May 8 (Reuters) - Global ratings agency Fitch upgraded Ghana's sovereign rating to 'B' from 'B-' on Friday, citing strong fiscal consolidation efforts that resulted in robust real GDP growth.
Easing inflation and headway on debt restructuring have helped lift the gold-, oil- and cocoa-producing nation after years of economic distress.
The agency said that the rating action was also supported by a marked increase in international reserves that lowers external liquidity risks.
Fitch's move follows similar actions by peers Moody's and S&P, which also took positive actions on Ghana's sovereign citing its strong fiscal position.
The West African nation that has shown sustained economic resilience, with inflation easing for 15 consecutive months, however saw inflation ticking higher up in April, its first increase since December 2024.
Government statistician Alhassan Iddrisu said that global shocks and regional disruptions had started to push food and fuel prices up again, but those pressures are not yet fully reflected across all items.
Fitch in its report added that it expects Ghana's public debt to continue to decline to 46% of GDP in 2027 and the nation's real GDP to remain solid through 2027.
The agency held a 'positive' outlook on the country's sovereign rating, reflecting expectations of ongoing fiscal prudence supported by enhanced public financial management.
(Reporting by Sri Hari N S in Bengaluru; Editing by Shailesh Kuber)
