In order to achieve the requirements established by the International Monetary Fund (IMF), according to President Akufo-Addo, the administration is engaging in strict expenditure rationalization and judicious spending.
He claimed that doing this is necessary to receive the second installment of the $3 billion bailout in six months.
The first $600 million of Ghana’s $3 billion bailout request was released to the Bank of Ghana last week after the IMF board authorized it.
However, additional transfers will depend on Ghana fulfilling a number of requirements imposed by the Fund, one of which being an improvement in mobilizing domestic revenue.
President Akufo-Addo remarked in a speech at the ongoing Qatar-Africa Economic Forum in Doha that his government is fully aware of its commitments and will uphold them.
“The global situation has not been kind to incumbent governments all over the world and I think our situation will be no different but at the same time, I believe we have enough time.
“We have eighteen months, I am to leave office in January 2025, so 19 months from now to be able with a very disciplined approach, implement the IMF programme and reposition our economy to be able to bring some growth back and some relief back to the population.
“…to also be able to convince them that yes, it is worth continuing the journey that my party started.”
President Nana Akufo-Addo mentioned the advantages of the IMF bailout and predicted that Ghana will soon rejoin the global capital markets.
This, according to Mr. Akufo-Addo, will allow his government to obtain the funding required to carry out its purpose.
He claims that his government and he are extremely concerned about the country’s capital market being closed.
“We have positioned ourselves to be able to go back into the International market, which had been a source of funding for us during the first three or four years of our government,” he stated on May 23.
As part of its efforts to strengthen fiscal policy, the administration claims it is taking the appropriate actions to examine all current flagship programs.
This was stated in Ghana’s country report from the IMF in May 2023.
The Fund has already criticized one of the flagship programs, Free SHS, for being inadequately targeted and for the low learning outcomes the nation’s educational system generates.