President John Dramani Mahama has unveiled ambitious plans to reopen Ghana’s domestic and international capital markets, with a particular focus on revitalizing the country’s bond market to drive economic recovery and sustainable development.
Speaking at the Ghana CEO Summit at the Kempinski Hotel in Accra, President Mahama stated that all future borrowing under his leadership would be committed solely to self-financing, commercially viable projects.
“We are working to reopen Ghana’s bond markets in collaboration with the IMF, development partners, the Ghana Stock Exchange, and local banks,” he announced.
As part of the strategy, President Mahama revealed that Metropolitan, Municipal, and District Assemblies (MMDAs) would be empowered to issue infrastructure and municipal bonds. These bonds, he explained, would be backed by a portion of the District Assemblies Common Fund and used to fund essential projects such as roads, schools, water systems, and local industries.
“This approach will decentralise development financing and ensure that districts have the means to invest in critical infrastructure that directly benefits their communities,” he added.
The move forms part of eight key economic measures the former president says are needed to pull Ghana out of its debt crisis and restore macroeconomic stability.
“Our first priority is completing the IMF programme with discipline,” Mahama stated. “We will continue to maintain fiscal discipline, control government expenditure and borrowing, and aim to meet all targets under the Extended Credit Facility.”
He indicated that Ghana is expected to complete the fourth review of the IMF programme by June 2025, with a planned exit by 2026. After the programme, the country will transition to Article IV consultations and a policy support instrument framework, signaling a shift to responsible, non-borrowing engagement with the Fund.
Reaffirming his stance on prudent fiscal management, President Mahama noted: “Future borrowing must deliver value for money and guarantee repayment. That means focusing on self-financing, viable projects by MDAs, MMDAs, and SOEs.”
On public investment management, he disclosed that the Auditor-General is finalising an audit of government arrears and outstanding commitments, with a report expected by the end of May. This, he said, will guide transparent clearance of legitimate arrears and strengthen commitment controls using platforms like GIFMIS and IPSAS-based accounting.
“New projects will only be initiated based on genuine need, available funding, and alignment with our national priorities,” he concluded.
Source: Adomonline
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