Government announces strong economic turnaround in 2025

Ghana’s economy recorded a major turnaround in 2025, according to Finance Minister Cassiel Ato Forson, who described the year as one of the most significant periods of recovery in the country’s recent history.

Speaking in Accra on Monday, 23rd February 2026, the Minister said government inherited serious economic challenges at the end of 2024.

Inflation stood at 23.8 percent, the 91-day Treasury bill rate was as high as 27.7 percent, and the cedi had depreciated by 19.2 percent against the US dollar. In addition, the primary fiscal balance recorded a deficit of 3.0 percent of GDP.

He explained that through tighter fiscal discipline, better spending controls, improved revenue mobilization, and prudent monetary policy, the economy has now stabilized and returned to a path of growth.

In 2025, the overall fiscal deficit on a commitment basis narrowed to 1.0 percent of GDP, performing better than the 2.8 percent target. The primary balance recorded a surplus of 2.6 percent of GDP, exceeding expectations. On a cash basis, the deficit was also lower than projected.

One of the most notable achievements was the reduction in public debt. Ghana’s debt stock declined by GH¢82.1 billion — from GH¢726.7 billion in December 2024 to GH¢641.0 billion in December 2025. As a share of GDP, debt fell from 61.8 percent to 45.3 percent.

Key economic indicators also improved significantly. Real GDP grew by 6.1 percent in the first three quarters of 2025, driven largely by services and agriculture. Non-oil growth reached 7.5 percent.

Inflation dropped steadily for thirteen consecutive months, falling from 23.5 percent in January 2025 to 3.8 percent in January 2026.

Interest rates declined sharply, with the 91-day Treasury bill rate dropping from 27.7 percent at the end of 2024 to 6.5 percent in February 2026. Commercial bank lending rates also reduced, easing the cost of borrowing for businesses.

The cedi strengthened considerably, appreciating by 40.7 percent against the US dollar by the end of 2025. Meanwhile, Ghana’s external position improved, with a current account surplus of US$9.1 billion and international reserves reaching US$13.8 billion,enough to cover nearly six months of imports.

The Minister stated that the gains reflect a broad-based recovery across sectors and reaffirmed government’s commitment to maintaining stability and promoting growth.

President John Dramani Mahama‘s administration, he said, remains focused on sustaining these improvements, creating jobs, and building a stronger and more resilient economy for the future.