World Bank backs government as reforms gain traction

The World Bank has expressed growing confidence in Ghana’s economic recovery, endorsing the country’s reform trajectory as it shifts from crisis stabilisation to a more demanding phase of growth and fiscal consolidation.

At high-level meetings in Washington D.C., senior World Bank officials pointed to the country’s improving macroeconomic indicators and policy discipline as evidence that reforms are gaining traction, positioning the country for sustained engagement with development partners and potentially improved access to external financing.

Regional Vice President for Western and Central Africa, Ousmane Diagana, described the turnaround as impressive and signalling the Bank’s readiness to deepen support.

The endorsement comes at a crucial time for the country, which is emerging from a period of acute macroeconomic stress marked by elevated inflation, currency volatility and debt restructuring. Government officials say 2025 marked a turning point, with stabilisation measures beginning to yield measurable outcomes.

Finance Minister, Dr Cassiel Ato Forson, speaking on behalf of government, said the economy is now on a firmer footing, with policy efforts shifting toward consolidating gains and unlocking growth.

He cited a sharp decline in inflation – from about 23 percent to 3.2 percent – alongside improved exchange rate stability and continued investment in social programmes as key markers of progress.

World Bank executives noted that these developments are more than cyclical improvements, as recent performance reflect a sustained policy commitment that has begun to restore macroeconomic stability and credibility.

Seynabou Sakho, Regional Practice Director for Prosperity (Macroeconomics, Trade and Investment), stated said Ghana’s fiscal reforms – particularly in debt restructuring and macroeconomic management – are increasingly being seen as a reference point within the region, signalling broader relevance of the country’s policy approach.

Trina Hague, Regional Practice Director for People (Education, Health and Social Protection), highlighted government’s efforts to sustain social protection programmes despite fiscal tightening – describing it as critical in preserving social stability during adjustment.

Government officials have outlined a next-phase agenda centred on agriculture, energy, education and infrastructure, sectors viewed as essential to driving inclusive and durable growth.

The strategy aims to shift the economy from macroeconomic repair toward productivity expansion and job creation.