Speaking at the Ghana–Zambia Business Dialogue in Lusaka, President Mahama said sustained fiscal reforms have stabilised the economy, with inflation easing, foreign reserves strengthening, and confidence gradually returning.

He noted that the improving outlook positions Ghana to expand trade and investment, particularly within the framework of the African Continental Free Trade Area (AfCFTA).

According to the President, the government’s development agenda is anchored on five strategic pillars: industrialisation and value addition; export-led growth; modern infrastructure development; strong support for micro, small and medium-sized enterprises (MSMEs), women and youth entrepreneurs; and the creation of a predictable, transparent, and investor-friendly business environment.

“We have restructured our debt to invest in people, not just to service loans. This is what ‘Resetting Ghana’ means, and it is delivering results,” President Mahama said. He pointed to the sharp decline in inflation from over 23.4 per cent at the end of 2024 to 3.8 per cent in January 2026, as well as the restoration of currency stability, with the Ghanaian cedi appreciating by 32 per cent to rank among the world’s five best-performing currencies in 2025.

President Mahama added that Ghana has successfully renegotiated its debt obligations on terms that protect national sovereignty and ensure sustainability.

“We are steadily exiting the IMF’s Extended Credit Facility with dignity as partners, not as supplicants,” he stressed.

He further noted that Ghana’s economic recovery has positive implications beyond its borders, contributing to regional confidence and integration.

Describing Zambia as a natural partner, the President said complementarities between the two economies—particularly in mining, agriculture, energy, and manufacturing—offer strong prospects for joint ventures, value-chain development, and expanded bilateral trade.

Speaking on Joy News’ PM Express Business Edition on Thursday, he said Ghana’s repeated reliance on IMF programmes has become a national embarrassment.

According to him, the country must maintain fiscal discipline and the reforms that typically accompany such arrangements.

“If we [Ghana] continuously do what we are doing, then that means that we should be under IMF for life,” he said.

He argued that if Ghana exits an IMF programme and still fails to manage its economy, then the country has effectively surrendered its sovereignty and should stop pretending otherwise.

“If after the exit of the IMF, we cannot manage our economy, then the IMF should bring their head office here and control us,” he stated.

Mr Badu-Aboagye said the private sector’s frustration is rooted in Ghana’s long-running cycle of economic instability, in which reforms are embraced only under external pressure and quickly abandoned once the programme ends.

He maintained that Ghana has already implemented key IMF-backed measures, and there is no justification for walking away from them simply because the country has “exited” the programme.

“This is because all the things that they have asked us to do, that we have done, I think we should continue,” he said.

The GNCCI CEO warned that deviating from the “fundamental changes” introduced under IMF supervision is exactly why Ghana keeps returning to the Fund.

“There shouldn’t be any reason why we should deviate from these important fundamental changes that the IMF have brought to us; that is why we keep going there,” he stressed.

Badu-Aboagye also criticised the political narrative that often surrounds IMF engagement, where the Fund is portrayed as an enemy or an unwanted force, even though governments repeatedly seek its support when the economy runs into trouble.

He noted that Ghana has gone to the IMF “17 times,” yet public discourse still treats IMF programmes as a humiliation rather than a corrective framework for discipline.

“I mean 17 times, and anytime you go there, it’s as if the IMF is a devil, that when they come, we don’t want to go there,” he said.

His comments come amid renewed debate over Ghana’s economic direction and whether the country can maintain stability without resorting to external bailouts.

For the private sector, the GNCCI CEO’s remarks reflect a deeper concern: that Ghana’s policy inconsistency and weak commitment to reforms continue to undermine investor confidence and long-term planning.

Mr Badu-Aboagye’s central argument was that Ghana’s problem is not a lack of knowledge about what must be done, but an inability to sustain those actions beyond IMF supervision.

By insisting that the reforms should continue even after an exit, he positioned the IMF not as the source of Ghana’s hardship, but as a mirror reflecting Ghana’s own failure to sustain discipline.

His warning was simple: if Ghana cannot manage after an IMF programme, then the country has no business celebrating exits, because the dependency has already become permanent.

The meeting, held on January 19, provided the Vice President with the opportunity to outline Ghana’s improving macroeconomic conditions and to situate the country’s recovery within broader continental and global economic shifts.

Professor Opoku-Agyemang noted that Ghana’s economic reality today differed markedly from that of the recent past, citing key improvements including single-digit inflation, a more stable cedi, and stronger real Gross Domestic Product (GDP) growth.

She emphasised that the gains were tangible and being felt across the economy, rather than remaining abstract macroeconomic indicators.

The Vice President said Ghana was entering a new phase with cautious optimism and resolve, underpinned by reforms that were nationally owned and supported rather than dictated by the IMF, and sustained by the country’s willingness to take difficult but necessary policy decisions.

She acknowledged the continued relevance of international financial institutions on the African continent, while observing that recent global and regional developments increasingly demonstrated Africa’s readiness to do more on her own.

Professor Opoku-Agyemang stressed that this growing self-confidence did not diminish the value of partnerships, but rather underscored the need for cooperation that was mutually beneficial and responsive to Africa’s development priorities.

Reaffirming the position of President John Dramani Mahama, the Vice President said Ghana’s relationship with the IMF must evolve beyond emergency support arrangements.

She noted that while Africa continued to grapple with structural challenges such as high borrowing costs, the continent also possessed significant opportunities, including the transformative potential of the African Continental Free Trade Area (AfCFTA).

She said Ghana remained committed to pursuing self-reliance, supported by coordinated, fair, and development-oriented international cooperation.

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The Fund emphasised that the programme played a crucial role in stabilising the economy during a particularly difficult period.

Speaking at a press briefing in Washington, IMF Director of Communications Julie Kozack addressed questions arising from the Staff Report for the Fifth Review of Ghana’s IMF-supported programme.

She explained that while the DGPP delivered significant macroeconomic benefits, it also resulted in what the Fund terms a “quasi-fiscal loss,” a cost that is not formally recorded on the government’s fiscal balance sheet but ultimately represents a charge to the state.

According to Ms Kozack, the DGPP contributed meaningfully to the build-up of international reserves and helped ease pressure on the foreign exchange market during one of Ghana’s most challenging economic phases.

“On the benefit side, what we see is a contribution to a buildup of international reserves and reduced pressure on the foreign exchange market during a difficult period for Ghana,” she stated.

She further explained that the US$214 million figure arose from trading margins, fees and exchange rate movements, which are inherent features of commodity-backed liquidity operations.

As a result, the IMF has recommended stronger transparency, governance and risk management, and advised that such costs be reflected on the national budget rather than on the balance sheet of the Bank of Ghana, in order to safeguard the central bank’s policy mandate.

The IMF’s clarification aligns with the position earlier articulated by the Ghana Gold Board, which maintained that the figure did not signify an operational loss or programme failure.

The Fund’s own assessment confirms that the amount represents a quasi-fiscal cost, not a realised deficit attributable to GoldBod or any single institution.

Meanwhile, the Governor of the Bank of Ghana has informed Parliament’s Public Accounts Committee that discussions are underway among key stakeholders, including GoldBod, to strengthen and reform the DGPP following the IMF review.

These engagements are expected to focus on improved governance structures and clearer coordination between government, the central bank and the Ghana Gold Board.

For GoldBod, the IMF’s remarks are seen as a validation of the programme’s core objectives. The Board has consistently argued that the DGPP was designed as a strategic intervention to support macroeconomic stability and enhance value from Ghana’s gold resources, rather than to generate short-term trading profits.

As reforms progress, GoldBod has reiterated its commitment to greater transparency, accountability and efficiency in future phases of the programme.

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The figure was highlighted in the Staff Report for the Fifth Review of Ghana’s IMF-supported programme.

Speaking at a press briefing on Thursday, 15th January 2026, IMF Director of Communications Julie Kozack explained that the assessment remains unchanged.

“The loss stemmed from trading activities, fees, and exchange rate movements. While it is not formally recorded on the government’s fiscal balance sheet, it ultimately represents a cost to the state,” Ms Kozack said.

She noted that the programme also delivered benefits, including a build-up of international reserves and reduced pressure on the foreign exchange market during a challenging period for Ghana.

Ms Kozack further recommended that the losses be formally included on the government’s balance sheet rather than remaining on the books of the Bank of Ghana.

She added that stronger transparency, governance, and risk management measures, particularly for GoldBod-linked operations, are essential.

“These steps are critical to ensure the Bank of Ghana remains financially sound,” she concluded, emphasising the need for clearer reporting and enhanced oversight of the gold purchase programme.

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Speaking on Joy News’ PM Express Business Edition on Thursday, Dr Adrian Alter said the IMF’s typically cautious outlook made the assessment even more significant.

“The IMF typically is conservative in their assessment and projections. We typically want to be surprised when it comes to growth,” he said. “But overall, I would say 2025 has been a very good year.”

At the centre of that assessment, Dr Alter said, was the government’s commitment to fiscal discipline, which helped stabilise the country’s public finances after years of strain.

“The fiscal discipline helped to put the public finances in order,” he said.

He linked the improved outlook to coordinated macroeconomic policies, particularly to the Bank of Ghana’s role in maintaining currency stability.

“The tight monetary policy and the accumulation of reserves by the Bank of Ghana helped with the cedi stability as well,” he said.

Beyond short-term stabilisation, the IMF official also pointed to reforms that he said would shape Ghana’s fiscal credibility going forward.https://www.youtube.com/embed/QK4qWeHQc6Q?si=_qfEfheFpzJzrV3d

“And then in terms of reforms, I would say a key structural reform implemented in 2025, there were many,” he said. “But one key reform is the improvement to the Fiscal Responsibility framework, the Fiscal Responsibility Act.”

Dr Alter said the changes strengthened Ghana’s fiscal rules and laid the groundwork for stronger oversight.

“That basically adds to fiscal rules and the plan to implement an independent fiscal Council,” he said.

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Speaking on Joy News’ PM Express on Wednesday, the NPP lawmaker said while the economy has recorded some gains, those outcomes are neither new nor unique in the life of a first-term government.

“To be blunt, the economy has achieved some successes to that extent, you will give credit to the managers of the economy. But is it novel? Is it the case that it has never been done in any first year of a government? And the answer is no,” he said.

Dr Kabiru cautioned against what he described as an exaggerated narrative about current economic performance, insisting that similar, and in some cases stronger, indicators had been recorded in the past under IMF-supported programmes.

He pointed to the period between 2017 and 2019, noting that Ghana experienced growth, primary budget surpluses, and positive macroeconomic indicators, all under IMF arrangements.

“In 2017, we had similar euphoria around the first budget. We had growth that was far in excess of what we are experiencing now. We had a primary budget surplus and all the positive indicators. But we have to also know that in all these years, we had IMF-supported programmes,” he said.

He warned against creating the impression that Ghana’s current stability is unprecedented.

“Whilst we give credit, let us not create a sense that this is the first time, in a government’s first year in office, that we are having this kind of result,” he added.

Dr Kabiru compared public sentiment then and now, citing approval ratings to reinforce his argument.

“The euphoria around the 2017 budget, and the outcome of that budget, with the greatest respect, was far more than what we are experiencing. Approval rating for the president at the end of his first year, according to Afrobarometer, was 70 per cent. Here we are having 67 per cent,” he said.

Despite his criticism, he said he was not dismissing the gains entirely.

“That notwithstanding, I do not want to diminish the impact, the growth, the macroeconomic and price stability that we are experiencing,” he said.

However, he insisted that any honest assessment must place the IMF programme at the centre of the recovery.

“If anyone wants to say that anything has contributed to this without first acknowledging the IMF-supported programme we have, which has served as an anchor, which is the big man in the house driving whatever we do, then I disagree,” he said.

He argued that without the programme, Ghana could easily slide back into fiscal indiscipline.

“But for the programme, we may have to see some government fiscal indiscipline,” he added.

Dr Kabiru said the President and the Finance Minister deserve credit for sticking to the programme, but not for portraying the recovery as entirely home-grown.

“The fact that the President and the Finance Minister have committed to the programme is worthy of commendation. But for me, we should not create a sense that it is the first time it’s happening,” he said.

He also stressed that the recovery should be viewed cautiously.

“We should only hope and pray that it is sustainable. We shouldn’t be looking at the recovery as something that we should celebrate over,” he said.

Dr Kabiru said some credit must also go to the previous government, which initiated the IMF programme now anchoring the economy.

“There is a programme that the previous government initiated that the previous government must actually also take some of the credit for,” he said.

Ultimately, he argued that the true test of the economy lies ahead.

“Let’s see how we move into the second and third year. If the government should put in the third year, then we would know the true state of the economy, and whether or not the commendation we are giving now should be temporary or permanent,” he added.

Mr Awuah stated that PMMC recorded no losses from the Domestic Gold Purchase and Gold for Reserve programmes between 2022 and 2024, noting that this is confirmed by audited financial statements and the 2024 State Ownership Report.

“The IMF reported a trading loss of $214 million from the Gold for Reserve Programme in 2025,” he said, adding that the Fund also warned that the programme’s expanding scale, particularly after the creation of GoldBod, presents significant downside risks.

He emphasized that PMMC’s financial performance improved markedly under his leadership, transitioning from a loss position to sustained profitability, with net profits rising sharply in 2024.

“These results make it factually inaccurate to link PMMC’s record during my tenure to losses reported after 2024,” Mr Awuah noted.

He urged policymakers and GoldBod managers to draw lessons from PMMC’s past trading challenges and implement strict risk controls to prevent similar large-scale losses in future gold trading operations.

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Commenting on developments in Ghana’s gold trading system and broader economic management, Mr. Cudjoe praised the leadership of key state officials, describing them as patriots committed to advancing the national interest.

He singled out the Chief Executive Officer of the Ghana Gold Board (GoldBod), Sammy Gyamfi; the Minister for Finance, Dr. Cassiel Ato Forson; and the Governor of the Bank of Ghana, Dr. Johnson Asiamah, for what he described as their instrumental roles in driving positive economic outcomes.

“But seriously, Sammy Gyamfi, Ato Forson and Dr. Asiamah are true patriots. The GoldBod has brought us substantial reserves which have not only helped absorb the huge losses Ghana incurred through the Gold-for-Oil (G4O) programme, but are also supporting our debt service obligations,” Mr. Cudjoe said.

According to him, the strengthened reserves have helped offset losses associated with the G4O programme while easing pressure on the country’s debt servicing.

He further noted a significant improvement in Ghana’s debt position, attributing the progress to fiscal discipline and effective coordination between the Ministry of Finance and the Bank of Ghana.

Mr. Cudjoe pointed out that Ghana’s debt-to-GDP ratio had declined sharply within a year, describing the development as both remarkable and encouraging.

“It is instructive to note that the Finance Minister has diligently reduced the debt of Ghana from 61 per cent of GDP to 45 per cent in a year,” he said.

“I think we should be loaning money to the IMF so they can help other less endowed countries,” he added.

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Moreover, the Bretton Woods institution said one state-owned bank’s position has recently deteriorated.

However, it stressed in its Staff Report that the government has committed to complete recapitalising the two state-owned banks using budget resources by the end of 2025.

