Ghana has signed a bilateral debt restructuring agreement with Belgium as the West African nation continues efforts to stabilise its economy following the severe financial crisis that led to a sovereign default in 2022.
The agreement forms part of Ghana’s broader strategy to renegotiate external debt obligations and rebuild its public finances after the crisis triggered soaring inflation, a sharp currency depreciation and rising debt repayment pressures.
Speaking at the signing ceremony, Ghana’s Finance Minister Cassiel Ato Forson described the deal as another milestone in the country’s ongoing economic recovery and restructuring programme.
“Ghana went through a very difficult period in 2022–2023. It was a financial crisis and the government of the day had to declare a default,” Forson said. “Today we are recovering and seeing a significant turnaround, and we are putting systems in place to ensure we do not return to that situation again.”
Ghana defaulted on most of its external debt in late 2022 after mounting obligations made it increasingly difficult for the government to service loans. The default forced the country to enter negotiations with international creditors while seeking financial assistance from institutions such as the International Monetary Fund.
The agreement with Belgium is part of Ghana’s negotiations with members of the Official Creditor Committee, a coalition of bilateral lenders working with the country to restructure its debt. According to Forson, Belgium is the eighth member of the committee with which Ghana has successfully concluded a bilateral restructuring agreement.
The finance minister thanked the Belgian government and its citizens for their cooperation during the negotiations and for supporting Ghana’s efforts to restore economic stability.
Belgium’s Ambassador to Ghana, Carole van Eyll, reaffirmed her country’s commitment to assisting Ghana during its economic recovery.
“We are happy to continue supporting Ghana, and we are pleased that this restructuring has been concluded,” van Eyll said. She also expressed hope that economic cooperation between the two countries would deepen as Ghana continues rebuilding its economy.
Ghana’s debt restructuring programme has been a central component of its economic reform efforts since the 2022 crisis. The downturn was triggered by a combination of factors including rising global interest rates, increased government borrowing and economic shocks linked to the COVID-19 pandemic and global commodity price fluctuations.
The crisis led to record inflation, a steep fall in the value of the Ghanaian cedi and mounting pressure on public finances. As a result, the government launched negotiations with external creditors to restructure debt and ease repayment obligations.
Officials say Ghana is now nearing the completion of its external debt restructuring process, which is expected to help restore investor confidence, stabilise the economy and create conditions for sustainable growth.
The latest agreement with Belgium represents another step toward resolving the country’s debt challenges while strengthening diplomatic and economic ties between the two nations.