Government Rules Out Quick Return to International Capital Market, Prioritises Fiscal Discipline
President John Dramani Mahama has dismissed prospects of Ghana making an early return to the international capital market, despite signs of economic stability under his administration.
Speaking at his Presidential Media Encounter on Wednesday, Mr Mahama said government remains focused on fiscal discipline and expenditure prioritisation rather than rushing back to external borrowing.
“We have survived without going to the capital market. We have survived without borrowing. Who would have thought some years ago that Ghana’s economy could be run without external debt financing, and yet we have survived,” the President stated.
He attributed the gains to recent reforms that have enabled government to restructure public spending by directing resources into priority sectors while cutting down what he described as needless expenditure.
“These measures have delivered tangible results, particularly in stabilising the economy and sustaining growth,” he said, adding that the administration would consolidate the recovery before considering re-entry to the capital markets.
“We have survived without borrowing. We shouldn’t be in a hurry to go back to the capital market. It is all about fiscal discipline. For me as President, I will not favour a quick return to the capital market. We must consolidate our economy first before seeking external financing,” Mr Mahama stressed.
Ghana has been locked out of international markets since its 2022 sovereign debt default, relying instead on domestic revenue mobilisation, multilateral support and fiscal adjustments to finance government operations.