Audio By Carbonatix
The Government of Ghana says it has paid a total of US$1.47 billion within its first year in office to settle longstanding energy sector debts and restore the World Bank's Partial Risk Guarantee, marking what it describes as a decisive turnaround for the sector.
According to a statement issued by the Ministry of Finance on Monday, January 12, 2026, the Mahama administration inherited an energy sector on the brink of collapse due to years of non-payment for gas supplied from the Offshore Cape Three Points (OCTP) field, which had led to the full depletion of the US$500 million World Bank Partial Risk Guarantee.
The Ministry noted that the guarantee, established in 2015 under a previous NDC administration, was critical in unlocking nearly US$8 billion in private sector investment through the Sankofa Gas Project.
Its exhaustion, the statement said, “represented a serious governance failure that undermined Ghana’s international credibility.”
“As at 31 December 2025, government has fully repaid US$597.15 million, inclusive of interest, drawn on the World Bank Guarantee,” the Ministry stated, adding that the repayment has fully restored the facility and reaffirmed Ghana’s standing as “a credible and reliable partner on the global stage.”
Beyond restoring the guarantee, government also settled outstanding gas invoices owed to ENI and Vitol amounting to about US$480 million, while securing budgetary provisions to ensure timely payments going forward, the Ministry said.
Latest Stories
-
‘Fresh evidence means more loot’ – Martin Kpebu reacts to re-arrest of former NAFCO boss and wife
2 hours -
Zain Sulleyman declares bid for Volta NPP Communication Officer role, promises ‘paradigm shift’ in strategy
2 hours -
BoG critics seeking Ghana’s doom – Sefwi MP
2 hours -
Boko Haram kills 23 soldiers in deadly Lake Chad military base raid
2 hours -
Jeffrey Nortey lands brand ambassadorial deal with Robert and Sons Ltd.
3 hours -
Carbon dioxide levels in some hospital wards are above acceptable limits – Prof. Amankwaa
3 hours -
NPP Frankfurt Chapter launches move to improve party’s 2028 communication strategy
3 hours -
ADR Centre, Judicial Service deepen partnership to strengthen dispute resolution in Ghana
3 hours -
Judicial Service to recruit more professional mediators to expand court-connected ADR programme
3 hours -
GNAT demands probe into alleged assault on teachers by soldiers
3 hours -
Video: The abandoned but completed and fully-equipped Children’s Specialist Hospital at Weija
3 hours -
CEO of MobileMoney Ltd joins MoMAG to celebrate May Day with sports and solidarity
3 hours -
UniMAC leads national conversation on World Press Freedom Day in Ghana
3 hours -
Allied Health professionals object to withdrawal of Korle Bu Laboratory head’s appointment
3 hours -
Health Ministry rolls out National Health Compact to strengthen healthcare system
3 hours