[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"doc-detail-110168-en":3,"doc-seo-110168-105":29,"detail-sidebar-cat-0-en-105":90},{"code":4,"msg":5,"data":6},0,"success",{"doc_id":7,"user_id":8,"nickname":9,"user_avatar":10,"doc_module":4,"category_id":11,"category_name":12,"doc_title":13,"doc_description":14,"doc_content":15,"file_id":16,"file_url":17,"file_type":18,"file_size":19,"view_count":4,"is_deleted":4,"is_public":20,"is_downloadable":20,"audit_status":20,"page_count":21,"language":22,"language_code":23,"site_id":24,"html_lang":23,"table_of_contents":25,"faqs":26,"seo_title":13,"seo_description":14,"update_tm":27,"read_time":28},110168,962075006959,"Anda","https://ap-avatar.wpscdn.com/avatar/e0002397efbe92a78e?_k=1776741047341049297",8,"Research & Report","Ghana - Joint World Bank-IMF Debt Sustainability Analysis","Ghana is assessed to be in debt distress under the Joint World Bank-IMF Debt Sustainability Analysis, driven by ongoing debt restructuring, repeated breaches of DSA thresholds, and an assessment of unsustainable debt dynamics. The analysis traces deterioration after the Covid-19 shock, tighter global financial conditions, and the Ukraine invasion, alongside preexisting fiscal and debt vulnerabilities. Loss of market access, reserve declines, exchange-rate depreciation, and elevated inflation widened Eurobond spreads, while domestic financing conditions also worsened. Absent comprehensive restructuring and a feasible, growth-friendly fiscal adjustment, public debt remains unsustainable.","Public Disclosure  \nPub lic Disc losure Authorized  \nApproved by:  \nAbebe Adugna Dadi and Manuela  \nFrancisco (IDA) Annalisa Fedelino (IMF)  \nPrepared by the staff of the International Development Association (IDA) and the International Monetary Fund (IMF)  \n\n| GHANA: JOINT BANK-FUND DEBT SUSTAINABILITY ANALYSIS1,2 |  |\n| --- | --- |\n| Risk of external debt distress | In debt distress |\n| Overall risk of debt distress | In debt distress |\n| Granularity in the risk rating | Unsustainable |\n| Application of judgment | No |\n\nGiven the ongoing debt restructuring and large and protracted breaches to the DSA thresholds, Ghana is currently in debt distress and the debt sustainability analysis shows that debt is unsustainable.  \nGhana’s fiscal and external positions have deteriorated significantly in the wake of the Covid-19 pandemic, the tightening in global financial conditions and Russia’s invasion of Ukraine. These external shocks, combined with preexisting fiscal and debt vulnerabilities, have pushed public and external debt up. Ghana lost international market access in late 2021, and the macroeconomic situation became more challenging in 2022, with large losses in international reserves, sharp depreciation of the exchange rate and soaring inflation. The deterioration of market sentiment widened Eurobond spreads to above 2900 bps at end-December 2022, and they have remained in distressed territory. Domestic financing conditions also deteriorated markedly. In this context, the authorities requested support from the IMF in July 2022; they hired financial and legal advisors; and they launched a comprehensive debt restructuring strategy in December 2022.  \n1 This DSA is prepared in line with the Guidance Note of the Joint Bank-Fund Debt Sustainability Framework for Low Income Countries, February 2018.  \n2 The Composite Indicator (CI) score of 2.82 remains between the cut-off values for weak and strong debt-carrying capacity, 2.69 and 3.05, respectively. The CI is the weighted average of the 10-year average of the World Bank’s Country Policy and Institutional Assessment (CPIA) score and macro-economic variables from the October WEO 2022 vintage.  \nUnder the baseline, which does not incorporate the impact of the ongoing debt restructuring, the present value (PV) of external debt-to-GDP and external debt service-to-revenues exceed their respective thresholds throughout the full-time horizon of the DSA. The external debt service-to-exports breaches its thresholds in 2025 for one year and breaches it again in 2029 to remain above it throughout the full remaining horizon. The PV of external debt-to-exports ratio remains below its threshold under the baseline throughout the full-time horizon of the DSA, while temporarily breaching the threshold under the exports shock scenario—the most extreme shock for this indicator. The PV of public debt-to-GDP breaches its 55 percent benchmark throughout the full-DSA horizon. Stress test results show that a one standard deviation deterioration in the primary balance would put overall public debt well above the current unsustainable trajectory throughout the full DSA horizon. Developments over the past few years and stress tests highlight the sensitivity of the debt ratios to growth and exchange rate shocks.  \nAbsent comprehensive debt restructuring and a credible reform plan, underpinned by a feasible and growth-friendly fiscal adjustment, Ghana’s public debt is unsustainable. Strong ownership of the IMF-supported program and commitment to reforms by the authorities are key.  \n1. The Debt Sustainability Analysis (DSA) covers public and publicly guaranteed (PPG) debt of the central government, with additional important liabilities of the public sector. The DSA also includes (i) explicitly guaranteed debt of other public and private sector entities including state-owned enterprises (SOEs) and (ii) certain implicitly guaranteed SOEs debt. Key among those are Energy Sector Levy Act (ESLA) debt in the energy","cbCaioBlIQauOEfx","https://ap.wps.com/l/cbCaioBlIQauOEfx","pdf",816563,1,24,"English","en",105,"# Risk of debt distress\n## External debt distress and overall risk\n## Baseline and stress test results\n## Scope of covered debt and contingent liabilities","[{\"question\":\"What does the joint debt sustainability analysis conclude about Ghana’s debt situation?\",\"answer\":\"The analysis concludes Ghana is in debt distress, and debt is unsustainable based on DSA threshold breaches and scenario outcomes.\"},{\"question\":\"Which shocks and conditions contributed to Ghana’s deterioration in fiscal and external positions?\",\"answer\":\"Covid-19 impacts, tighter global financial conditions, and the Russia-Ukraine invasion reduced resilience, raising public and external debt. Loss of market access, reserve losses, exchange-rate depreciation, and higher inflation further worsened conditions.\"},{\"question\":\"Why is Ghana’s public debt assessed as unsustainable under the baseline?\",\"answer\":\"Under the baseline, key ratios such as present value external debt-to-GDP and external debt service-to-revenues exceed thresholds over the DSA horizon, while public debt-to-GDP breaches its benchmark throughout the horizon.\"}]",1784484208,60,{"code":4,"msg":30,"data":31},"ok",{"site_id":24,"language":23,"slug":32,"title":13,"keywords":33,"description":14,"schema_data":34,"social_meta":85,"head_meta":87,"extra_data":89,"updated_unix":27},"ghana-joint-world-bank-imf-debt-sustainability-analysis","",{"@graph":35,"@context":84},[36,53,67],{"@type":37,"itemListElement":38},"BreadcrumbList",[39,43,47,50],{"item":40,"name":41,"@type":42,"position":20},"https://docshare.wps.com","Home","ListItem",{"item":44,"name":45,"@type":42,"position":46},"https://docshare.wps.com/document/","Document",2,{"item":48,"name":12,"@type":42,"position":49},"https://docshare.wps.com/document/research-report/",3,{"item":51,"name":13,"@type":42,"position":52},"https://docshare.wps.com/document/ghana-joint-world-bank-imf-debt-sustainability-analysis/110168/",4,{"url":51,"name":13,"@type":54,"author":55,"headline":13,"publisher":57,"fileFormat":60,"inLanguage":23,"description":14,"dateModified":61,"datePublished":61,"encodingFormat":60,"isAccessibleForFree":62,"interactionStatistic":63},"DigitalDocument",{"name":9,"@type":56},"Person",{"url":40,"name":58,"@type":59},"DocShare","Organization","application/pdf","2026-07-19",true,{"@type":64,"interactionType":65,"userInteractionCount":4},"InteractionCounter",{"@type":66},"ViewAction",{"@type":68,"mainEntity":69},"FAQPage",[70,76,80],{"name":71,"@type":72,"acceptedAnswer":73},"What does the joint debt sustainability analysis conclude about Ghana’s debt situation?","Question",{"text":74,"@type":75},"The analysis concludes Ghana is in debt distress, and debt is unsustainable based on DSA threshold breaches and scenario outcomes.","Answer",{"name":77,"@type":72,"acceptedAnswer":78},"Which shocks and conditions contributed to Ghana’s deterioration in fiscal and external positions?",{"text":79,"@type":75},"Covid-19 impacts, tighter global financial conditions, and the Russia-Ukraine invasion reduced resilience, raising public and external debt. Loss of market access, reserve losses, exchange-rate depreciation, and higher inflation further worsened conditions.",{"name":81,"@type":72,"acceptedAnswer":82},"Why is Ghana’s public debt assessed as unsustainable under the baseline?",{"text":83,"@type":75},"Under the baseline, key ratios such as present value external debt-to-GDP and external debt service-to-revenues exceed thresholds over the DSA horizon, while public debt-to-GDP breaches its benchmark throughout the horizon.","https://schema.org",{"og:url":51,"og:type":86,"og:title":13,"og:site_name":58,"og:description":14},"article",{"robots":88,"canonical":51},"index,follow",{"doc_id":7,"site_id":24},{"code":4,"msg":5,"data":91},[92,96,100,104,108,113,118,121,126,129,133],{"id":20,"doc_module":4,"doc_module_name":45,"category_name":93,"show_sort_weight":94,"slug":95},"Story & Novel",90,"story-novel",{"id":46,"doc_module":4,"doc_module_name":45,"category_name":97,"show_sort_weight":98,"slug":99},"Literature",80,"literature",{"id":52,"doc_module":4,"doc_module_name":45,"category_name":101,"show_sort_weight":102,"slug":103},"Exam",70,"exam",{"id":105,"doc_module":4,"doc_module_name":45,"category_name":106,"show_sort_weight":28,"slug":107},5,"Comic","comic",{"id":109,"doc_module":4,"doc_module_name":45,"category_name":110,"show_sort_weight":111,"slug":112},6,"Technology",50,"technology",{"id":114,"doc_module":4,"doc_module_name":45,"category_name":115,"show_sort_weight":116,"slug":117},7,"Healthcare",40,"healthcare",{"id":11,"doc_module":4,"doc_module_name":45,"category_name":12,"show_sort_weight":119,"slug":120},30,"research-report",{"id":122,"doc_module":4,"doc_module_name":45,"category_name":123,"show_sort_weight":124,"slug":125},9,"Religion & Spirituality",20,"religion-spirituality",{"id":124,"doc_module":4,"doc_module_name":45,"category_name":127,"show_sort_weight":124,"slug":128},"World Cup","world-cup",{"id":130,"doc_module":4,"doc_module_name":45,"category_name":131,"show_sort_weight":130,"slug":132},10,"Lifestyle","lifestyle",{"id":134,"doc_module":4,"doc_module_name":45,"category_name":135,"show_sort_weight":105,"slug":136},19,"General","general"]