The initial installment of the $3 billion bailout from the International Monetary Fund (IMF) for Ghana, amounting to $600 million, is expected to be credited to the Bank of Ghana (BoG) on Friday, May 19.
Governor of the BoG, Dr. Ernest Addison, confirmed that the central bank has received an advisory notification to that effect. During a joint press conference between Ghana and the IMF held on May 18, Dr. Addison, participating virtually from Accra, stated, “Just for your information, we have had swift advisory today [Thursday] to receive the money by tomorrow [Friday], 600 million US dollars.”
Finance Minister Ken Ofori-Atta also mentioned that the second tranche of $600 million is anticipated to be received within the next six months. He further outlined that there would be a total of five tranches to reach the full $3 billion amount.
The IMF Mission Chief for Ghana, Stéphane Roudet, explained that the bailout program would lead to reforms in the energy and cocoa sectors and encourage private sector investments while building international reserves.
Roudet stated during the joint press conference, “There will be reforms in the energy and cocoa sectors. It will be restoring macroeconomic stability, for higher and more inclusive growth. It has reforms that will make the economy more resilient and likely to withstand shock in the future.”
Finance Minister Ofori-Atta expressed gratitude to the IMF for its support and highlighted the progress being made in stabilizing the currency and inflation while revitalizing the economy.
The IMF Board approved Ghana’s bailout unanimously on May 17, following the country’s successful assurance of financing from the Paris Club on May 12.
The creditor committee, co-chaired by China and France, was formed to facilitate the implementation of the debt resolution process for Ghana, with the expectation that private creditors and other official bilateral creditors would also engage in negotiations for debt treatments under the Common Framework.