All things being equal, President John Mahama’s ‘Big Push’ initiative will soon receive a boost as the government prepares to re-enter the international bond market amidst returning investor confidence.
This comes as Fitch Ratings has upgraded Ghana’s Long-Term Foreign-Currency Issuer Default Rating (IDR) from ‘Restricted Default’ to ‘B-’ with a Stable Outlook, signaling a major vote of confidence in the country’s ongoing economic recovery under the stewardship of Finance Minister Dr. Cassiel Ato Forson.
The upgrade reflects significant progress in Ghana’s fiscal and debt management, following the successful restructuring of US$13.1 billion in Eurobond debt and the near-completion of outstanding external debt negotiations.
Fitch notes that Ghana has normalised relations with most commercial creditors and expects full restructuring to be finalised by the end of 2025. This will enable Ghana return to the international bond market to access funds for its developmental agenda.
The NDC in its election 2024 manifesto indicated it will roll out the ‘Big Push’ for national infrastructure development to continue its legacy of massive infrastructure development to boost economic growth and create sustainable jobs.
The “Big Push” is a policy aimed at driving national infrastructure development in Ghana, focusing on completing abandoned projects, revamping the Ghana Infrastructure Investment Fund, and expanding water supply systems.
This initiative includes a US$10 billion accelerated infrastructure development plan and includes specific projects like the Sogakope Trans-Boundary Water System and the Pwalugu multi-purpose dam.
According to the latest Fitch report, one of the standout achievements is the sharp decline in inflation, which has dropped from 23% in 2024 to 18.4% in May 2025 the lowest rate in over three years. Inflation is expected to continue falling, averaging 15% in 2025 and 10% in 2026, supported by tight monetary policy, fiscal discipline, and improved exchange rate stability.
The Ghana cedi has appreciated significantly in recent months, reversing previous trends and helping to ease price pressures on imported goods and fuel. Fitch credits the cedi’s strong performance to renewed confidence in Ghana’s macroeconomic fundamentals and proactive interventions by the Ministry of Finance and the Bank of Ghana.
Finance Minister Dr. Cassiel Ato Forson has led a bold economic reset since assuming office, with a clear strategy focused on fiscal consolidation, debt sustainability, and restoring market confidence. Under his leadership, Ghana’s public debt-to-GDP ratio is projected to decline to 60% in 2025, down from 93% in 2022; Gross international reserves are now at US$6.8 billion, with more growth expected in 2025 and 2026; The fiscal deficit is narrowing, with a projected primary surplus of 0.5% of GDP in 2025.
Interest payments now consume only 25% of revenue, down from 48% in 2021; Real GDP growth remains solid, at 4.9% in 2024 and is conservatively projected at 4% in 2025.
In response to the credit upgrade, senior officials at the Ministry of Finance attributed it to Dr. Forson’s firm policy direction and stakeholder engagement for restoring Ghana’s credibility in global markets.
“This milestone reflects the Finance Minister’s bold leadership in navigating Ghana out of default and laying the foundation for sustainable growth,” one official stated. “Lower inflation, a stronger cedi, and renewed investor interest are all signs that the economy is stabilising.”
The Fitch upgrade is more than a technical rating change it’s a significant endorsement that will boost Ghana’s appeal to foreign investors, support the reopening of domestic capital markets, increase the country’s access to cheaper credit and ease pressure on public finances.
Dr. Forson, speaking earlier this month, reaffirmed the government’s commitment to staying the course:
“We are building an economy that works for everyone. This upgrade is a signal that Ghana is back on track, and we will not relent in protecting the gains we’ve made.”
Ghana’s path from default in 2022 to a ‘B-’ stable outlook in mid-2025 represents one of the strongest sovereign credit turnarounds in sub-Saharan Africa in recent years.
But as Dr. Forson and the Ministry of Finance continue to emphasise, this is not the finish line. With inflation declining, the exchange rate stabilising, and debt falling, the Fitch upgrade is not only a win for the government but a hopeful sign for all Ghanaians looking forward to a more stable and prosperous future.
By Adnan Adams Mohammed
