Standard and Poor’s (S&P) Global has affirmed Ghana’s long- and short-term sovereign credit ratings at ‘B-/B’ for both foreign and local currency obligations, while maintaining a stable outlook.
The ratings agency also affirmed its ‘B-’ transfer and convertibility assessment for the country.
The ‘B-/B’ rating places Ghana in the non-investment-grade category, indicating elevated credit risk and vulnerability to adverse economic conditions that could affect its ability to meet debt obligations.
In its country report released on September 25, 2025, S&P said Ghana’s external position was benefiting from the expansion of the gold sector, while the economy had shown relative resilience to the economic effects of the Middle East conflict.
The agency also cited progress in fiscal reforms, supported by a new 36-month Policy Coordination Instrument with the International Monetary Fund (IMF).
However, it raised concerns about the Bank of Ghana’s financial position, which it said had been weakened by the government’s strategy of rapidly building foreign currency reserves through gold exports. S&P said the central bank would require significant recapitalisation.
It also expects the fiscal costs associated with the Ghana Gold Board (GoldBod) to remain elevated.
The agency said Ghana continued to face challenges from high debt-servicing costs, substantial contingent liabilities linked to state-owned enterprises and the central bank, and risks to the implementation of reforms.
It further noted the country’s growing exposure to changes in international prices for gold, cocoa and oil.
S&P warned that it could lower Ghana’s ratings over the next 12 to 18 months if fiscal slippage, weaker performance by the central bank or state-owned enterprises, or higher-than-expected public debt and debt-servicing costs put pressure on the government’s ability to refinance maturing obligations.
A deterioration in export volumes or terms of trade that increases external financing needs and indebtedness could also trigger a downgrade.
Although not its baseline expectation, the agency said a rating reduction could follow if Ghana’s debt restructuring process stalls, including disagreements among creditors over comparability of treatment under the G20 Common Framework.
In November 2025, S&P upgraded Ghana’s sovereign rating from ‘CCC+/C’ to ‘B-/B’, citing stronger export performance, rising foreign reserves and improved fiscal discipline.
The November 7 upgrade marked a step in the country’s recovery from the 2022 debt crisis, which led to the suspension of payments on US$13.1 billion in Eurobonds.
Source: businesspostonline
