President John Mahama’s administration has reduced Ghana’s public debt by GH¢113.7 billion within six months, according to mid-year budget figures presented to Parliament.
Finance Minister Dr. Cassiel Ato Forson stated the debt stock declined from GH¢726.7 billion in December 2024 to GH¢613 billion by June 2025, slashing the debt-to-GDP ratio from 61.8% to 43.8%. The government reaffirmed it will not seek additional funds beyond previously approved allocations.
Renowned business strategist Winfred Kingsley Afful praised Mahama’s austerity measures, noting: “We now have a president we can trust when it comes to spending. No waste of public funds as before.”
Afful highlighted the budget’s sectoral allocations as evidence of prudent fiscal management amid economic recovery efforts. The paradigm shift follows Mahama’s 2024 campaign pledge to curb expenditure after Ghana’s debt crisis peaked at over 80% of GDP under previous leadership.
The fiscal consolidation aligns with the National Democratic Congress administration’s commitment to redirect resources toward agriculture, digital infrastructure, and social programs.
Forson emphasized structural reforms to sustain momentum, including stricter procurement oversight and zero-based budgeting. Economic analysts observe the debt reduction provides breathing room amid global volatility, though challenges persist in revenue mobilization and currency stability.
