{"id":102537,"date":"2025-11-09T03:33:39","date_gmt":"2025-11-09T03:33:39","guid":{"rendered":"https:\/\/sotnews.agency\/?p=102537"},"modified":"2025-11-09T03:33:39","modified_gmt":"2025-11-09T03:33:39","slug":"sp-upgrades-ghanas-credit-rating-cites-11-billion-reserves-and-fiscal-discipline","status":"publish","type":"post","link":"https:\/\/sotnews.agency\/?p=102537","title":{"rendered":"
S&P upgrades Ghana\u2019s credit rating, cites $11 billion reserves and fiscal discipline<\/div>"},"content":{"rendered":"
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\n \t<\/i> Read Time:<\/span>1 Minute, 41 Second <\/div>\n\n <\/div>
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S&P Global Ratings has upgraded Ghana\u2019s sovereign credit rating from CCC+\/C to B-\/B, marking a significant milestone in the country\u2019s recovery nearly three years after defaulting on its international debt in 2022. <\/p>\n

The upgrade, announced on November 7, 2025, reflects the agency\u2019s renewed confidence in Ghana\u2019s economic trajectory.<\/p>\n

Key Drivers of the Upgrade:<\/strong><\/p>\n

The agency cited several factors for the two-notch upgrade, including:<\/p>\n

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  1. Surging Reserves:<\/strong> Foreign currency reserves have soared to nearly $11 billion (or ~9% of GDP) as of late 2025, up from $6.8 billion at the end of 2024.<\/li>\n
  2. Strong Exports:<\/strong> Higher volumes and favourable prices for gold and cocoa\u2014which account for over 60% of goods exports\u2014have bolstered the Cedi, which has appreciated by about 30% against the US dollar this year.<\/li>\n
  3. Fiscal Reforms:<\/strong> The new administration has introduced structural reforms, including a legal requirement for a primary surplus of 1.5% of GDP annually and a long-term plan to reduce public debt to 45% of GDP by 2034.<\/li>\n<\/ol>\n

    Impact of the Upgrade:<\/strong><\/p>\n

    The upgrade to B-\/B with a stable outlook signals to the international community that Ghana has substantially reduced its near-term risk of default. This improvement is crucial as it:<\/p>\n