Ghana stays on track with IMF targets as it prepares to end its bailout strong

Ghana, according to the country’s Finance Minister, Cassiel Ato Forson, has so far met the IMF’s requirements for its fiscal responsibility framework.

This is a result of projections that show that the West African country could record a primary budget surplus of 1.5% of its Gross Domestic Product (GDP) by 2026, as highlighted by the finance minister.

Following this projection, Ghanaian officials have promised to maintain a high degree of fiscal responsibility, especially as it nears the end of its 3-year bailout deal with the IMF.

The projection figures specifically show that Ghana should have an overall budget deficit of 2.2% of its GDP for 2026, down from an estimated 2.8% this year.

Projections also show that revenue and grants would rise 18% to 268.1 billion cedis ($24.4 billion), while spending is set to surge 20% to 302.5 billion cedis, as reported by Bloomberg.

“The sacrifices made by Ghanaians over the past year have restored hope and confidence in our economy,” he said. “But this is not the time to slow down; it is the time to push forward,” the Finance Minister said.

A recent report showed that Ghana, which was expected to reach single-digit inflation by the end of the year, is well ahead of schedule.

This resulted from Ghana’s current inflation, which fell from 9.4% in September to 8% in October, as well as a currency that has recovered by up to 34% in the space of a year.

The inflation figure is a far cry from the 22.1% inflation rate recorded in the same period last year, when Ghana was in the midst of one of its worst economic crises in history.

According to figures issued by the Ghana Statistical Service in September, Ghana’s GDP increased by 6.3% year on year in the second quarter of 2025, up from a corrected 5.7% in the same period last year.

Ghana’s finance minister also disclosed that borrowing for 2026 is set to increase 20% to 64.2 billion cedis, off the continued issuance of domestic bonds.

“The priority for 2026 will be to borrow smarter, manage risks better, and ensure that every cedi borrowed supports growth and fiscal sustainability,” Forson stated.

Ghana’s economy is undergoing a substantial reset as part of a three-year, $3 billion bailout agreement with the International Monetary Fund.

The loan issued in 2023 was intended to assist the government in overcoming significant budgetary and debt issues, aims to restore macroeconomic stability, reestablish investor confidence, and lay a more resilient foundation for long-term prosperity.

The bailout came as Ghana faced rising inflation, a rapid depreciation of the cedi, and unsustainable state debt levels.

Under the IMF agreement, the government has committed to tight fiscal discipline, which includes lowering budget deficits, increasing revenue collection, and eliminating non-essential spending.

The program also prioritizes structural reforms to enhance the financial sector, improve public sector openness, and ensure the effective management of state-owned companies.