The International Monetary Fund (IMF) has reaffirmed its commitment to support Ghana in these challenging times, consistent with the Fund’s policies.

This is coming after the Mission Team to Ghana concluded its discussions with the Ghanaian authorities and other stakeholders on a potential economic programme for the country.

The team said it had constructive discussions on policies aimed at restoring macroeconomic stability and laying the foundation for stronger and more inclusive growth.

Key areas of focus included ensuring public finance sustainability while protecting the vulnerable, bolstering the credibility of monetary and exchange rate policies to reduce inflation and rebuild external buffers, preserving financial sector stability, and steps to encourage private investment and growth.

“We had constructive discussions on policies aimed at restoring macroeconomic stability and laying the foundation for stronger and more inclusive growth. Key areas of focus included ensuring public finance sustainability while protecting the vulnerable, bolstering the credibility of monetary and exchange rate policies to reduce inflation and rebuild external buffers, preserving financial sector stability, and steps to encourage private investment and growth, including by improving governance, transparency, and public sector efficiency”.

The staff team led by Stéphane Roudet visited Ghana from September 26-October 7 to continue discussions on policies that could be supported by an IMF arrangement.

Mission team met President Akufo-Addo, others

The IMF staff met with President Akufo Addo, Vice President Bawumia, Finance Minister Ken Ofori-Atta, and Governor of the Bank of Ghana Dr. Ernest Addison, and their teams.

The IMF team also met with the Parliament’s Finance Committee, as well as representatives from various government agencies, the Trades Union Congress, the private sector, civil society organisations, and development partners.

IMF mission team to return to Washington, DC

The team said it will return to Washington, D.C. to advance its technical work.

This includes making further progress on assessing Ghana’s debt sustainability, adding “the discussions with the authorities will also continue in the weeks ahead, including during the upcoming Annual Meetings that will be convened at IMF headquarters”.

“We reaffirm our commitment to support Ghana in these challenging times, consistent with the IMF’s policies.

“Staff express their gratitude to the authorities, private sector, civil society, development partners and other stakeholders in Ghana for their constructive engagement and support during this mission.”

Ghana returned to IMF for 19th time

Ghana announced a U-turn to the IMF for the 19th time in July 2022, following rising inflation and interest rates and rapid depreciation of the cedi, which the government had no answer to.

The government had ruled out the option of an IMF programme, settling for a homegrown economic recovery plan that included the introduction of a 1.5% tax on electronic financial transactions (E-levy) which sparked widespread protests.

The IMF support is to strengthen the country’s balance of payment which has come under threat because of the economic imbalances.