Introduction Macroeconomic Insights Global Political Landscape Ghana’s Fiscal Position Technology & Cybersecurity Banking Industry Figure 18: Capital Expenditure and Interest Payments in 2026 Source: Ghana’s 2026 Budget Statement about 60% of government financing would be supported by commercial banks, indicating that significant part of domestic financing of CAPEX is likely to create double-edged sword for the economy. On the one hand, when government borrows locally to fund capital expenditure, it boosts banks’ expected interest income and with some risk posed to balance- sheet stability given the potential for significant NPLs exposure as from previous years.
On the other hand, this same process crowds out private sector credit, as banks reallocate funds away from businesses toward sovereign paper, pushing up lending rates and weakening private investment. This cautions that, while CAPEX can be growth-enhancing, excessive reliance on domestic financing without careful structuring risks may deprive the private sector of adequate credit for growth and expansion. However, interest payments remain a critical pressure point in the fiscal Figure 19: Sources of Capital Expenditure Financing Source: Ghana’s 2026 Budget Statement Ghana Association of Banks Ghana Association of Banks 2026 Industry Outlook 2026 Industry Outlook 17