Ghana’s Public Debt Hits GHS721bn: ECG Owes GHS68bn & COCOBOD GHS32.5bn – Mahama
Ghana’s economic crisis has deepened, with public debt soaring to GHS721 billion, according to President John Dramani Mahama. Delivering his first State of the Nation Address (SONA) of his second term to Parliament, he painted a bleak picture of the country’s financial health, citing unsustainable debt levels and poor management of key state institutions.
Mahama disclosed that several state-owned enterprises (SOEs) are struggling under massive debt burdens, further compounding Ghana’s economic woes. Among them, the Electricity Company of Ghana (ECG) owes a staggering GHS68 billion, while the Ghana Cocoa Board (COCOBOD) is burdened with GHS32.5 billion in debt.
“We are saddled with staggering debts and glaring signs of almost deliberate and, in some cases, reckless mismanagement of our resources,” Mahama stated during his address. “In addition to the public debt, which amounts to a staggering GHS721 billion, several state-owned enterprises are also in debt, including the ECG and COCOBOD, whose financial instability threatens key sectors of our economy.”
Mahama elaborated on COCOBOD’s struggles, revealing that out of its total debt, GHS9.7 billion is due for payment by the end of September 2025. This financial instability threatens Ghana’s cocoa sector, which remains a critical pillar of the nation’s economy.
The president’s revelations have reignited calls for urgent economic reforms, with financial analysts stressing the need for fiscal discipline, improved governance, and structural adjustments to restore economic stability.
As Ghana grapples with this financial turmoil, citizens and businesses brace for potential policy shifts aimed at mitigating the crisis and fostering sustainable economic growth.
What Next for Ghana?
The government is expected to introduce economic recovery policies, including debt restructuring and increased transparency in SOE management. Industry experts warn that without swift intervention, Ghana’s economic challenges could worsen, leading to further inflation and economic hardships.
