President John Mahama said Ghana’s improving economic performance needs to translate into lower borrowing costs and cheaper business operations, while warning that the war involving the U.S. and Iran is adding uncertainty to the global economy.
Speaking at the U.S.-Ghana Presidential Roundtable in New York, Mr. Mahama said Ghana’s economy expanded 6% in 2025 and grew 6.4% year over year in the first quarter of 2026. Inflation has also fallen sharply, though it has recently risen to 5%, he said.
The conflict in Iran, however, threatens to complicate the global economic environment, Mr. Mahama said. He called for an early end to the fighting, noting that the economic effects of the conflict are being felt beyond the region.
“Everybody knows what’s happening in Iran,” Mr. Mahama said. “We’re praying that that conflict comes to an end early. I’m sure that the U.S. itself is feeling the pinch of that war.”
For Ghana, the challenge is turning macroeconomic stability into more favorable conditions for companies and investors.
“Stability is not an end in itself,” Mr. Mahama said. “We start stability so businesses can plan with greater certainty. Investors can decide with greater confidence and productive enterprises can grow.”
He said the next phase of Ghana’s economic program should focus on reducing the cost of capital and expanding access to longer-term financing. Lower interest rates, he said, are needed to help businesses increase production and create jobs.
“The gains we have made must now begin to show in the cost of doing business,” Mr. Mahama said. “Interest rates must come down. Long-term financing must become more available.”
He also called for increased investment in agriculture, manufacturing, energy, infrastructure and technology, sectors he identified as critical to expanding productive capacity and employment.
The comments underscore the challenge facing Ghana as it seeks to build on recent improvements in economic growth and inflation while navigating external shocks that can raise financing, energy and operating costs for businesses.
Source:TheDotNews