Ghana nears IMF Board approval for third tranche of US$360m funding

Ghana is on the verge of securing the green light from the International Monetary Fund (IMF) for the release of the third tranche of $360m funding under its extended credit facility.

The IMF's ongoing support program, designed to bolster the nation's economy and foster sustainable growth, has reportedly yielded results surpassing expectations.

The country has already received $1.2 billion in IMF funding, aimed at facilitating fiscal consolidation, strengthening foreign exchange reserves, and supporting overall economic recovery efforts.

According to IMF officials, Ghana's progress in meeting economic and policy benchmarks has positioned it favourably for the next disbursement of funds.

Julie Kozack, Director of Communications at the IMF, expressed confidence in Ghana's trajectory during a recent press conference held in Washington, D.C.

She highlighted the significant strides made by Ghanaian authorities in adhering to the program's policies and implementing necessary reforms.

"IMF staff and Ghanaian authorities reached a staff-level agreement for the second review of the program on April 13th.

“Pending approval by the IMF's Executive Board, which we aim to achieve before the end of June, Ghana will gain access to approximately $360 million.

“The government's commitment to robust policy measures and reforms is yielding positive outcomes, with signs of economic stabilization becoming evident,” citinewsroom.com quoted her to have said.

The approval of the third tranche of funding is expected to occur during the IMF Executive Board's upcoming meeting in June. Notably, discussions among official creditors are underway, raising hopes for the swift conclusion of negotiations and subsequent disbursement of funds.

Kozack emphasized the encouraging economic indicators witnessed in Ghana, citing higher-than-anticipated growth in 2023, declining inflation rates, improved fiscal and external positions, and reduced exchange rate volatility.

AM/SARA

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