By the end of 2025, Ghana’s fiscal outlook had undergone notable changes, with total public debt recorded at GH¢641 billion in December.
This figure reflects a slight drop compared to GH¢644.6 billion in November 2025.
On a year-on-year basis, the decline is even more significant, decreasing from GH¢726.7 billion in December 2024, highlighting the effects of ongoing debt restructuring efforts and currency movements.
Data released in the Summary of Economic and Financial Statistics by the Bank of Ghana for March 2026 shows this as a major development, with the debt stock falling by GH¢82.1 billion—from GH¢726.7 billion (61.8% of GDP) in December 2024 to GH¢641.0 billion (45.3% of GDP) by December 2025.
Divergence in dollar terms
Although the figures show a reduction in cedi terms, the trend differs when measured in U.S. dollars. Ghana’s total public debt increased to $61.3 billion in December 2025, rising from $57.2 billion in November and $49.4 billion in December 2024.
This contrast is largely due to exchange rate fluctuations, with the cedi closing the year at roughly GH¢10.45 to the dollar. The debt-to-GDP ratio, however, improved significantly to 45.3%, down from 61.8% the previous year, indicating progress in fiscal consolidation.
External and domestic debt trends
The structure of the country’s debt continued to reveal differing trends between external and domestic obligations.
External debt was recorded at GH¢307.2 billion ($29.4 billion) in December 2025. This represents a decline in cedi terms from GH¢330.2 billion in November and a sharp drop from GH¢416.8 billion in December 2024. However, in dollar terms, it saw a slight increase from $29.3 billion the month before.
Domestic debt, on the other hand, climbed to GH¢333.8 billion, up from GH¢314.5 billion in November 2025 and GH¢309.8 billion in December 2024, indicating a growing dependence on local borrowing.
Revenue strengthens at year-end
Government revenue performance improved considerably toward the close of the year. Total revenue and grants reached 16.1% of GDP in December 2025, compared to 13.4% in November and slightly above the 15.9% recorded in December 2024.
Domestic revenue remained the primary contributor at 15.9% of GDP, with tax revenue accounting for 13.1%, underscoring the importance of tax collection in driving fiscal recovery.
Spending and fiscal balance
In terms of expenditure, total spending matched revenue at 16.1% of GDP in December 2025, declining from 16.6% in December 2024. Capital spending stayed relatively low at 1.4% of GDP.
The overall fiscal deficit (on a cash basis) narrowed to 3.1% of GDP, improving from 5.2% in December 2024. Additionally, the government recorded a primary surplus of 0.5% of GDP, reflecting stronger fiscal discipline.
For the government, this marks one of the most substantial reductions in public debt in the country’s history.
For businesses, the increase in domestic borrowing points to sustained pressure on local liquidity, while the rise in dollar-denominated debt signals continued exposure to exchange rate risks.
At the same time, improvements in key indicators such as the debt-to-GDP ratio and fiscal balance suggest that Ghana’s fiscal consolidation efforts are beginning to take effect.