Nearly $1 billion is taken out of Ghana by foreign investors.

According to Bank of Ghana (BoG) data, short-term foreign investors withdrew $938.2 million from Ghana in December 2025, the biggest monthly withdrawal in two years.

Portfolio investors who trade government bonds and Treasury bills are becoming more cautious, as evidenced by the December outflow, which quadrupled the $468.7 million exit noted in September 2025. Ghana’s overall financial account grew from $321.9 million in December 2024 to $5.09 billion in December 2025, or 4.5% of GDP, notwithstanding this setback.

Foreign acquisitions of local securities are tracked by portfolio investment liabilities, which started out positively in early 2024 before going negative. There was a meager $6.2 million influx in March 2024. The amount changed to a $24.2 million outflow by June 2024. Through September 2024 at $10.9 million and December 2024 at $26.5 million, withdrawals remained largely under control.

Through 2025, the trend picked up significant speed. Outflows totaled $144.6 million in March. Withdrawals totaled $255.8 million in June. December’s record $938.2 million withdrawal—the biggest quarterly outflow recorded in recent Bank of Ghana records—came after September’s $468.7 million departure.

Portfolio flows fluctuated significantly during this two-year period. By December 2025, approximately $1 billion had left the country from what had begun as a little $6.2 million inflow in March 2024. This change indicates increased anxiety among short-term market players.

Positive changes in Ghana’s fixed income market stand in stark contrast to the retreat. Government bonds and Treasury bills had strong trading activity in December 2025, with daily volumes frequently surpassing 1.9 billion cedis. After leaving Ghana’s debt market during the financial crisis, foreign institutional investors made a comeback in the second half of 2025.

Following interest rate reduction by the US Federal Reserve, global fund managers upped their allocations to emerging markets, which initially stimulated portfolio inflows. Investors looking for higher returns than those offered by developed markets were drawn to Ghana because of its frontier market position and better sovereign credit profile.

Ghana finished 2025 with a provisional balance of payments surplus of $3.98 billion, according to the central bank’s most recent monetary policy report. By December 2025, gross overseas reserves had grown to $13.8 billion, or 5.7 months’ worth of import coverage. This was in contrast to the $9.1 billion and 4.1 months of import coverage reported in December 2024.

Compared to $1.5 billion in 2024, the current account reported a provisional surplus of $9.1 billion for 2025. The improvement was fueled by strong gold export profits, more private transfers, and moderation in income and service payments.

From 23.5% in January 2025 to 6.3% in November 2025, inflation dropped to its lowest point since 2021. After declining by 19.2% in 2024, the cedi gained about 40.7% versus the US dollar through 2025.

Compared to $1.5 billion in 2024, the current account reported a provisional surplus of $9.1 billion for 2025. The improvement was fueled by strong gold export profits, more private transfers, and moderation in income and service payments. From 23.5% in January 2025 to 6.3% in November 2025, inflation dropped to its lowest point since 2021. After declining by 19.2% in 2024, the cedi gained about 40.7% versus the US dollar through 2025.

By late 2025, the Bank of Ghana had lowered its benchmark policy rate from 21.5% to 18%, and by January 2026, it had dropped even further to 15.5%. As inflation steadied, government bonds offered appealing real returns at yields ranging from roughly 12% to 16% across various maturities.

Despite being significant, the short-term portfolio fund withdrawal did not cancel out the total inflows into Ghana’s financial system. This implies that foreign investors will continue to provide selective economic support, favoring longer-term commitments over short-term ones.

According to financial sector data, the Domestic Debt Exchange Programme (DDEP) led to a 21% increase in total banking assets in early 2024. Despite non-performing loans remaining high at 18.9% in December 2025, the banking industry remained viable, profitable, and efficient throughout 2025.

Through December 2025, the Ghana Stock Exchange Composite Index closed at about 8,755.59 points, up 79.1%. 2025 was one of the most lucrative years in recent memory, with a market capitalization of over 170 billion cedis. Ghana’s stance between stabilization and restored investor confidence is reflected in these conflicting signals. Even though macroeconomic fundamentals significantly improved through 2025, short-term investment sentiment is still negatively impacted by recollections of the December 2022 debt default.