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Ghana Finance Chief Looks at Tax Base to Lessen Debt Risk - BLOOMBERG
By Ekow Dontoh , Nejra Cehic , and Manus Cranny
- West African nation sold $3 billlion in Eurobonds this week
- Reform of tax authority beginning to bear fruit: Ofori-Atta
Ken Ofori-Atta
Photographer: Simon Dawson/Bloomberg
Ghana’s efforts to raise domestic revenue are beginning to bear fruit and will help the country to be less dependent on debt, Finance Minister Ken Ofori-Atta said a day after the nation sold $3 billion in Eurobonds.
West Africa’s second-biggest economy received about $15 billion in offers for the debt issuance that included a tranche of sub-Saharan Africa’s longest-yet Eurobond with an average life of 40 years. The sale would increase Ghana’s debt burden, which the International Monetary Fund estimated was 63% of gross domestic product at the end of 2019. The lender has warned that the country is at high risk of distress.
