Ghana: the government will borrow GHȻ 25.4 billion in 6 months

lpgs3wuii1_cash1After borrowing GHȻ 12.72 billion last year from the issuance of government’s securities, the government will borrow GHȻ 25.42 billion from the domestic market within the first six months of the year according to the central bank of Ghana.

The Bank of Ghana stated in the issuance calendar of government of Ghana for January to June that in January alone government intends to borrow GHȻ 3.5 billion, which is the least amount to be borrowed from the domestic securities market – with the highest being GHȻ 4.84 billion in March and June.

“Issuance decisions support government liquidity requirements, which will include the redemption/rollover of maturing securities for the week,” it said.

 This year, government has budgeted GHȻ 8 billion as interest payment for domestic debts out of the total GHȻ 9.5 billion – raising concerns that debt overhang might make government unwilling to implement adjustment programmes that will promote economic growth because a greater proportion of the benefits will end up as debt-service payments to creditors.

About Khalid Al Mouahidi 4431 Articles
Khalid Al Mouahidi : A binational from the US and Morocco, Khalid El Mouahidi has worked for several american companies in the Maghreb Region and is currently based in Casablanca, where he is doing consulting jobs for major international companies . Khalid writes analytical pieces about economic ties between the Maghreb and the Mena Region, where he has an extensive network