The Minority Caucus in Ghana’s Parliament has welcomed the recent upgrade of the country’s economic ratings by international agency Fitch but has simultaneously raised red flags over the credibility of the 2025 national budget.
In a press release issued Tuesday, the Minority acknowledged Fitch’s improved outlook on Ghana’s economy, attributing the upgrade to the successful completion of the $13 billion Eurobond debt restructuring in 2024, which provided approximately $12 billion in debt relief.
The Caucus also credited the former NPP government for initiating the restructuring process that significantly reduced Ghana’s debt burden.
The statement, signed by Ranking Members Dr. Mohammed Amin Adam (Finance Committee) and Kojo Oppong Nkrumah (Committee on Economy and Development), highlighted ongoing efforts by the new NDC administration to restructure the remaining $2.6 billion in commercial debt.
Fitch’s positive rating was also based on a strong current account surplus of 4.3% of GDP in 2024 and declining inflation—from 44% in 2022 to 18% in May 2025. However, the agency cautioned that the government’s inflation target of 11% for 2025 might not be achieved, projecting instead a year-end rate of 15%.
Despite the good news, the Minority raised concerns about Ghana’s economic trajectory.
They cited Fitch’s skepticism regarding the government’s ability to meet key fiscal targets. Fitch forecasts a lower primary surplus (0.5%) than the government’s 1.5% target, potentially jeopardizing compliance with IMF benchmarks.
In addition, Fitch questioned the credibility of the government’s revenue enhancement strategies, noting a likely increase in the debt service-to-revenue ratio from 25% in 2024 to 26% in 2025 and 2026.
The Minority believes that Ghana’s rating could have seen further improvement had these fiscal vulnerabilities been adequately addressed.
They are now calling on the Finance Minister to revise the 2025 budget targets during the mid-year budget review in July to better reflect the true state of the economy.
“We urge the government to take steps to ensure that further incidents that undermine the credibility of the 2025 budget are avoided,” the release stated.
