Finance Minister Dr. Mohammed Amin Adam has announced that Ghana is expecting about $2.9 billion from multilateral, bilateral, and private sector financial institutions by the end of 2024 to help stabilize the struggling cedi.

This amount includes the current IMF third tranche of $360 million, which is the first of six expected inflows.

During a joint press briefing on Monday, July 1, Dr. Amin Adam emphasized that these expected foreign exchange injections are part of a broader strategy to stabilize the cedi against major trading currencies.

He revealed that, “The cedi has been under pressure in recent times; however, the exchange rate has largely stabilized since 2023. Year-to-date depreciation of the cedi against the US$ is 18.4% compared to 22.0% recorded in the same period in 2023.”

The Finance Minister outlined key government measures to address the recent depreciation, which include a tight monetary policy by the Bank of Ghana, deepening the ongoing fiscal consolidation program, intensifying the gold-for-oil program and the BoG’s gold-for-reserves program, and anticipated forex inflows from various institutions estimated that $2.87 billion.

Anticipated forex inflows from disbursements from Ghana's multilateral and bilateral institutions as well as private sector financial institutions.

Regarding the expected forex inflows, Dr. Amin Adam stated that the IMF third tranche of $360 million “will be disbursed to Ghana by close of business today, Monday, 1st July 2024, following the IMF Executive Board approval of the 2nd Review last Friday.”

• Also read: IMF applauds Ghana’s resilience as reason for third tranche disbursement

Additionally, the government is looking forward to the IMF fourth tranche of $360 million, “expected in Q4 of 2024 after the IMF Executive Board approves the 3rd Review.” This means that by the end of the year, Ghanaian authorities expect about $750 million from the Fund upon successful program reviews.

Beyond the IMF, Ghana anticipates receiving the World Bank DP02 tranche of $300 million in Q3 of 2024, disbursements from bilateral institutions including the World Bank GARID Project ($150 million), an EBID facility of $200 million for SME support, and proceeds from the 2024/2025 Cocobod syndication of up to $1.5 billion in Q4 of 2024.

About the writer:

Isaac Kofi Agyei is a Data & Research Analyst/Journalist at JoyNews based in Accra, where he covers mostly finance, economics, banking, and politics across Ghana and West Africa, from detailed analytical reports on all key issues to debt crises to IMF programmes. He also serves as the data and research correspondent for SBM Intelligence, an Africa-focused market/security leader in strategic research, providing actionable analyses of West Africa’s socio-political and economic landscape. With his solid academic background in economics and statistics and additional training from credible institutions such as the UNDP, Afrobarometr, Ghana Statistical Service, and a host of others, Isaac has honed his skills in effective data storytelling, reporting, and analysis.