IMF team visits Ghana to continue economic aid deliberations

An International Monetary Fund (IMF) staff team, led by Stéphane Roudet, Mission Chief for Ghana, is expected to visit Accra from September 26 – October 7 to continue discussions with the government over the government’s Enhanced Domestic Programme that could be supported by an IMF lending arrangement.

The IMF staff will also further engage with other stakeholders from different sectors during the visit.

The government announced a decision to go back to the IMF on July 2022, and discussions have progressed, including a closed-door meeting by President Nana Addo Dankwa Akufo-Addo, and the IMF boss Kristalina Georgieva on Monday, 5th September 2022, on the sidelines of the Africa Adaptation Summit, in Rotterdam, Netherlands,

Some critics have argued that an economic programme is long overdue since the Ghanaian economy has lost credibility following the downgrade of its credit rating by all three rating agencies (Fitch, Moody’s and S&P).

This has denied the country access to the international capital market, whilst inflation and the local currency have been impacted significantly.

Meanwhile, the IMF boss has hinted that the deal, which includes a $3bn support, could be finalised by the end of the year.

“We understand the urgency, and we will move as quickly as possible,” She said. “We have started very constructive discussions already, and to the people of Ghana, like everybody on this planet, you have been hurt by exogenous shocks”.

“First the pandemic, then Russia’s war in Ukraine. We need to realize that it is not because of bad policies in the country but because of this combination of shocks, and, therefore, we have to support Ghana”, she added.

President Akufo-Addo believes the collaboration with (IMF) will “repair, in the short run, our public finances, which have taken a severe hit in very recent times”.

He said the government will continue “to work on the medium to long-term structural changes that are at the heart of our goal of creating a Ghana Beyond Aid, that is building a resilient, robust Ghanaian economy.”