President John Dramani Mahama Thursday affirmed his administration’s commitment to honouring Ghana’s debt obligations and fortifying financial buffers of the country to ensure economic recovery.
The President bemoaned debt accumulation and stalled infrastructure projects by the previous administration when he presented his first State of the Nation Address to Parliament in Accra, in accordance with Article 67 of the 1992 Constitution.
However, he noted that disciplined fiscal management, anchored by proactive debt repayment and a reinforced Sinking Fund, would steer the nation towards recovery.
Mr Mahama pointed to recent strides in debt servicing as evidence of Ghana’s renewed credibility, including the successful settlement of GHS 6.08 billion in cash and GHS 3.46 billion in-kind coupon payments for bonds under the Domestic Debt Exchange Programme (DDEP) in February 2025.
He emphasised the securing of additional buffers in the Sinking Fund to cover DDEP maturities due in July and August, ensuring no delays in repayments.
“We are not just managing debts, we are rebuilding trust. The buffers we establish today safeguard tomorrow’s stability and signal to every citizen and investor that Ghana honours its word,” he said.
The President also addressed the broader economic fallout of past mismanagement, including 55 stalled infrastructure projects worth $2.95 billion and GHS 15 billion in projected cost overruns.
He said such debt obligations strained public services and growth, thus the need to facilitate Ghana’s economic recovery through rigorous adherence to debt sustainability measures.
“Every cedi saved through prudent debt management is a cedi redirected toward reviving these critical projects,” he said.
The President vowed to prioritise fiscal discipline even as his government worked to restart stalled projects.
GNA
