Dr. Said Boakye, a Senior Research Fellow at the Institute of Fiscal Studies (IFS) has indicated that Ghana will secure an International Monetary Fund programme despite the slow pace in meeting some key criteria. He however maintained that the deal will take some time to be achieved.

Commenting on government’s actions, Dr. Boakye in an interview averred that the government is its own enemy by failing to adhere to principles of the Fund programme.

“I believe that in the end, Ghana will be able to secure a deal with the IMF regarding the programme. But it is dragging in the sense that the IMF sees the government not to be corrective measures, because the thing is not about debt restructuring alone and is not also about just getting the $3 billion.

“IMF does not want to be part of a failure. In other words, it doesn’t want its programme to fail.”
Dr. Said Boakye

Making reference to Ghana’s debt restructuring programme with its external creditors, the Senior Research Fellow disclosed that the government of Ghana has failed to do its homework so well.

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“So, if you look at the 2023 budget, the government presented to parliament which has been approved long time, we do not see serious expenditure cuts and serious revenue mobilization strategies. So, what is happening is that aside the interest that the debt restructuring will help to reduce, the government projection is not so strong regarding fiscal consolidation.”
Dr. Said Boakye

Dr. Boakye further noted that the fund wants a better work, stating that “this was exactly what was expressed by the German Ambassador – Daniel Krull”.

“If you want IMF to help you and others to help you, you have to do your homework very well for people to think that you are serious and you are about to achieve results, and they will be part of the good news.

“In our assessment at IFS of the 2023 Budget Statement, you would realize that expenditure is rather going up. It is increasing in the midst of a serious microeconomic instability that requires a very serious fiscal consolidation, but government is rather spending more than before.”
Dr. Said Boakye

Ghana Close To Securing An IMF Deal

Similarly, the Chief Executive Officer of the Ghana Investment Promotion Center (GIPC), Mr. Yofi Grant has also expressed surety of Ghana reaching a deal with the International Monetary Fund in the coming months to facilitate the revival of the economy.

According to the CEO, the government is close to reaching an agreement with the Fund.

“The government and the IMF reached the Staff Level Agreement in December 2022, a new three-year arrangement under the ECF of about $3 billion. We believe that we are close to achieving and closing that in the very future to enable us build up again – revive economy.”
Mr. Yofi Grant

He explained that the programme is aimed at restoring macroeconomic stability and debt sustainability, whiles also protecting the vulnerable.

“We believe that there has been a significant progress towards presenting Ghana’s programme to the IMF. The economy will be back to its feet right after IMF’s bailout.”
Mr. Yofi Grant

Mr. Yofi Grant concluded that: “ the country expects there might be an approval or there should be approval in the next few months to enable her engage in the programme actively.”