Deloitte Ghana has urged the government to exercise caution in its planned return to the international capital markets, warning against repeating mistakes that led to the recent debt crisis.
In its review of the 2025 Mid-Year Budget, the professional services firm acknowledged Ghana’s improved macroeconomic environment and recent upgrades from international credit rating agencies but stressed the need for prudent borrowing.
“Reliance on foreign debts must be moderated, with inflows strictly channelled into strategic capital investments that can adequately support repayment,” Deloitte advised.
Debt Position Improves Sharply
As of June 2025, Ghana’s total public debt had fallen by GH¢113.7 billion a 15.6% drop from GH¢726.7 billion in December 2024 to GH¢613 billion. The decline was largely due to the cedi’s appreciation and the completion of debt restructuring.
The gross public debt-to-GDP ratio plunged to 43.8% in June 2025, down from 70.6% a year earlier, and well below the 78.5% recorded in December 2021. Deloitte said this marks “major progress” toward the IMF-agreed medium-term target of 55% by 2028.
Positive Ratings Outlook
The firm expects further upgrades from ratings agencies such as S&P and Moody’s, which could boost investor confidence. It also welcomed government plans to establish cash buffers in a sinking fund to service future debt, but urged faster implementation and regular public updates on the fund’s status.
