Ghana 'B-/B' Ratings Affirmed; Outlook Remains Positive

OVERVIEW We forecast robust real economic growth for Ghana over the period to 2021, mainly as a result of increasing oil production. We expect the government will take advantage of this growth to implement corrective fiscal measures, since Ghana's public finances remain very weak. We are therefore affirming our 'B-/B' long- and short-term ratings on Ghana. The outlook remains positive. RATING ACTION On March 23, 2018, S&P Global Ratings affirmed its 'B-' long-term and 'B' short-term foreign and local currency sovereign ratings on Ghana. The outlook on the long-term rating remains positive. OUTLOOK The positive outlook reflects the potential for an upgrade over the next year if Ghana implements and adheres to measures that materially alleviate pressure on public finances,

...OVERVIEW + We forecast robust real economic growth for Ghana over the period to 2021, mainly as a result of increasing oil production. + We expect the government will take advantage of this growth to implement corrective fiscal measures, since Ghana's public finances remain very weak. + We are therefore affirming our 'B-/B' long- and short-term ratings on Ghana. + The outlook remains positive. RATING ACTION On March 23, 2018, S&P Global Ratings affirmed its 'B-' long-term and 'B' short-term foreign and local currency sovereign ratings on Ghana. The outlook on the long-term rating remains positive. OUTLOOK The positive outlook reflects the potential for an upgrade over the next year if Ghana implements and adheres to measures that materially alleviate pressure on public finances, and if monetary policy transmission significantly improves, for example, if improvements in banking-system asset quality lead to credit growth commensurate with official policy rates....

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