Gov’t fully repays $500m World Bank guarantee, restores Ghana’s global credibility
President John Dramani Mahama has announced that Ghana has fully repaid and restored the entire $500 million World Bank guarantee, marking what he described as a major milestone in rebuilding confidence in the country’s energy sector and international reputation.
Delivering the 2026 State of the Nation Address in Parliament, President Mahama said the repayment, including accrued interest, was completed as of December 31, 2025.
“Mr. Speaker, I am pleased to announce that as of December 31, 2025, Government has fully repaid and restored the entire $500 million World Bank guarantee, including interest,” he declared to applause from the House.
According to the President, the move has reinstated the facility in full and reaffirmed Ghana’s standing as a credible and reliable partner in the global financial and energy markets.
“This has reinstated the facility in full and reaffirmed Ghana’s standing as a credible and reliable partner on the global stage,” he stressed.
The guarantee, which was critical in supporting Ghana’s energy sector obligations, had come under strain in recent years amid mounting debts and payment arrears to power producers and gas suppliers.
President Mahama noted that the restoration of the guarantee forms part of broader reforms aimed at stabilising the energy sector, clearing legacy debts, and ensuring fiscal discipline in the management of power purchase agreements and gas supply contracts.
He told Parliament that government is now current on its gas payment obligations after settling about $500 million in outstanding invoices owed to ENI and Vitol between January and December 2025.
“Ghana is now fully up to date with its gas consumption obligations to our partners,” the President said, adding that adequate budgetary provisions have been made in 2026 to ensure timely payment for all gas consumed going forward.
The President emphasised that these measures are designed to restore investor confidence, improve energy security and guarantee reliable electricity supply for households and industry.
“Mr. Speaker, let me assure our countrymen and women that the energy sector reforms continue unabated. I remain fully committed to turning around the sector, strengthening its foundations and ensuring reliable, affordable and sustainable energy security for our nation,” he stated.
The full repayment of the World Bank guarantee is expected to strengthen Ghana’s creditworthiness and enhance its leverage in future negotiations with international financial institutions and energy investors.
