Ghana’s Finance Minister, Dr. Cassiel Ato Forson, has urged the private sector to reduce prices to reflect recent macroeconomic gains, stressing that businesses must help translate stability into relief for households.
Addressing the Presidential Dialogue with the Private Sector held at Kempinski Hotel Gold Coast City under the auspices of HE John Dramani Mahama, Dr. Forson said the private sector has been the biggest beneficiary of the administration’s economic reset and should now give back to citizens.
“Your Excellency, the private sector is the biggest beneficiary of the economic resets under your administration. It is time to give something back to the Ghanaian citizen. Please reduce your prices to reflect the reality here, and let us together make our country great and strong.”
Ghana’s Minister for Finance, Dr. Cassiel Ato Forson
Dr Forson outlined the government’s fiscal and macroeconomic targets, noting that the reset was guided by clear benchmarks. The administration set overall GDP growth at 4.8 percent, non oil GDP growth at 5 percent, and inflation at 8 percent plus or minus two percentage points.
The primary balance on a commitment basis was targeted at 1.5 percent of GDP, with an overall deficit of 2.7 percent, while gross international reserves were set to cover at least three months of imports.
He said the results now visible across the economy demonstrate disciplined policy execution. “The macroeconomic turnaround is broad based and comprehensive,” he noted, arguing that stability has created room for lower prices and stronger consumer demand.
Growth Rebounds Across the Economy
The Finance Minister pointed to growth outcomes that underline the recovery. Oil GDP growth strengthened with a provisional 6.1 percent year on year expansion in the first three quarters of 2025, driven mainly by services and agriculture. Non oil GDP growth was even stronger at 7.5 percent over the same period, compared to 5.8 percent in 2024.
He added that the expansion has widened opportunities for businesses and investors. With demand improving and costs easing, Dr. Forson said firms are better positioned to pass on gains to consumers without undermining profitability.
A central pillar of the reset has been disinflation. Inflation has fallen for thirteen consecutive months, declining by 20.8 percentage points from 23.8 percent at the end of December 2024 to 3.8 percent by January 2026. According to the Finance Minister, this has restored purchasing power and reduced uncertainty.
Interest rates have followed the same downward path, with Dr Ato Forson stating that the 91-day Treasury bill rate fell from 27.7 percent at the end of 2024 to 6.4 percent by February 2026, lowering government borrowing costs and freeing capital for private investment.
The Finance Minister also disclosed that the average commercial bank lending rates declined from 30.25 percent in 2024 to 20.45 percent in 2025, with further easing expected as inflation remains low.
Dr Forson shared an anecdote to illustrate changing credit conditions. “Yesterday someone informed me that he is a business person and is able to borrow from the bank at 13 percent, policy rate minus two,” he said, expressing confidence that rates could improve further with continued support from Bank of Ghana.
Credit Expansion and Currency Strength
Credit to the private sector expanded by GHS17.1 billion in 2025 alone, signaling renewed confidence among banks and borrowers. Dr Forson said further growth is expected in 2026 as stability deepens and risk perceptions improve.
The Ghana cedi has also staged a strong recovery. By the end of 2025, it had appreciated by 40.7 percent against the US dollar, 30.9 percent against the British pound, and 24 percent against the euro. The stronger currency has helped moderate imported inflation and reduce costs for firms reliant on foreign inputs.
Ghana’s external buffers have strengthened markedly. The current account recorded a surplus of US$9.1 billion in December 2025, up from US$1.5 billion a year earlier. Gross international reserves reached US$13.8 billion, covering 5.7 months of imports.
On the fiscal front, the primary balance on a commitment basis improved to a surplus of 2.6 percent of GDP, exceeding the 1.5 percent target. Public debt declined by GHS82.1 billion, falling from GHS726.7 billion or 61.8 percent of GDP in December 2024 to GHS641 billion or 45.3 percent of GDP by December 2025.
Dr Forson said the size of Ghana’s economy has crossed the US$100 billion mark, rising from below US$80 billion at the start of the administration and projected to reach US$114 billion by 2025. This would make Ghana the seventh-largest economy in Africa.
With scale, stability, and access to cheaper credit improving, the Finance Minister said expectations have shifted. The private sector, he argued, can leverage growth to support transformation while easing the cost of living.
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