Debt Restructuring Gains At Risk In 2027/28 – IBA
Ghana’s gains from its debt restructuring could come under pressure in 2027–2028 as the country faces significant debt maturities that will require early refinancing preparations, the Investment Bank of Africa (IBA) has warned. The IBA, in its Ghana Economic Framework & 2034 Outlook, said although Ghana’s debt trajectory had improved, the sustainability of the gains would […] The post Debt…
Ghana's debt restructuring progress may be at risk in 2027-2028 due to significant upcoming debt maturities, warns the Investment Bank of Africa (IBA). The IBA's Ghana Economic Framework & 2034 Outlook highlights that while Ghana's debt trajectory has improved, the sustainability of gains depends on prudent borrowing, transparency, and proactive management of upcoming maturities.
The report identifies 2027-2028 maturities as a major risk, urging early preparation to avoid renewed pressure on the country's finances and borrowing costs. The IBA recommends pre-funding through primary budget surpluses, liability management, and concessional or multilateral support. The warning comes as Ghana seeks to consolidate fiscal gains following its debt restructuring and restore normal capital market access.
The report urges the government to publish a medium-term domestic debt issuance and sinking-fund plan, gradually lengthening maturities, and complete outstanding official and commercial restructuring agreements with transparency. It also advises against a return to expensive short-term borrowing and recommends that new borrowing only be undertaken for projects with strong economic returns, foreign-exchange-generating capacity, or the potential to reduce imports. Greater transparency around Ghana's debt obligations is also recommended.
Written by urgent.news from The Chronicle Ghana's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
