Government Builds GH₵15.6 Billion Sinking Fund to Meet Upcoming Debt Obligations – Ato Forson

 Ghana's Minister for Finance, Hon. Dr. Cassiel Ato Forson, has announced that the government has accumulated GH₵15.6 billion in its Sinking Fund as part of a proactive strategy to meet major debt repayments due in 2027 and 2028.

Presenting the 2026 Mid-Year Budget Review in Parliament, Ato Forson disclosed that the Sinking Fund balance stood at GH₵15.6 billion as of July 22, 2026, in line with the government's 2026–2029 Medium-Term Debt Management Strategy.

He explained that under the strategy, 7% of non-oil tax revenue, together with proceeds from domestic bond issuances, is being paid into the dedicated fund to build sufficient reserves ahead of the country's major debt maturities.

Ato Forson stated that the government is on course to increase the Sinking Fund to GH₵30 billion by the end of 2026. According to him, the amount will be sufficient to fully settle the GH₵30 billion Domestic Debt Exchange Programme (DDEP) obligation maturing in February 2027, significantly reducing refinancing risks and strengthening fiscal stability.

The Finance Minister said the government's approach demonstrates prudent and forward-looking debt management, ensuring Ghana is well prepared to meet its obligations in 2027 and 2028 without placing undue pressure on public finances.

Ato Forson emphasized that by ring-fencing a portion of non-oil tax revenue and proceeds from domestic bond issuances, the government is building a strong financial buffer to safeguard the economy against future debt repayment challenges and maintain macroeconomic stability.

Report filed by PKB