Dr. Cassiel Ato Forson
The Minister for Finance, Dr. Cassiel Ato Forson, has indicated that the year 2025 marked one of the most significant economic turnarounds in the nation’s history.
According to him, the government successfully reversed the economic challenges inherited from the previous year, with key indicators showing remarkable improvement.
In a post on his social media page, the Minister noted that at the end of 2024, the nation faced steep economic hurdles, including a primary balance deficit of 3.0% of GDP, a 91-day Treasury bill rate of 27.7%, a 19.2% depreciation of the cedi against the US dollar, and inflation at 23.8%.
He said through a combination of fiscal discipline, commitment controls, structural reforms, and prudent monetary policy, the government restored macroeconomic stability and put public finances on a sustainable path.
Fiscal Reforms Deliver Results
The Finance Minister said revenue mobilisation and spending controls underpinned fiscal performance in 2025.
He pointed out that the overall fiscal deficit on a commitment basis fell to 1.0% of GDP, outperforming the target of 2.8%.
According to him, the primary balance achieved a surplus of 2.6%, exceeding the target of 1.5%. On a cash basis, the overall deficit dropped to 3.1%, with a primary balance surplus of 0.5%.
“Sound debt management also reduced public debt sharply by GH¢82.1 billion, from GH¢726.7 billion (61.8% of GDP) in December 2024 to GH¢641.0 billion (45.3% of GDP) in December 2025, representing one of the largest debt reductions in Ghana’s history,” he intimated.
Macroeconomic Indicators Rebound
Dr. Forson said real GDP growth strengthened to 6.1% in the first three quarters of 2025, led by services and agriculture, while non-oil growth rose to 7.5%, up from 5.8% in 2024.
He added that inflation fell for 13 consecutive months, dropping by 19.7 percentage points from 23.5% at the end of January 2025 to 3.8% in January 2026.
“Interest rates also declined sharply. The 91-day Treasury bill rate fell from 27.7% in December 2024 to 6.5% in February 2026, while the average commercial bank lending rate fell from 30.25% to 20.45%. Credit to the private sector expanded by GH¢17.1 billion, with further growth expected in 2026,” he stressed.
He continued that the Ghanaian cedi appreciated significantly, gaining 40.7% against the US dollar, 30.9% against the pound sterling, and 24% against the euro.
He said the country’s external position also strengthened, with the current account recording a US$9.1 billion surplus, up from US$1.5 billion in 2024, and gross international reserves reaching US$13.8 billion, sufficient to cover 5.7 months of imports.
By Ernest Kofi Adu