Ghana’s reliance on Treasury bill borrowing is expected to decline significantly in 2025, thanks to improved access to alternative funding sources and a strategic shift toward long-term securities. This forecast comes from the 2025 Ghana Market Outlook report published by Databank Research, a leading financial services firm.
According to the report, the government’s Treasury bill borrowing is projected to decrease to approximately GH₵200 billion in 2025, marking a drop from the estimated GH₵220 billion in 2024. This represents an average weekly borrowing of GH₵3.9 billion, down from GH₵4.2 billion the previous year.
Databank attributes this downward trend to Ghana’s growing access to international financial markets and efforts to diversify funding sources. The shift is part of a broader strategy to enhance fiscal sustainability and support the country’s economic recovery. “The government’s pivot toward long-term instruments will not only reduce the dependency on short-term borrowing but also help to manage debt maturity risks more effectively,” the report stated.
The transition is expected to gain momentum after the first quarter of 2025. In the interim, the government is likely to maintain a notable reliance on short-term borrowing to address maturing debts from the latter part of 2024.
This strategic realignment comes at a crucial time for Ghana, as the nation strives to stabilize its economy amidst global economic challenges. Experts believe that the reduced reliance on short-term debt will provide a more stable fiscal framework, paving the way for sustained economic growth.
As Ghana continues to explore innovative financing options, the move is seen as a positive signal to investors, reflecting confidence in the country’s financial outlook and its commitment to long-term economic health.
Story by: Mercy Addai Turkson
