Finance Minister Dr. Cassiel Ato Forson says Ghana has significantly reduced the proportion of national revenue used to service public debt, with the figure now falling below 20 per cent, compared with more than 50 per cent in the past.
Dr. Ato Forson made the disclosure in a Facebook post on Saturday, August 22, 2026, as he highlighted what he described as significant progress in government’s efforts to restore fiscal stability. According to him, the high debt-service burden previously placed considerable pressure on government finances and limited the resources available for critical development programmes.
“In the past, Ghana spent over 50 percent of its national revenue on servicing debt,” the Finance Minister said.
He explained that the situation left government with fewer resources to finance essential public services and infrastructure, including schools, hospitals, roads and other development projects.
“This left less money for schools, hospitals, roads and other essential infrastructure,” he added.
Dr. Ato Forson said the reduction in the share of revenue allocated to debt servicing has created greater fiscal space for government to pursue its development priorities and respond to the needs of citizens.
“Today, I am proud to say that we have made significant progress. We now spend less than 20 percent of our revenue on servicing debt!” he stated.
The Finance Minister’s comments form part of the government’s broader efforts to achieve fiscal consolidation and debt sustainability following Ghana’s recent debt crisis. The government has been pursuing debt restructuring and other fiscal measures aimed at reducing the burden of public debt on the national budget.
A lower debt-service burden means a larger proportion of government revenue can potentially be directed towards priority areas such as healthcare, education, infrastructure and social programmes. However, the actual fiscal space available will also depend on government’s ability to raise revenue, control expenditure and meet other financial obligations.
Dr. Ato Forson has previously stressed the importance of putting Ghana’s public finances on a sustainable path to prevent the country from returning to excessive borrowing and debt-service pressures.
He said the progress recorded so far demonstrates the impact of the government’s fiscal consolidation measures and debt restructuring efforts, while stressing the need to maintain discipline in public financial management.
The latest figures are expected to form part of government’s continued efforts to restore investor and public confidence, strengthen Ghana’s fiscal position and create room for increased investment in development priorities.
Story by Freedom Etsey Lavoe