Ghana overcomes 'original sin' after returning to domestic bond market
via GhanaWeb2 min read
Finance Minister Dr. Cassiel Ato Forson announced that Ghana has overcome the "original sin" of being unable to borrow long-term in its own currency, following the country's successful return to the domestic bond market. Presenting the 2026 Mid-Year Budget Review in Parliament on Thursday, July 23, 2026, Dr. Ato Forson stated that Ghana has moved from debt default to renewed credibility within three and a half years. He highlighted the successful issuance of a $2.7 billion seven-year cedi-denominated bond in April 2026, the first since the 2022 debt default. This achievement, he noted, signifies a significant turnaround in Ghana's economic situation, demonstrating regained investor confidence and the ability to mobilize long-term financing in local currency. The external debt restructuring process is also nearing its final stage.
Free daily or weekly digest of the most important stories from across 18 African countries. No spam, unsubscribe any time.
This summary was AI-generated from a story originally published by GhanaWeb.
Must ReadGhana's Finance Minister, Dr. Cassiel Ato Forson, announced that approximately 950,000 Ghanaians were lifted out of multidimensional poverty within a year. Presenting the 2026 Mid-Year Fiscal Policy Review in Parliament, Dr. Forson stated that multidimensional poverty decreased from 24.9 percent in the third quarter of 2024 to 21.9 percent in the same period of 2025. This indicates improved living conditions and increased hope for many families. Additionally, the Finance Minister reported a decline in unemployment, from 13.7 percent in the first three quarters of 2024 to 12.8 percent during the corresponding period in 2025.
Finance Minister Dr. Cassiel Ato Forson announced that the government is reallocating GH垄400 million to acquire high-occupancy buses. This initiative aims to improve public transportation and ease commuting challenges across Ghana. The investment, detailed during the 2026 Mid-Year Budget Review in Parliament, is part of the government's commitment to enhancing urban mobility by providing safe, reliable, and affordable public transport services. The funds will be used to strengthen the fleets of state-owned transport operators, including Metro Mass Transit and the State Transport Company STC. This intervention is expected to increase public transport capacity, especially on busy urban and intercity routes, reduce long queues during peak periods, and offer a more reliable and efficient alternative to private vehicle use for commuters.
Ghana's Finance Minister, Dr. Cassiel Ato Forson, announced that the country has gained credibility in international financial markets due to its timely debt repayments. During the 2026 Mid-Year Budget Review in Parliament on Thursday, July 23, Dr. Forson stated that the government's commitment to making scheduled payments to bondholders has boosted its global standing. He emphasized that consistent, on-time payments are rebuilding investor confidence in Ghana's economy after a period of financial distress. Since January 2025, the government has paid US$2.1 billion in principal and interest to Eurobond holders without straining foreign exchange reserves. This renewed confidence has led to improved market conditions, with Ghana's borrowing costs decreasing and Eurobond yields declining by approximately 300 basis points this year. Dr. Forson attributed these improvements to the financial markets' recognition of the government's fiscal discipline and prudent debt management, indicating that Ghana is regaining the trust of both international and domestic investors through consistent actions. The budget review provides an update on the economy, government revenue and expenditure, debt servicing, and the fiscal outlook for the remainder of 2026.