S&P downgrades Ghana to B-

Standard & Poor's said it lowered its long-term foreign and local currency sovereign credit ratings on Ghana to B- from B.

The B short-term sovereign credit ratings were affirmed.

The outlook is stable.

Concurrently, the agency revised downward its transfer and convertibility assessment on Ghana to B from B+.

S&P said the downgrade reflects the risks inherent in financing Ghana's wide fiscal and current account deficits. The agency sees the government's fiscal position as structurally weak, partly due to the sharp increase in public sector wages in recent years. S&P also believes that the government will find agreeing and implementing a conditional lending program from official lenders difficult.

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