The government has outlined plans to raise GH¢15.231 billion from the domestic market between March and June 2026 through a mix of treasury bills and bonds.
This is expected to help the government to finance its budget while managing existing debt obligations in a more structured and predictable manner.
According to an issuance calendar released by the Bank of Ghana (BoG), the planned borrowing will be executed through the regular sale of 91-day, 182-day and 364-day treasury bills, alongside a renewed push into medium- to long-term bonds.
This followed the expiration of restrictions under the Domestic Debt Exchange Programme (DDEP).
According to the calendar, the short-term instruments will be issued weekly through the primary auction system, with settlement occurring one working day after each transaction, while bonds will settle within two working days.
The strategy reflects a calibrated approach to balancing immediate financing needs with longer-term debt sustainability objectives.
The government has indicated that the funds will be used to support implementation of the 2026 budget, while also rolling over maturing obligations, a critical component of Ghana’s post-restructuring debt management framework.
Beyond the immediate financing purpose, the issuance programme signals a deliberate shift in the country’s debt strategy.
Government is also seeking to reduce heavy reliance on short-term treasury bills, which have dominated domestic borrowing in recent years—and instead deepen the market for medium- to long-term bonds.
This transition is expected to play a key role in reshaping Ghana’s debt profile.
By lengthening the maturity structure of public debt, government aims to ease refinancing pressures, reduce rollover risks and create a more stable repayment horizon.
Challenges of short-term instruments
In recent years, the concentration of short-term instruments has exposed the country to frequent refinancing cycles, often at high interest costs.
The move to rebuild benchmark bonds is also significant for the broader financial market
A well-functioning bond market provides reliable pricing signals, improves liquidity, and enhances investor confidence—factors that are essential for attracting both domestic and foreign participation.
The BoG has noted that the issuance calendar is designed to provide clarity and guidance to market participants, enabling investors to plan and allocate capital more efficiently.
This emphasis on transparency marks a shift from previous periods of uncertainty, particularly during the height of Ghana’s debt restructuring.
From a macroeconomic perspective, the borrowing programme presents both opportunities and risks.
On one hand, improved predictability and a stronger bond market could help lower borrowing costs over time, especially if investor confidence continues to recover.
On the other hand, sustained domestic borrowing at elevated interest rates could crowd out private sector access to credit, potentially slowing business expansion and economic growth.
For the wider economy, the success of the programme will depend heavily on how effectively the funds are deployed.
If channeled into productive sectors such as infrastructure, agriculture and industry, the borrowed resources could stimulate growth, generate employment and enhance revenue mobilisation—ultimately strengthening the country’s capacity to service its debt.
However, if borrowing continues to finance recurrent expenditure without corresponding economic returns, it could place additional strain on Ghana’s fiscal position, undermining recent gains made under the debt restructuring programme.
The government insists that the issuance strategy is aligned with the Net Domestic Financing targets outlined in the 2026 Budget Statement and Economic Policy, and forms part of a broader effort to restore discipline and credibility in public debt management.
