S&P Global Ratings has affirmed Ghana’s long- and short-term sovereign credit ratings at B-/B, while maintaining a stable outlook for the country.
The ratings apply to Ghana’s foreign- and local-currency obligations. The agency also maintained its B- transfer and convertibility assessment for Ghana.
S&P said the stable outlook reflects the potential for continued improvement in Ghana’s external position, increased foreign exchange reserves and further progress in public financial management reforms.
The agency noted that Ghana’s external position has strengthened in recent years, with the expansion of the gold sector contributing significantly to export earnings and foreign exchange accumulation.
Ghana’s gross international reserves increased to US$12.9 billion as of June 30, 2026, compared with about US$4 billion in 2023, according to the assessment. The stronger reserve position provides the country with a larger buffer against external economic shocks.
S&P also noted that elevated gold prices and increased gold exports have supported Ghana’s external accounts. Gold now accounts for more than half of the country’s export receipts, while Ghana has emerged as the world’s sixth-largest gold producer.
Despite these improvements, the ratings agency identified several risks that continue to weigh on Ghana’s credit profile.
These include high debt-servicing costs, contingent liabilities associated with state-owned enterprises and the Bank of Ghana, risks surrounding the implementation of economic reforms and the country’s exposure to fluctuations in the prices of gold, cocoa and oil.
S&P said Ghana’s ratings could come under pressure over the next 12 to 18 months if fiscal deficits widen significantly or the government faces increased difficulty refinancing maturing debt.
A deterioration in the financial position of the Bank of Ghana or state-owned enterprises could also affect the rating if it results in additional pressure on government finances.
The agency further warned that weaker export volumes or an adverse change in Ghana’s terms of trade could increase external financing requirements and put pressure on the country’s external position.
Although it is not the agency’s baseline expectation, S&P said a further deterioration could also occur if Ghana’s debt restructuring process stalls because of disagreements among creditors over the terms of the restructuring.
On the other hand, S&P said an improvement in Ghana’s credit rating could be considered if the government maintains low fiscal deficits, reduces public debt and debt-servicing costs, and strengthens access to external financing.
Further accumulation of foreign exchange reserves and continued improvement in Ghana’s external position could also support an upgrade.
The latest assessment comes as Ghana continues implementing fiscal reforms and working to strengthen its public finances following the debt crisis that resulted in a comprehensive restructuring of the country’s debt.
S&P’s decision therefore leaves Ghana at B-/B with a stable outlook, reflecting improvements in external buffers alongside continuing fiscal and financial risks.
Source: Thepressradio.com
