Ghana's financial predicament has presented Mahama with sobering news just two days after taking office as president. The International Monetary Fund (IMF) reports that, in terms of concessional lending, Ghana is now the second most indebted nation in Africa. With a staggering debt of $2.194 billion as of October 31, 2024, Ghana represents 17% of all African borrowing from the IMF.



The Democratic Republic of Congo was the largest borrower, with $2.256 billion in debt, according to the IMF's most recent quarterly financial report. Zambia came in third with $1.272 billion in debt.


Ghana is now going through a political change and dealing with a severe economic environment, so this disclosure comes at a terrible moment. Mahama, who recently took office, has inherited a financial problem that will need to be handled carefully. The difficult issue of managing Ghana's growing debt and providing the people with basic amenities is what he faces as he establishes his administration.

This makes it even more important to cut back on borrowing and figure out how to pay off the outstanding debt. The necessity for the government to put policies in place that shield taxpayers from additional burdens—such as higher taxes—to fulfill the nation's financial commitments is becoming more pressing.


This troubling development presents a major challenge for the new president, who must now balance governance with the country’s pressing economic issues. The coming months will be crucial in determining how Mahama’s administration handles these financial hurdles.