The Finance Minister Ken Ofori Atta has revealed that Ghana’s public debt has hit GH¢154 billion, representing 63.8% of GDP as at May 2018.
This is a reduction from the 73.3 percent recorded in December 2016. The total debt stock in 2016 was at GH¢122.6 billion cedis.
This means that the debt stock has almost hit the dreaded 70 percent of GDP, a point the International Monetary Fund (IMF) has constantly cautioned against.
The data shows that in September 2017, Ghana’s debt stood at 138.9 billion cedis representing 68.1%; the figure dropped to GH¢137.6 billion cedis in October representing 67.4%.
But in November 2017, it went up to GH¢139 billion cedis representing 68.1 percent.
The domestic component of debt as at December 2017 stood at GH¢66.7 billion cedis, while the foreign debt stock was at GH¢75.8 billion cedis.
Mr. Ofori Atta presenting the mid-year budget review to Parliament added that “Total revenue amounted to 7.2% of GDP against a target of 7.8% of GDP…provisional data indicates that total revenue amounts to GH¢17.4 billion of GDP.”
According to the Finance Minister, “the overarching goal of our macroeconomic policy is to deepen macroeconomic stability, grow the economy, create jobs and ultimately move the country beyond aid.”
“We anticipate that at this rate, if remedial actions are not triggered, the resulting end-year Total Revenue and Grants would amount to GH¢49,610.4 million (20.5% of GDP) or 2.8 percent lower than the original Budget target of GH¢51,039.1 million (21.1% of GDP).
“The revised fiscal outlook for which Budget implementation will be guided by for the remainder of the 2018 fiscal year indicates that, Total Revenue and Grants will amount to GH¢50,686.2 million, 0.7% lower than original 2018 Budget estimate of GH¢51,039.1 million.”