Ghana’s total public debt stock went up marginally by ¢130 million to ¢393.4 billion in June 2022, about 78.3% of Gross Domestic Product, the Summary of Economic and Financial Data by the Bank of Ghana has revealed.
This is against a revised ¢392.1 billion (78% of GDP) recorded in March 2022. The earlier figure put out by the Central Bank in May 2022 was ¢391.9 billion.
In dollar term, the country’s debt dropped marginally to $54.4 billion in June 2022, from $55.1 billion in March 2022.
A careful look at the data suggests that the country did not borrow fresh funds during the 2rd quarter of 2022.
According to the figures, the total public debt stock of the country dropped to ¢388.1 billion in April 2022, from ¢392.1 billion in March 2022. It later went up marginally to ¢389.2 billion in May 2022 and subsequently to ¢393.4 billion in June 2022.
The domestic debt remained unchanged at ¢190.1 billion in June 2022. In March 2022, the domestic debt stood at ¢190.1 billion.
This is equivalent to 37.8% of GDP.
However, the external component of the total public debt went up marginally to ¢203.4 billion in June 2022, from ¢201.9 million in March 2022. This was as a result of exchange rate fluctuation.
In dollar term, it fell by $300 million in March 2022 to $28.1 billion in June 2022. This was the period the cedi stabilised after assuming a free fall for the first three months of 2022.
The debt-to-GDP ratio of the external debt is however approximately 40.5% of GDP.
On the other hand, the financial sector resolution bond went down to GH¢14.5 billion in June 2022, from ¢14.6 billion recorded in March 2022. This is equivalent to 2.9% of GDP.
IMF predicts higher debt to GDP ratio of 84.6%
The International Monetary Fund (IMF) had in its April 2022 Fiscal Monitor predicted Ghana’s debt to Gross Domestic Product (GDP) ratio of 84.6% in 2022.
According to the Fund, the country’s total debt was estimated at 81.8% of GDP in 2021, higher than the 76.6.1%, approximately ¢351.8 billion quoted by the Bank of Ghana.
The Fund also said the country’s debt-to-GDP ratio will increase from 2022 to 88.4% in 2026, before falling to 87.4% in 2027.
But prior to that it will record relatively same debt-to-GDP ratio of 84% in 2022 and 2023, and later surge to 85% and 86% in 2024 and 2025 respectively.
Other organisations have also projected similar trend for the country’s debt-to-GDP ratio.
Latest Stories
-
Nigerians excited over Harry and Meghan’s planned visit
11 seconds -
‘We are sorry but we need to stay calm’ – Andre Ayew on Black Stars recent form
18 mins -
Election 2024: Bawumia dares Mahama to two-man debate
24 mins -
Bawumia is a man of integrity and discipline unlike Mahama – Miracles Aboagye
28 mins -
Ejisu by-election: NDC is sponsoring Aduomi; don’t vote for him – Bawumia to NPP supporters
32 mins -
Freedom of speech must engender development
35 mins -
Ghana Hajj Board announces flight schedules for 2024 pilgrimage
42 mins -
T-bills: Interest rates increased for first time since January 1; government fails to meet target
2 hours -
Ghana retains 10th position with lowest fuel price in Africa
2 hours -
Mahama cuts sod for new Jakpa palace in Damongo
3 hours -
Will Ghana’s democracy stand the test of time in the 2024 elections?
5 hours -
Hindsight: Dreams fairytale run proved one thing; it is possible
7 hours -
God makes rulers, not you; you can’t choose your successor – Mahama to Akufo-Addo
7 hours -
Contributors own SSNIT, they must decide who becomes its Director-General – Austin Gamey
8 hours -
Move away from theory-based learning towards practical learning approaches – AUCC President to students
8 hours