Ghana has officially signed a bilateral agreement with France to restructure a portion of its external debt, in what marks a significant step forward in the country’s broader strategy to restore debt sustainability and economic stability.
The agreement, signed under the auspices of the Paris Club — an informal group of creditor countries — positions France as the first member of the group to formally commit to debt relief for Ghana. The move comes as the West African nation pushes ahead with a comprehensive debt restructuring programme, following years of economic strain exacerbated by the COVID-19 pandemic, inflationary pressures, and currency depreciation.
Ghana’s Ministry of Finance described the agreement as a “milestone achievement” and a “vote of confidence” in the government’s commitment to macroeconomic reforms. The deal is expected to pave the way for similar agreements with other bilateral creditors and unlock further support from international financial institutions, including the International Monetary Fund (IMF), with which Ghana reached a $3 billion loan agreement in 2023.
According to official data, Ghana’s total public debt reached GHS 769.4 billion (approximately USD 49.5 billion) by the end of March 2025. The surge in debt levels has strained government finances, prompting Accra to suspend payments on most of its external debt in late 2022 and seek relief under the G20 Common Framework for Debt Treatment.
The latest development follows Ghana’s parliamentary approval of the terms outlined by the Official Creditor Committee — a group comprising bilateral lenders co-chaired by China and France — which sets the conditions for restructuring sovereign obligations.
The Ghana–France agreement is expected to serve as a template for future negotiations with other creditors and reinforces international support for Ghana’s reform agenda aimed at restoring fiscal discipline, ensuring debt sustainability, and accelerating economic recovery.
