Prof. Steve Hanke criticises John Mahama's plan to renegotiate Ghana's IMF deal

Sat, 28 Dec 2024 Source: www.ghanaweb.com

Professor of Applied Economics at Johns Hopkins University in the United States, Steve Hanke, has labelled President-elect John Dramani Mahama's plans to renegotiate Ghana's agreements with the International Monetary Fund (IMF) as a sign of incompetence.

This critique comes as Mahama, fresh from his victory in the 2024 general elections, prepares to review and adjust the nation's existing development agreements.

During a courtesy visit by United Nations Resident Coordinator Charles Abani, Mahama highlighted the need for partnerships that align with Ghana's current economic realities and his administration's vision.

He stated, "This adjustment is crucial and will help put the new government that will be inaugurated next year on the same springboard with our development partners to begin the rebuilding of the economy and the country."

The President-elect emphasized his intention to engage with international institutions like the IMF and World Bank promptly.

"Looking at the existing programmes, we need to tweak them to meet the realities of today," he added.

Responding to the developments in a social media post on December 26, 2024, Steve Hanke stated, "#GhanaWatch: President-elect Mahama wants to renegotiate Ghana's IMF deal for 'RADICAL CHANGES' to smooth loan payments. HERE WE GO AGAIN. More Ghanaian INCOMPETENCE."

Ghana is currently under a 36-month, $3 billion Extended Credit Facility with the IMF.

Additionally, the country has agreements with the World Bank, including $250 million each for the Ghana Financial Stability Project and the Ghana Energy Sector Recovery Programme.

#GhanaWatch🇬🇭: President-elect Mahama wants to renegotiate Ghana’s IMF deal for “RADICAL CHANGES” to smooth loan payments.

HERE WE GO AGAIN.

More Ghanaian INCOMPETENCE. pic.twitter.com/9Dx3UQudyV
— Steve Hanke (@steve_hanke) December 26, 2024