Finance Minister, Ken Ofori-Atta
• Two ratings agencies have affirmed Ghana’s credits standings
• Moody’s rated Ghana standings at B3 while Standard & Poor rated it at B-
• Both agencies have also raised some concerns about Ghana’s debt affordability and levels
The Ministry of Finance has said two international credit ratings agencies, Moody’s Investor Services and Standard & Poor (S&P) has affirmed Ghana’s credit rating at B3 and B- respectively.
A statement issued by the ministry on September 14, 2021 said the two agencies have also maintained Ghana’s economic outlook.
“In making their decision, the credit rating agencies considered Ghana’s improving growth prospects, resilient external sector performance, and continued access to the capital markets [domestic and international] as essential factors in maintaining the rating and the outlook. Notably, the two rating agencies recognized the efforts of Government to “build back better” through the innovative Ghana CARES (Obaatanpa) Programme,” the statement explained.
“Furthermore, both credit rating agencies (Moody’s and S&P) acknowledge that Ghana’s economy is recovering from the effects of the pandemic faster than its peers. Hence, we should focus more on growth and the implementation of the Ghana CARES Programme,” it added.
The statement further said S&P’s decision to maintain Ghana’s credit rating was based on growing economic prospects and the relatively transparent and responsive political institutions of government.
It explained that Ghana’s stable economic outlook balances risks from fiscal and external financing pressures against the country’s medium-term economic growth prospects.
Though the two agencies have indicated growth prospects for Ghana, it, however, raised concerns about Ghana’s debt affordability levels which is currently high.
Read the full statement below: