Ghana’s debt servicing expenses are anticipated to increase significantly starting in 2027, as repayments on the Domestic Debt Exchange Programme (DDEP) bonds become due.
The obligations for debt servicing, excluding short-term debt, are projected to rise to 6.8% of GDP in 2027, compared to 4.6% recorded in 2025, as per Fitch Ratings.
This increase will primarily be driven by the initiation of amortisation payments on the restructured DDEP bonds.
This situation follows Ghana’s second-largest Eurobond issuance, valued at approximately $2.9 billion, which commenced amortisation earlier this year in January 2026.
Despite the anticipated rise in repayments, Fitch Ratings asserts that Ghana’s debt obligations remain manageable in the medium term.
This assurance is based on the country’s improving reserve position and enhanced fiscal buffers.
By the end of 2025, Ghana’s unencumbered international reserves were estimated to be $12.3 billion, while central government deposits accounted for 2.4% of GDP.
“The second largest Eurobond (USD2.9 billion) issued in 2024 began amortising in January 2026, and DDEP bonds will commence amortising in 2027, leading to an increase in debt service costs (excluding short-term debt) to 6.8% of GDP in 2027, up from 4.6% in 2025.”
It is also anticipated that reserves will continue to grow, providing further support for debt repayments.
There are indications that the government may start repurchasing portions of the DDEP bonds prior to their maturity.
Fitch Ratings believes that the gradual reopening of the domestic bond market may offer fiscal authorities the opportunity to refinance debt more strategically and alleviate future repayment pressures.
The outlook suggests that while Ghana’s debt servicing burden is expected to rise from 2027, improving reserves, stronger liquidity, and renewed market access could help mitigate the impact and maintain investor confidence in the economy.
