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
-
Agyinasare storms Pakistan with leadership conference and miracle crusade
5 minutes -
Prayer Palace Church raises concerns over alleged encroachment on property by Chinese national
14 minutes -
What Is Wrong with Us: When “Me” becomes bigger than “We”
22 minutes -
Prudential Bank organises business mission to Turkey and China for customers
29 minutes -
90.28% of road contracts awarded through competitive tendering — Gov’t rebuts ‘sole-source factory’ claims
30 minutes -
Ghana Month in Ethiopia strengthens cultural, business relations among both countries
36 minutes -
Book of condolence opened for Ambassador Victor Gbeho in Accra
42 minutes -
Mahama hasn’t reviewed Article 71 salaries; current emoluments inherited from previous administration – Gov’t
55 minutes -
Only 4.58% of road contracts awarded through sole-sourcing — Kwakye Ofosu
1 hour -
Police arrest Fuseini ‘Fuzzy’ Sorku in Tamale over alleged assault case
1 hour -
Mahama hasn’t added a cedi to presidential appointee salaries – Kwakye Ofosu
1 hour -
Award-winning investigative journalist Roger Cook dies aged 83
1 hour -
“Spider-Man of Yemen” dies after falling into volcanic crater during climb
1 hour -
Deputy EC Chair Dr Bossman Asare to resign effective July 31
1 hour -
Samuel Tettey retires as EC Deputy Commissioner; replacement process underway
2 hours