IMF Mission assures that IMF bailout will not affect social interventions

According to Stéphane Roudet, the IMF Mission Chief for Ghana, the $3 billion bailout approved by the International Monetary Fund (IMF) will not affect social intervention programs in Ghana.

Concerns were raised about the impact of the bailout on programs such as free senior high school, school feeding, and the Livelihood Empowerment Against Poverty (LEAP).

During a joint press conference in Washington, Mr. Roudet stated that ensuring adequate social protection is a key objective of the program. He mentioned that the 2023 budget has already taken important steps to protect and strengthen support for the vulnerable.

Finance Minister Ken Ofori-Atta also reassured that the social intervention programs will not be affected. He mentioned that the LEAP program will be doubled to ensure continued welfare support, and there is a clear commitment to protecting the vulnerable.

Regarding Ghana’s return to the international capital market for borrowing, Minister Ofori-Atta emphasized that there is no rush. He stated that managing expenditures and increasing revenue through measures such as improving the Ghana Revenue Authority (GRA) are important.

The government aims to have the necessary resources without relying on immediate borrowing. However, working towards the capital market is important for improving ratings and attracting foreign direct investment (FDI), making the country more attractive to investors.

Source: 3News