Some offshore investors and fund managers are urging Ghana to return to the international capital markets, citing improving economic conditions, credit rating upgrades and rising international reserves.
The calls emerged during investor engagements at the IMF/World Bank meetings in Bangkok, Thailand. The issue also featured prominently at private meetings organised by international banks, where investors expressed interest in Ghana raising funds through Eurobonds and syndicated loans.
Improving economic conditions attract investors
Some investors believe Ghana’s improving economic stability and the Bank of Ghana’s efforts to build international reserves have strengthened the country’s investment appeal.
Others have pointed to Ghana’s decision to pursue a non-financing Policy Coordination Instrument (PCI) programme with the International Monetary Fund (IMF), arguing that it could help maintain fiscal discipline and safeguard recent economic gains.
“With Ghana being under this PCI Programme, we don’t see things deteriorating or Ghana departing from the current economic gains soon,” one fund manager said.
Investors are also looking to diversify their portfolios and earn higher returns than those available in the United States.
Discussions during the engagements suggested that a Ghanaian Eurobond could offer an average yield of about 8%, compared with returns of around 5% or lower on investments in the US market. However, such yields would also translate into borrowing costs for Ghana.
Despite concerns stemming from the country’s previous debt default, some investors believe the safeguards under the proposed PCI programme could reduce the risk of another default.
Addressing investors at one of the meetings, Bank of Ghana Governor Dr Johnson Asiama said the central bank would continue implementing appropriate monetary policy measures to support currency stability and keep inflation low, despite external risks.
Government rules out an immediate return
The Technical Advisor to the Finance Minister, Dr Theo Achampong, confirmed that calls for Ghana to resume international borrowing had featured in the government’s engagements with international banks.
Speaking on PM Express Business Edition in Bangkok, he emphasised that the government was in no hurry to return to the international capital markets.
“We want to continue stabilising things for now, build strong international reserves,” he said. “As we speak, there is no motivation to go to the international capital market.”
Dr Achampong explained that the government’s immediate priority was to improve Ghana’s credit ratings and eventually secure investment-grade status.
“When you look at our borrowing needs over the one year, the capital market is not an option,” he added.
Finance Minister Dr Cassiel Ato Forson has similarly maintained that borrowing from international capital markets is not part of the government’s financing plans for 2026.
Speaking at a joint press conference with a visiting IMF mission during the latest review of Ghana’s Extended Credit Facility programme, he said any decision to return to the market would be communicated to the public.
“We are not in a hurry to go onto the international capital markets, and if we find a need to go to the international capital markets, we will accordingly inform the people of Ghana,” he said.
Dr Forson added that the 2026 Budget contained no provision for financing from international capital markets, effectively ruling out that option for the year.
IMF calls for stronger investor confidence
The IMF has urged Ghana to rebuild investor confidence and improve its credit rating before considering a return to international capital markets.
Speaking on Channel One TV, the Fund’s Resident Representative in Ghana, Dr Adrian Alter, said the country should prioritise consolidating the gains from debt restructuring and strengthening its domestic financing capacity.
He noted that Ghana’s debt position had improved significantly under the IMF-supported programme, with the latest Debt Sustainability Analysis moving the country from a high to a moderate risk of debt distress.
According to Dr Alter, central government debt had declined to approximately 45% of gross domestic product (GDP), a level the Fund had initially projected Ghana would achieve only by 2034.
ISSER director warns against premature borrowing
The Director of the Institute of Statistical, Social and Economic Research (ISSER), Professor Peter Quartey, has also cautioned against a premature return to international capital markets following Ghana’s debt restructuring.
He advocated a measured approach to borrowing, particularly through Eurobonds, warning that excessive reliance on external debt could undermine long-term economic stability.
Professor Quartey made the remarks during his inaugural lecture at the Ghana Academy of Arts and Sciences, delivered on the theme, “Debt, Investment, and Growth in Ghana: Did We Borrow to Consume?”
While investor interest signals growing confidence in Ghana’s economic recovery, the government’s position remains that restoring stability, strengthening reserves and improving creditworthiness must take precedence over renewed external borrowing.
