Domestic Debt Stock Rises to GHS 333.8 Billion at end-December 2025
Ghana’s domestic debt rose moderately to GH¢333.8 billion at end-December 2025 from GH¢309.8 billion a year earlier, even as the domestic debt-to-GDP ratio declined, the Bank of Ghana has reported.
The uptick in domestic debt reflects government’s strategy to increase borrowing in order to build financial buffers to meet its obligations.
According to the central bank’s March 2026 Monetary Policy Report, the expansion in domestic debt was driven largely by increased issuance of short-term instruments.
On the external front, debt levels increased in foreign currency terms, largely on the back of fresh loan disbursements.
However, when converted into local currency, external debt declined significantly to GH¢307.2 billion in December 2025 from GH¢416.8 billion in December 2024.
The reduction was primarily attributed to the strong performance of the cedi alongside principal repayments on both Eurobonds and multilateral loans, resulting in a contraction of GH¢125.2 billion in the external debt stock in cedi terms—equivalent to 9% of estimated GDP.
Meanwhile, provisional data shows that Ghana’s total public debt stock, including central government and guaranteed debt, fell to GH¢640.99 billion (45.3% of GDP) at end-December 2025, down from GH¢726.7 billion (61.8% of GDP) recorded a year earlier.
Of the total debt stock, external debt accounted for GH¢307.2 billion (21.7% of GDP), while domestic debt stood at GH¢333.8 billion (23.6% of GDP).
The Bank of Ghana noted that the sharp decline in the overall debt burden is reflected in both external and domestic debt-to-GDP ratios.
It attributed the improvement to a combination of local currency appreciation, increased amortisation, prudent borrowing practices, reduced borrowing costs, and strengthened fiscal discipline, which supported a higher primary surplus.
