Public debt stock up by 39.8 percent

Ghana public debt stock has increased by 39.8 percent over the 12 month period ended June 2013. The figures from the Central Bank show that cumulatively, the stock of total public debt stood at GH¢39,053.3 million representing 43.9% of Gross Domestic Product (GDP) at the end of June 2013.

This represents an increase of 39.8 per cent over the GH¢27,942.6 million recorded at the end of June 2012. Of the total public debt, domestic debt constituted 53.4 per cent and external debt 46.6 per cent.

The domestic debt stock at end of June 2013 was GH¢20,863.4 million representing 23.5% of GDP, indicating a growth of 54.4 per cent over the end-June 2012 stock of GH¢13,508.5 million which was 18.5% of GDP. From the beginning of the year to the end of June 2013 the domestic debt stock rose by 12.6 per cent.

Of the end-June domestic debt stock, 28.4 per cent was in short-term instruments (39.6% in June 12), 57.8 per cent in medium-term instruments (46.4% in June 12), and 13.8 per cent in long-term instruments (14.0% in June 12).

The stock of external debt went up by 21.3 per cent from US$7,704.3 million at the end of June 2012 to US$9,343.0 million as at the end of June 2013.

For government’s budgetary operations, the overall budget balance on cash basis including divestiture and discrepancy showed a deficit of GH¢3,996.6 million (4.5% of GDP) which is almost the same as the budgeted target of GH¢3,996.3 million (4.5% of GDP).

This compares to an overall budget balance of a deficit of GH¢3,718.5 million (5.2% of GDP) during the corresponding period in 2012. The deficit was financed mainly from domestic sources (75.9%) through the issuance of domestic bonds and bills. The net domestic financing of the budget of GH¢3,033.0 million (3.4% of GDP) was 5.3 per cent lower than programmed.