Ghana’s current financial support programme, the Extended Credit Facility (ECF) with the International Monetary Fund (IMF), risks an extension from its initial end date.

This follows a recent proposal from the IMF Board, which requested a three-month continuation before the programme concludes. Defending its proposal, the IMF Board noted that the extension would provide sufficient time for the implementation of reforms underpinning the sixth and final review of the programme.

Ghana’s programme with the global lender is scheduled to end in May 2026, following the final review slated for April 2026. However, should the IMF’s recommendations be approved, the programme would be extended through August 2026.

Part of the IMF report reads, “The extension through August 16, 2026, would help reach an understanding on the policies supporting completion of the 6th review, while allowing sufficient time to prepare and circulate Board documents.”

So far, Ghana has secured about US$2.8 billion following the successful completion of the fifth programme review. The new development is expected to trigger the release of a sixth tranche of US$380 million.Reacting to the approval, the Minister for Finance, Dr. Cassiel Ato Forson, noted that the approval represents meaningful progress in the country’s broader economic recovery agenda.

Recently, the government announced its fifth bilateral debt restructuring agreement, with the Kingdom of Spain as the latest partner. This was announced by the Finance Minister on Wednesday, October 8, after signing the agreement with Spain’s Ambassador to Ghana, H.E. Ángel Lossada Torres-Quevedo.

“On behalf of the Republic of Ghana, I signed a Bilateral Debt Restructuring Agreement with the Kingdom of Spain, represented by their Ambassador to Ghana, H.E. Ángel Lossada Torres-Quevedo. To date, we have concluded five bilateral restructuring agreements with France, Finland, the United Kingdom, China EXIM Bank, and now Spain,” he shared on his X page.

He added that the signing marks another important milestone in Ghana’s debt restructuring journey. Mr. Ato Forson expressed optimism that Ghana will complete the process and close this challenging chapter in its economic management history by the end of the year, considering the valuable lessons learned from the experience.He said the government is determined to maintain sound fiscal discipline and never again “allow ourselves to reach such unsustainable levels of debt.”

“I remain confident that the measures we are implementing will safeguard our recovery and strengthen Ghana’s resilience,” Ato Forson expressed.

On behalf of the government and people of Ghana, he expressed deep appreciation to Spain for its cooperation, understanding, and unwavering support throughout the process.

Meanwhile, the government also formally signed a bilateral debt restructuring agreement with the United Kingdom (UK) as part of efforts with the External Creditor Committee to unlock funds for ‘The Big Push’ initiative and other government programmes.

Taking to X on Wednesday, September 24, the Minister for Finance revealed that the US$256 million deal signed between the two countries is a key step in improving Ghana’s debt management.

“On behalf of the Republic of Ghana, I signed a Bilateral Debt Restructuring Agreement with the United Kingdom, represented by His Majesty’s Trade Commissioner for Africa, Mr. John Humphrey. The agreement covers about US$256 million and represents another important step in Ghana’s debt restructuring efforts,” he wrote.

According to the Finance Minister, the UK’s participation will motivate other lenders to act swiftly and finalise their respective parts of the debt restructuring process.

In addition, Ghana is working with UK Export Finance (UKEF) to reinstate financing for several priority projects, including the Bolgatanga–Bawku–Pulimakom Road Project; the modernisation of the Komfo Anokye Teaching Hospital (KATH); the Obetsebi Lamptey Interchange and Ancillary Works Project Phase II; the construction of Phase 1 of the Tema–Aflao Road Project; and the redevelopment and modernisation of the Kumasi Central Market.

The deal was sealed in Accra on Wednesday, September 24, after UK Export Finance and His Majesty’s Trade Commissioner for Africa, John Humphrey, paid an official visit to Ghana. Also present at the signing ceremony were the UK High Commissioner to Ghana, H.E. Christian Rogg; the Chief Director of the Ministry of Finance, Mr. Patrick Nomo; and other officials.

A couple of months ago, the government concluded a series of engagements with China aimed at enhancing debt restructuring efforts. The Minister for Finance, Dr. Cassiel Ato Forson, described the meetings as helpful and a major step forward in addressing the country’s debt challenges, disclosing this in a social media post on Tuesday, July 1.

According to him, the discussions form part of the government’s broader efforts to fix the economy, reduce the country’s debt burden, and protect the livelihoods of ordinary Ghanaians. Dr. Forson added that the progress made in China has placed Ghana in a stronger position to complete the difficult process and build a more stable and inclusive economy.

In April this year, the sector minister announced Ghana’s readiness to conclude bilateral agreements for the restructuring of its US$5.1 billion official bilateral debt by June, a target the Finance Minister described as “ambitious.” This followed the signing of a Memorandum of Understanding (MoU) with the Official Creditor Committee (OCC) on January 28.

These details are outlined in the 2025 Budget Statement and Economic Policy, which highlights Ghana’s fiscal strategies, including debt restructuring measures aimed at stabilising the economy. Highlighting the importance of the process, the Finance Minister stated, “We look forward to the support of this august House in achieving this objective within the established timeframe.”

The agreement formalises the key terms of the restructuring, which were outlined in an Agreement in Principle (AIP) reached on January 12, 2024. It includes an extension of debt service repayments and provides approximately US$2.8 billion in debt relief.

Additionally, the MoU establishes a cut-off date of December 31, 2022, and imposes limits on disbursements during Ghana’s IMF-supported programme from 2023 to 2026.

The signing of the MoU paves the way for negotiations with individual OCC member countries. As part of the process, Ghana has commenced data reconciliation and validation exercises with several creditors in preparation for bilateral agreements.

Beyond official bilateral debt restructuring, the government is also engaging commercial creditors, including Chinese commercial lenders, plurilateral institutions, and private banks, to restructure approximately US$2.7 billion in commercial debt. Discussions on draft Non-Disclosure Agreements (NDAs) are already underway, with a financial proposal for the restructuring expected to be presented soon.

Furthermore, Ghana’s Domestic Debt Exchange Programme (DDEP), launched in December 2022, has significantly influenced the domestic debt market. The government has relied on short-term securities to finance the budget, raising GH¢45.4 billion in net proceeds from treasury bill issuance.

The government remains committed to honouring its debt obligations, having successfully paid GH¢19.0 billion in DDEP bond coupons in 2024 and an additional GH¢9.5 billion in February 2025.

The Ministry of Finance believes these efforts, combined with effective engagement with market participants, will enhance transparency, restore investor confidence, and stabilise the financial market.