Introduction

The Joy Business Review 2025 has become a reference point for analysts, investors and policymakers who want to understand the primary financial problems confronting Ghana in the current fiscal year. Published on 18 December 2025 by Life Pulse Daily, the report synthesises data from the Bank of Ghana, the Ministry of Finance, the International Monetary Fund (IMF) and major industry bodies. Its purpose is not only to catalogue challenges such as rising debt, volatile exchange rates and fiscal imbalances, but also to outline the policy responses that have been launched and to offer practical guidance for navigating the evolving macro‑economic landscape.

This article reorganises the original material into a clear, pedagogical structure, optimises it for search engines and preserves every verifiable fact presented in the source. By the end of the piece readers will have a solid grasp of:

• The most pressing financial problems identified in the review.
• How recent policy moves – from the appointment of a new Bank of Ghana governor to the 2026 budget – aim to address those problems.
• What the latest inflation, reserve and external financing figures mean for Ghana’s economic outlook.
• Actionable advice for businesses, investors and citizens.

Key Points

Background

Ghana’s fiscal trajectory in 2025 has been shaped by a combination of domestic reforms and external pressures. The country entered the year with a public debt stock that exceeded 70 % of GDP, a fiscal deficit hovering above 5 % of GDP and a history of double‑digit inflation. The government’s response combined three pillars:

1. Monetary policy tightening – The Bank of Ghana raised its policy rate by 100 basis points in March 2025, moving from 27 % to 28 %. Subsequent meetings trimmed the rate to 18 % by the end of the year, aiming to balance inflation control with credit growth.
2. Fiscal consolidation – The 2025 Mid‑Year Budget Review introduced a revised VAT regime, eliminated the Electronic Levy and re‑prioritised public spending toward high‑impact sectors.
3. External financing – A US$360 million World Bank DPO and continued IMF programme support provided fiscal space and technical assistance.

These measures were designed to address the “primary financial problems” highlighted in the Joy Business Review: excessive debt service, insufficient foreign exchange reserves, and persistent price instability.

Analysis

1. Governance Changes at the Bank of Ghana

Dr Asiama’s tenure introduced a more aggressive stance on interest‑rate management. The initial 100‑basis‑point hike signalled a commitment to curb inflation, while the subsequent reduction to 18 % reflected easing inflationary pressures. This dual‑track approach is relatively unusual and demonstrates the central bank’s flexibility in responding to real‑time data.

2. Fiscal Policy Reforms

The removal of the Electronic Levy was a politically sensitive but economically significant move. By eliminating a tax that had contributed only a modest share of revenue, the government aimed to restore consumer confidence and stimulate private sector activity. The 2026 budget’s job‑creation target of 800 000 positions is intended to translate into tangible reductions in unemployment, especially among youth.

3. Inflation Dynamics

Data from the Ghana Statistical Service show a steady decline in both food and non‑food inflation. Food inflation dropped from 9.5 % (October 2025) to 6.6 % (November 2025), while non‑food inflation fell from 6.9 % to 6.1 % over the same period. The overall CPI increase of 0.9 % month‑on‑month in November 2025 underscores the effectiveness of recent price‑stability measures.

4. International Relations and Financing

The IMF engagement in April 2025 was pivotal. Ghana’s staff‑level agreement signalled that the Fund viewed the country’s reform programme as on track. This perception helped secure the World Bank’s $360 million DPO, which is earmarked for:

• Strengthening fiscal management.
• Enhancing the business environment.
• Supporting structural reforms in energy, agriculture and digital infrastructure.

5. Reserve Adequacy

Gross reserves of US$9.4 billion, covering 4.2 months of imports, place Ghana comfortably above the IMF’s minimum threshold of three months. Adequate reserves reduce the risk of currency depreciation and provide a buffer against external shocks.

6. Sector‑Specific Highlights

One notable development was the projection that the Cocoa Board (COCOBOD) would attract over US$4 billion in inflows before the end of 2025, based on a new financing arrangement aimed at stabilising cocoa farmer incomes. Additionally, the Ghana Chamber of Mines reported that the mining sector generated more than US$40 billion in mineral revenues between 2014 and 2023, underscoring the export sector’s resilience.

Practical Advice for Stakeholders

For Investors

Investors should monitor three leading indicators:

1. The trajectory of the policy rate – a stable or declining rate often precedes renewed credit growth.
2. Reserve levels – sustained adequacy (>3 months of import cover) supports a stable cedi.
3. Fiscal developments – any deviation from the 2026 budget’s deficit targets could signal renewed macro‑risk.

Diversifying exposure across sectors such as renewable energy, agribusiness and digital services can mitigate concentration risk.

For Business Leaders

Companies are advised to:

• Re‑evaluate pricing strategies in line with the observed decline in inflation, which may allow for modest price adjustments without losing competitiveness.
• Strengthen cash‑flow management by taking advantage of lower interest rates to refinance existing debt.
• Explore export opportunities, especially in cocoa, mining and value‑added agricultural products, where global demand remains robust.

For Policymakers and Regulators

Continuous data‑driven assessment is essential. The government should:

1. Maintain transparency in the implementation of the 2026 budget to preserve investor confidence.
2. Monitor debt‑service obligations closely, ensuring that new borrowing is directed toward productive investments that generate revenue.
3. Support the Bank of Ghana’s independence while coordinating monetary and fiscal policies to avoid conflicting signals.

Frequently Asked Questions

What are the primary financial problems highlighted in the Joy Business Review 2025?

The review identifies three core challenges: (1) high public debt relative to GDP, (2) insufficient foreign exchange reserves, and (3) persistent inflationary pressures despite recent declines.

How has the inflation rate changed in 2025?

Year‑on‑year inflation fell from double‑digit levels in early 2025 to 6.3 % in November 2025, marking the 11th consecutive monthly decline and the lowest rate in four years.

What role did the IMF play in Ghana’s 2025 economic strategy?

In April 2025 Ghana’s delegation participated in the IMF‑World Bank Spring Meetings, and a staff‑level agreement was reached on the fourth review of the country’s IMF‑supported programme. This paved the way for additional external financing and reinforced policy credibility.

Is the Bank of Ghana’s policy rate expected to rise again?

As of the latest data (November 2025) the policy rate stands at 18 %. The central bank has indicated that further adjustments will depend on inflation trends and domestic credit conditions. No official announcement of a rate hike has been made.

How does the 2026 budget aim to create jobs?

Finance Minister Dr Cassiel Ato Forson announced that the 2026 budget earmarks policies and incentives projected to generate up to 800 000 new jobs across sectors such as manufacturing, agriculture, ICT and services.

Conclusion

The Joy Business Review 2025 provides a comprehensive snapshot of the primary financial problems confronting Ghana and the strategic responses being implemented. While challenges remain — particularly regarding debt sustainability and fiscal discipline — the convergence of monetary tightening, fiscal reform, and robust external support has begun to stabilise the macro‑economic environment. Inflation is on a downward trajectory, reserves are adequate, and the government’s job‑creation agenda offers a promising pathway toward inclusive growth.

Stakeholders who stay informed about these dynamics and align their strategies with the outlined policy directions will be better positioned to navigate Ghana’s evolving financial landscape.