$3 billion IMF cash interest is low - Finance Ministry

The Finance Ministry has indicated that the interest on the $3 billion cash received from the International Monetary Fund (IMF) is low.

Ghana's request for an IMF bailout was approved on Thursday, May 17, 2023, by the Fund's Executive Board in Washington after a meeting.

According to the Finance Ministry in a post, the first tranche of the loan has been received.

Describing the interest on the loan as low, the ministry further said that the $600m is expected to restore macroeconomic stability and sustain the country's debts, among others.

“The first tranche of $600million of Ghana’s low interest of $3billion Extended Credit Facility has been received to help restore macroeconomic stability, sustain the country’s debts and lay a strong foundation for inclusive growth,” the Ministry tweeted on Saturday, May 20.

Meanwhile, the IMF Mission Chief for Ghana, Stéphane Roudet has expressed optimism about the $3 billion bailout resulting in reforms in the energy and cocoa sectors.

He added that the programme would also result in reforms to encourage private sector investments and also build international reserves.

“There will be reforms in the energy and cocoa sectors,” he said during a joint Ghana -IMF press conference.

“It will be restoring macroeconomic stability, for higher and more inclusive growth. It has reforms that will make the economy more resilient and likely to withstand shock in the future,” he added.