BY Grace Zigah
Ghana has signed a new debt restructuring agreement with the Kingdom of Belgium, marking another step in the country’s ongoing efforts to stabilize its economy after the severe financial crisis that forced a sovereign debt default in 2022.
Finance Minister Cassiel Ato Forson announced the development in a Facebook post on Thursday, March 5, stating that he signed the agreement on behalf of the Government of Ghana.
The deal forms part of the broader external debt restructuring programme aimed at restoring fiscal stability and rebuilding confidence among international creditors.
According to Dr. Forson, the agreement comes after a turbulent period in the recent economic history.
Between 2022 and 2023, the country experienced one of its most difficult financial crises, characterized by soaring public debt, high inflation, and severe pressure on the national currency.
The situation ultimately forced the government at the time to declare a debt default as part of efforts to restructure both domestic and external obligations.
That crisis triggered sweeping economic reforms and negotiations with creditors under international frameworks designed to help heavily indebted countries restore debt sustainability.
Ghana subsequently implemented the Domestic Debt Exchange Programme (DDEP), which restructured local bonds, while also engaging bilateral and multilateral partners to renegotiate external loans.
Ato Forson said the latest agreement with Belgium signals continued progress in those negotiations. The Finance Minister explained that the deal represents the eighth agreement Ghana has concluded with countries under the Official Creditor Committee (OCC), a group of bilateral lenders working with Ghana under the broader external debt restructuring framework.
“The agreement with Belgium represents the eighth agreement Ghana has concluded with Official Creditor Committee countries under our external debt restructuring programme,” he noted.
The Finance Minister also expressed appreciation to the Belgian government for its cooperation during the restructuring process.
He extended gratitude to the Government of Belgium and the country’s Ambassador to Ghana, Carole van Eyll, for their continued partnership and support for the economic recovery efforts.
Beyond the agreement itself, Dr. Forson indicated that the economic outlook is gradually improving following the crisis. He said the country is witnessing a significant turnaround as the government introduces stronger fiscal management systems to ensure that the economic conditions that led to the default do not recur.
“Today the story is changing. Ghana is recovering and witnessing a significant economic turnaround, while we also put in place stronger systems to ensure we do not return to that point again,” he stated.
The debt restructuring negotiations form a key pillar of the economic recovery strategy being pursued by the administration of President John Dramani Mahama.
