Ghana’s economy is doing quite well now – IMF Boss

The Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva, has disclosed that the Ghanaian economy is bouncing back slowly.

According to her, the outlook on the economy looks promising and Ghana might receive the second tranche of the IMF bailout in November.

In an interview, Georgieva also discussed the progress made by Zambia and Ghana, both of which faced debt defaults but are now making strides under their respective IMF programs.

Georgieva expressed her strong hope for the disbursement of a $600 million second tranche of IMF funds, slated for November, underscoring its significance in fostering confidence in Ghana’s economic stability.

“Ghana is doing actually quite well. You have seen that their position has improved over the last month, and the economy is in a much better place. I would very much hope that we can have the disbursement,” she said referring to a $600 million tranche of IMF money.

Ghana recently received a $3 billion IMF support package. The country is presently undergoing its inaugural programme review, with the review’s conclusion scheduled for November.

“Ghana will have access to about US$600 million in financing once the review is approved by IMF Management and formally completed by the IMF Executive Board. To ensure timely completion of the review, the country needs official creditors to quickly reach agreement on a debt treatment in line with the financing assurances they provided in May 2023.

“The authorities’ strong policy and reform commitment under the program is bearing fruit, and signs of economic stabilization are emerging. Growth in 2023 has proven more resilient than initially envisaged, inflation has declined, the fiscal and external positions have improved, and the exchange rate has stabilized.”

IMF staff held meetings with Vice President Bawumia, Finance Minister Ofori-Atta, and Bank of Ghana Governor Addison, and their teams, as well as representatives from various government agencies. The IMF team also engaged with other stakeholders. Staff would like to express their gratitude to the Ghanaian authorities and other counterparts for their continued open and constructive engagement.

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