Credit rating agencies may maintain Ghana’s B- rating for the next quarter of 2026 and observe further developments before upgrading it.

According to a US-based Associate Professor of Finance at Andrews University, Professor Williams Peprah, they will be monitoring the country’s fiscal outlook, especially revenue moibilisation and repayment of debt.

“Rating agencies focus on whether Ghana can service its debt. They assess this by looking at the balance of payments and reserves, which are currently around US$13 billion. This has strengthened confidence, and the outlook appears more positive. Currently, most rating agencies place Ghana around a BB minus rating. They may maintain this rating in the next quarter and observe further developments. But overall, it is a positive signal, as the risks previously associated with Ghana are now reducing due to stronger forex buffers”.

As risk reduces, Professor Peprah said borrowing costs also come down. “We expect the cost of funds to decline further”.

He noted that inflation has been dropping and it is expected to push interest rates down, explaining that these are positive indicators that could eventually lead to an improved sovereign credit rating.

“One notable development was when the Finance Minister [Dr. Cassiel Ato Forson] paid part of the Eurobond debt early, even before maturity. This strengthens investor confidence and signals that Ghana is unlikely to default.

He, however, warned of risks to watch which he wants the government to be mindful.  

“Ghana is currently benefiting from high cocoa and gold prices. If these prices reverse, it could negatively affect the economy.”

He wants the policymakers to start planning for possible global market shocks.

Additionally, he also warned of a stronger cedi, saying it could lead to increased imports. “If imports rise too much, it could weaken the current account and push it into deficit”.