Audio By Carbonatix
Despite marked improvements, the energy sector shortfall persists, the International Monetary Fund has disclosed in its Staff Report on Ghana.
In 2025, the energy sector shortfall was over US$500 million. According to the IMF, this was assumed by the government, either through legacy debt payments or fuel purchases.
While this is significantly below the budgeted annual shortfall for 2025 (US$1.7 billion), the IMF wants more to be done to restore ECG to financial sustainability and reduce fiscal risks in the sector.
To this effect, the IMF said the 2026 Budget includes GH¢15 billion (US$1.1 billion) to cover the projected energy sector shortfall, in addition to the agreed payments on legacy debt.
“The smaller budgeted shortfall is justified by the 2025 outturn, as well as the expected reduction in power generation costs from renegotiated PPAs and projected decreased reliance on costly liquid fuels”, it explained.

In 2026, the IMF projects an energy sector shortfall of US$1.103 billion. This comprises of US$925 million power sector shortfall and US$178 million gas sector shortfall.
Revenue to be collected is projected at US$2.607 billion whilst generation costs is estimated at US$3.53 billion.
Out of the generation costs, US$786 million will come from operating expenditures, US$918 million as other fuel payments, US$270 as liquid fuel payment, US$478 million as capital expenditure and US$165 million as debt.
Latest Stories
-
Karaga MP donates 4,000 gallons of fuel to boost livelihoods in New Year outreach
4 hours -
GIPC CEO engages European Parliament delegation on Ghana’s investment reforms
4 hours -
Oppong Nkrumah, 5 others didn’t accept campaign support from Bryan Acheampong – Pius Hadzide backtracks
4 hours -
BoG rejects market speculation, emphasises data-driven policies
5 hours -
BoG targets consolidation, discipline in 2026 policy direction
5 hours -
GJA-Ashanti commends EPA’s continuous engagement with journalists who were involved in accident
5 hours -
Wenchi needs development, help us – Chiefs to Aseidu Nketia
5 hours -
EPA boss encourages journalists not to relent in their support to fight galamsey
6 hours -
Domestic Gold Purchasing Programme helped Ghana’s economy during difficult period – IMF
6 hours -
Ike City Group of Companies touches hearts at Dzorwulu Special School with compasionate donation
6 hours -
Vehicle exhaust pipes on the left create about 40% more pollution on the road than those on the right – Study
6 hours -
My Response to Dr Bryan Acheampong: Facts must prevail
6 hours -
U.S. and Ghana Armed Forces strengthen medical readiness at SETAF-AF Best Medic Competition
7 hours -
Earlier passage of BoG’s Amendment Bill could have prevented haircuts – Dr. Asiama
7 hours -
Economic stability gains were hard-won through discipline and institutional effort – BoG Governor
8 hours
