Pulse.com.gh logo
Go


Alarming Ghana passes threshold of debt to GDP ratio

According to figures from the Bank of Ghana, the country’s total debt stock now stands at GHc94.5 billion, representing 70.9% of Gross Domestic Product (GDP).

  • Published: , Refreshed:
play Africa external debt to GDP

Ghana’s total debt stock has increased by GHc5 billion more, between May and June 2015.

According to figures from the Bank of Ghana, the country’s total debt stock now stands at GHc94.5 billion, representing 70.9% of Gross Domestic Product (GDP).

This was contained in the BoG’s summary of economic and financial data for September 2015.

The International Monetary Fund (IMF) report after reviewing Ghana’s performance under the Extended Credit Facility program said, Ghana’s total public debt now exceeds pre-HIPC levels.

play IMF logo

 

The IMF is projecting that Ghana will end the year 2015 with a 75% debt-to-GDP ratio.

Ghana’s total public debt in the first half of the year has increased consistently by about GHc15.1 billion, growing from GHc79.4 billion in January, to GHc94.5 billion in June.

Meanwhile government has sought to assure that the rate at which it is borrowing, will not harm the country, and that, it is engaging in what it described as “smart borrowing.”

In May, the country’s total debt stock stood at 89.5 billion cedis which was 67.1% of Gross Domestic Product (GDP).

According to the Bank of Ghana, the country’s external debt stock has also increased by GHc4.8 billion, between May and June and currently stands at GHc58.6 billion representing 44% of GDP.

Total domestic debt stock also increased by 200 million cedis between May and June.

According to the central bank, the total domestic debt stock as at June, stood at GHc35.9 billion, representing 26.6% of GDP.

Government has given the assurance that the impact of the new loans it is contracting, will be minor since they are all concessionary loans.

Cassiel Ato Forson on Ghanaian economy play

Cassiel Ato Forson on Ghanaian economy

 

A Deputy Minister for Finance, Cassiel Ato Forson, said “looking at the rate of adjustment that the country is going through, our debt is under control, we are actually going through a series of adjustments from where we were.”

Do you ever witness news or have a story that should be featured on Pulse Ghana?
Submit your stories, pictures and videos to us now via WhatsApp: +233507713497, Social Media @pulseghana: #PulseEyewitness & DM or Email: eyewitness@pulse.com.gh.

Recommended Articles

Recommended Videos




Top Articles

1 Donor Support World Bank injects $60m into Ghana’s energy, tourism sectorsbullet
2 Menzgold Ghana Don't deposit money with Menzgold – BoG cautions public...bullet
3 Investment banks in Ghana Top 5 investment banks in Ghana and why...bullet
4 Number 12 Panic withdrawals hit savings & loans company following...bullet
5 How to make money online Online jobs; how to make money on...bullet
6 Ponzi schemes in Ghana These investments are Ponzi schemes in...bullet
7 Tax Policy Government not planning to increase VAT, MP...bullet
8 Salaries In 2018 Here are the dates public workers will be...bullet
9 Education Top 5 private high schools in Ghana according...bullet
10 Cost of Fuel IES predicts increase in fuel prices this...bullet

Top Videos

1 Money Alert Meet Africa's richest womanbullet
2 Forbes 2018 Africa's billionaires rich listbullet
3 Dr Joseph Siaw Agyepong Nobody can collapse my company – JOSPONGbullet
4 Plane Crash Starbow suspends operations following plane crashbullet
5 New Discovery Ghana discovers new mineral, lithium in commercial...bullet
6 Support Finance minister buys Kantanka carbullet
7 Tech 6 reasons you should buy an iPhone SE instead of any of...bullet
8 Bozoma Saint John 10 quotes from Uber top official,...bullet

Business