The Ministry of Finance announced that the government, under President John Dramani Mahama, paid a total of approximately $1.47 billion in 2025 to clear longstanding legacy debts in the energy sector.

This major payment has successfully restored the World Bank’s Partial Risk Guarantee (valued at around $500 million), which had been depleted under the previous administration.

The guarantee, originally established to support the Sankofa Gas Project (Offshore Cape Three Points field), was critical for attracting nearly $8 billion in private investment for gas supplies and power generation.

Key Breakdown of the Payments

• $597.15 million (including interest) fully repaid to the World Bank, reinstating the guarantee in full and reaffirming Ghana’s credibility as a reliable partner globally.
• Around $480 million to settle outstanding gas invoices with suppliers like ENI and Vitol.
• About $393 million in legacy arrears to Independent Power Producers (IPPs), including companies such as Karpowership and Cenpower.

This settlement addresses chronic issues that contributed to power supply instability (often referred to as “dumsor”) and threatened fiscal stability. By clearing these obligations, the government aims to stabilize electricity generation, lower long-term power costs, reduce interest burdens, and boost investor confidence in Ghana’s energy sector.

Finance Minister Cassiel Ato Forson described the energy sector as fragile when the current administration took office, and this decisive action marks a “turnaround” for reliable power and economic growth. Independent Power Generators (IPGs) have reportedly commended the move as a major step toward sector stability.

Ghana’s former Finance Minister, Kenneth Nana Yaw Ofori-Atta, has been detained by U.S. Immigration and Customs Enforcement (ICE). This development occurred on January 6, 2026, with his lawyers confirming the detention the following day (January 7). He is currently held at the Caroline Detention Facility in Virginia, and a court hearing is reportedly scheduled for January 20, 2026.

Letter of detention

Key Details

• Reason for Detention: Reports indicate issues related to his immigration status, including overstaying his visa or a revoked visa. Some sources (including Ghana’s Deputy Attorney General) clarify that his U.S. visa was revoked in mid-2025 (around June/July), with a deadline to leave by late November 2025. He had been in the U.S. since January 2025, initially for medical treatment (including prostate cancer surgery), and had applied to regularize or extend his stay.

• His Lawyers’ Statement: They describe him as cooperating fully with authorities and expect the matter to be resolved “expeditiously.” He was reportedly arrested during a targeted operation while leaving a luxury apartment in Washington, D.C.

• Ghanaian Government Involvement: Ofori-Atta has been a fugitive in Ghana since February 2025, declared wanted by the Office of the Special Prosecutor (OSP) on multiple corruption-related charges (including conspiracy to commit procurement fraud, causing financial loss to the state, and involvement in scandals like the SML case). He faces dozens of counts and was placed on an Interpol Red Notice. Ghana formally requested his extradition from the U.S. in late 2025. While the current detention is immigration-related, some officials suggest it ties into cooperation on the extradition process.

• Ghana Embassy Response: The Embassy in Washington, D.C., confirmed the detention, requested consular access, and is engaging U.S. authorities to ensure his rights are respected. However, Ofori-Atta declined to meet consular officials without his lawyers present.

This case has sparked significant discussion in Ghana, with reactions ranging from calls for swift extradition and justice to speculation about his future (e.g., possible deportation, asylum attempts on health grounds, or resolution of his U.S. status). The situation remains ongoing, with his legal team working to address the immigration issues.