The latest agreement Ghana made with the International Monetary Fund (IMF) has given President Nana Akufo-Addo reason to believe that the nation’s economy would once again enjoy public confidence.
On Sunday, May 28, 2023, President Akufo-Addo said in a national broadcast that although the IMF accord won’t immediately put an end to the country’s problems, it will put the nation back on the right track.
“Access to the IMF facility will not spell the immediate end of the difficulties we are in presently. But the fact that we’ve been able to negotiate such a deal sends a positive message to our trading partners, creditors and investors. A positive message that will be underpinned by the discipline, hard work and enterprise in which we execute the programme.”
President Akufo-Addo added: “It should lead to the restoration of confidence and the reopening of avenues that have been closed to us this past year and a half. It will also lead to the resumption of many of the infrastructural projects that have stalled.”
On May 19, 2023, the first payment of $600 million from the $3 billion loan from the International Monetary Fund arrived in the Bank of Ghana’s account.
The amount would be deposited into the bank’s account, according to Dr. Addison, Governor of the Bank of Ghana, who made the announcement at a joint news conference with the Finance Ministry and the IMF on May 18th.
“Just for your information, we have received prompt advice, and the money will be received today,” he stated. Tomorrow’s value is $604 million.
Ghana’s program request for a $3 billion Balance of Payment support to stabilize the economy was eventually accepted by the IMF on May 17.
More information about the agreement was provided in a 126-page news release from the IMF.
The IMF stated in a statement that the government of Ghana had implemented a plan to tighten expenditure restrictions and limit the accumulation of arrears, which led to this acceptance of the accord.
In order to ensure that only projects that profit from authorized budgets and quarterly allotments can acquire procurement permits to award contracts, the Fund states that public procurement will be completely connected with the Ghana Integrated Financial Management Information System (GIFMIS).