As the head of Ghana’s delegation to the 2025 International Monetary Fund (IMF) and World Bank Spring Meetings in Washington, D.C., Finance Minister Dr. Cassiel Ato Forson has given a convincing account of the country’s ongoing economic reset.
He said that under President John Dramani Mahama’s National Democratic Congress (NDC) administration, Ghana is taking part in these international events for the first time.
“It is a responsibility I carry with deep humility and a strong sense of purpose. Our mission here is clear. We are here to tell Ghana’s reset story—a story of hard choices, bold reforms, and a firm commitment to rebuilding our economy in a way that is fair, sustainable, and inclusive”.
Dr Cassiel Ato Forson, Ghana’s Finance Minister
The recent staff-level agreement reached with the IMF on the fourth review of Ghana’s ongoing program serves as the backdrop for this international engagement. If approved by the IMF Board, it is anticipated that the agreement will unlock about $370 million to support Ghana’s efforts to recover economically.
This accomplishment is particularly noteworthy, Dr. Forson emphasized, because the progress was made in spite of serious structural and financial flaws left over from the previous administration.
“It is a testament to the tireless work that this new administration has put in over the last few months to reverse the fiscal slippages we inherited. We took bold steps, some ahead of schedule, to stabilise the situation”.
Dr Cassiel Ato Forson, Ghana’s Finance Minister
He emphasized how quickly the Mahama-led administration has addressed Ghana’s economic problems.
The concerning accumulation of payables in 2024, which had led to a significantly greater primary deficit than anticipated, was one of the new administration’s immediate priorities, according to Dr. Forson.
Dr. Forson disclosed that significant measures have been implemented to address this issue, establishing the foundation for a methodical and open approach to managing public finances.
Key Reforms
Among the key measures outlined by the Finance Minister is the commissioning of a comprehensive audit of all outstanding payables and commitments by the Auditor-General and other oversight bodies.
Dr. Forson anticipates finishing the audit in eight weeks, and it will serve as the foundation for corrective action against obligations that are not legitimate.
Once more, Dr. Forson revealed that the new government has started to change the Public Procurement Act to require the Minister of Finance to give prior approval for all central government purchases.
He emphasized that the purpose of this reform is to encourage accountability and discipline in spending.
Additionally, Dr. Forson revealed that the administration is proposing changes to the Public Financial Management (PFM) Act, such as the creation of a fiscal rule that would lower Ghana’s debt-to-GDP ratio to 45% by 2035.
A primary surplus of at least 1.5% of GDP will also be maintained each year. Additionally, legislation is being proposed to establish a new Independent Fiscal Council to oversee adherence to these fiscal guidelines.
Others include setting up a Compliance Desk at the Ministry of Finance to keep an eye on Ministries, Departments, and Agencies’ (MDAs’) compliance with the PFM Act’s financial obligations.
Dr Forson concluded by saying that his ministry would shortly release a Compliance League Table that would rank MDAs in public according to their performance in handling public funds and adhering to budgetary constraints.
“These reforms are not just about meeting IMF targets. They are about restoring trust in public finances, ensuring credibility in our budgeting process, and laying a solid foundation for growth. In fact, many of the structural reforms expected to be completed by the end of 2024 and early 2025 have already been implemented.”
Dr Cassiel Ato Forson, Ghana’s Finance Minister
He claimed that this illustrates how urgently and resolutely the administration is working to achieve economic stability and reform.
During his time in Washington, Dr. Forson is anticipated to take part in high-level discussions on important global economic topics, such as energy access, food security, and job creation.
Critical talks with international financial institutions, credit rating agencies, private investors, and development partners are also on his agenda.
The meeting with IMF Managing Director Kristalina Georgieva, which is a noteworthy highlight of his agenda, will cover Ghana’s reform progress and potential future collaboration with the Fund.
To strengthen international support for Ghana’s reset agenda, the Finance Minister will also meet with representatives of the U.S. Treasury, the Paris Club, and other international stakeholders.
“In every engagement, I will be presenting our case clearly: Ghana is taking responsibility, acting boldly, and staying the course,” Dr. Forson affirmed.
In stark contrast to the difficulties the new administration faced at the beginning of its term, the Finance Minister’s speech exudes confidence and openness.
Additionally, it represents a change in Ghana’s economic governance from reactive crisis management to long-term planning and proactive fiscal restraint.
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