Over the next four years, Ghana is expected to pay approximately GH¢150.3 billion in domestic debt service, representing 11.6% of Gross Domestic Product (GDP).
Of this amount, 73.3%—GH¢57.6 billion and GH¢52.5 billion—is due in 2027 and 2028, respectively.
Finance Minister Dr. Cassiel Ato Forson attributed the sharp increase in domestic debt service payments to the Domestic Debt Exchange Programme.
Presenting the 2025 Budget in Parliament, Dr. Forson described the debt service obligations for 2027 and 2028 as major hurdles for the economy.
“These humps are cancerous and pose significant risks to the economy, but we shall fix it!” he assured.
He also highlighted the immediate debt service challenges, noting that Ghana faces significant payment obligations this year, including GH¢9.9 billion in February, GH¢6.2 billion in July, and GH¢10.1 billion in August.
“Our fiscal challenges are further compounded by the significant short-term treasury bill maturities that we have inherited. These obligations, totaling about GH¢111.1 billion, require rollover every week, placing additional pressure on cash flow and liquidity,” he explained.
Beyond domestic debt, the minister revealed that Ghana must also meet external debt service obligations amounting to US$8.7 billion over the next four years, representing 10.9% of GDP. He noted that 55% of this—US$2.5 billion in 2027 and US$2.4 billion in 2028—falls within the same period as the domestic debt peak.
“It seems the debt restructuring undertaken by the previous administration was designed to be 2027/2028-heavy. In spite of these upcoming domestic and external debt service obligations, no buffers were built to cushion these unprecedented burdens,” Dr. Forson stated.