Finance Minister Dr. Cassiel Ato Forson presented the 2025 budget under President John Mahama’s new administration, emphasizing economic recovery, job creation, and fiscal discipline.
Why It Matters
Ghana faces a severe economic crisis with high debt, inflation, and fiscal mismanagement. The government’s strategy focuses on restructuring debt, stabilizing the cedi, and cutting wasteful spending while introducing pro-growth policies like a 24-hour economy.
Key Highlights:
State of the Economy
- Inflation rose from 23.2% in 2023 to 23.8% in 2024, surpassing targets.
- Public debt reached GH¢726.7 billion (61.8% of GDP).
- The government owes GH¢67.5 billion in arrears, with road contractors alone owed GH¢21 billion.
- Energy sector shortfalls cost GH¢20.8 billion in 2024, with projected deficits of GH¢35 billion in 2025.
- The cocoa sector is in crisis, with production dropping by 50% and COCOBOD facing GH¢32 billion in debt.
