Gov’t not ending IMF programme due to borrowing restrictions - Ofori Atta

Finance minister Ken Ofori-Atta has refuted claims that the government is rushing to end the International Monetary Fund (IMF) bailout programme due to borrowing restrictions.

Government entered into the bailout programme to among other things, ensure fiscal discipline and cut down on government’s borrowing space. Earlier this year, the government announced it will not continue with the IMF programme when it ends in April 2018, after it extended it from November this year.

This was greeted with a lot of criticism by some experts who argued that leaving the programme will encourage excessive spending and borrowing.

But finance minister Mr Ofori-Atta believes others, noting the country should be able to manage its finances without external conditions.

“The issue we have to deal with is that as Ghanaians whether the fund is there or not, we have to do it ourselves”, he said at the ongoing IMF/World Bank Spring meeting in Washington DC in the United States.

He added:“There is the argument that we have money, but getting money does not mean we will not use it judiciously, but this is not fundamental. There are some measures we have to take ourselves” He assured that government was still on course in its debt management strategy.

“We are actually committed to ending the programme in April 2018, and because of that we are also ensuring some internal policies that will still keep us on the path to fiscal discipline,” he explained.

“There is also a very strong technical assistance that government will take advantage of from the Fund in a different way, so we have a plan”, he added