse or a cure to our economic malaise.”

    Bagbin highlighted the historical vulnerabilities faced by resource-rich territories globally, noting that many have been left ecologically degraded and economically hollowed out once extractable deposits run dry.

    “Mining is a temporary opportunity, not a permanent development strategy,” the Speaker emphasized. “The true wealth of this region will not ultimately be measured by the minerals extracted from beneath the bowels of the soil, but by the enduring assets created above it, such as productive agriculture, thriving industries, resilient infrastructure, skilled citizens, vibrant enterprises, and strong institutions.”

    National Integration for Localized Progress

    The decision by the central government to absorb the PEARL objectives into the national framework aims to address a common developmental bottleneck in Ghana: localized strategic plans losing momentum due to a lack of institutional alignment and national budgetary commitment.

    By integrating the PEARL initiatives, state agencies, including the National Development Planning Commission (NDPC) and the Ministry of Finance, can systematically allocate resources to scale up the region’s localized priorities.

    Development experts attending the launch praised the framework’s focus on converting volatile, short-term mineral revenues into fixed economic foundations. Regional planners intend to utilize mineral royalties to aggressively fund modernized irrigation systems, climate-resilient transport corridors, and vocational training centers tailored to the evolving job market.

    A Call for Wisdom and Stewardship

    As the Upper East Region stands at a developmental crossroads, heavily courted by large-scale and artisanal mining interests alike, leaders are urging a mindset shift that prioritizes the welfare of future generations.

    Reflecting on the historical significance of the newly adopted policy direction, Speaker Bagbin challenged stakeholders to exercise rigorous economic stewardship.

    “The challenge is whether [the region] possesses the wisdom to convert temporary wealth into permanent prosperity,” Bagbin noted. He added that future generations should remember this specific era not for the volume of minerals extracted from the earth, but for how effectively that extraction financed a modern, independent, and diversified regional economy.