“Following Parliament’s rejection of the WB Ghana Financial Stability Fund (GFSF) A116, the authorities are working with the World Bank to repurpose these funds to address legacy issues in the Specialised Deposit-Taking sector. However, for other banks (including non-compliant undercapitalized ones), the authorities [Bank of Ghana, Ministry of Finance] stressed that any further public support will be limited to those posing systemic risks and structured “.

The Fund report added that capital support from the GFSF to two of these banks has tipped state-ownership interest into a majority position, highlighting that state interest is expected to revert to a non-majority status on completion of these banks’ respective negotiations with investors for their recapitalisation.

NIB Recapitalisation Plan on Course

Meanwhile, after delays, the Government and the Bank of Ghana have begun implementing the National Investment Bank’s (NIB) restructuring plan.

According to the Bank of Ghana, they have injected cash and bonds to bring NIB’s Capital Adequacy Ratio to full compliance with the minimum CAR of 13% (without forbearance) by end-May 2025, ahead of the end2025 timeline.

They have also initiated reforms to enhance governance and risk management, improve the business model, address additional resource needs and ensure viability of operations going forward.

The government has given its intention of resuming T-bonds issuance in early 2026 to lengthen average maturity and ease rollover risks.

But the IMF wants this to be done with caution, as the spread with the monetary policy rate narrows.

Since the 2023 domestic debt restructuring, treasury bills have been the main source of budget domestic financing.

With T-bill interest rates falling substantially since March 2025, the IMF pointed out that the appetite for government paper has receded in the more recent auctions.

Last week, the secondary bond market advanced strongly, posting a 64.39% week-on-week increase in turnover to GH¢6.75 billion.

The February 2030 remained the market’s liquidity driver, commanding GH¢2.98 billion in volumes traded and reaffirming its benchmark status.

In its Staff Report on Ghana, the Bretton Woods institution stated that “by the end of 2025, a transaction advisor is expected to be hired to oversee the selection process for private sector concessionaires for electricity distribution”.

It added that the energy sector is stabilizing, highlighting that the Electricity Company of Ghana’s (ECG) payments to independent power producers (IPPs) through the cash waterfall mechanism have increased significantly, reaching US$308 million in the first half of 2025, compared with US$325 million for 2024 in total.

“At end-June 2025, the stock of net payables to IPPs stood at US$1.2 billion, US$71 million higher than at the end of 2024; a further US$830 million was owed to fuel suppliers, US$124 million lower over the same period”.

It pointed out that the increase in payables to IPPs in first-half of 2025 was largely driven by significantly lower direct government payments to IPPs relative to the previous two years, which more than offset significantly higher ECG payments.

Government, IPPs Agree to Restructure Legacy Debt

The Fund statement continued that the government and IPPs have agreed to restructure their legacy debt.

“In 2025Q3 [quarter 3 2025], the government agreed with nine IPPs—representing virtually all net payables at end-June—on a comprehensive payment plan for legacy arrears accumulated up to end-June 2025, including substantial haircuts (15 to 30%), significant upfront payments (around US$300 million in 2025, between 10 to 100% of each IPPs’ post-haircut payables), and biannual payments for the remainder between 2026 and 2029”.

The IPPs also agreed to revised power purchasing agreements (PPAs), which will lower electricity costs going forward.

These agreements were adopted by Parliament in November 2025. They supersede previous agreements that were abandoned after the government failed to make payments in 2024.

Separately, the Fund said the government intends to eliminate, by April 2026, its arrears with Sankofa, the largest gas supplier representing more than half of total arrears to fuel suppliers.

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According to the Bretton Woods institution, the strengthened banking sector indicators reflect recapitalisation progress by most banks affected by the domestic debt exchange (DDE) with more expected to restore a capital adequacy ratio (CAR) of 13.0% without reliefs by end-2025.

However, it warned that some heterogeneity persists, and the authorities continue to closely monitor the remaining non-compliant banks. “Banking system NPL ratios, while declining, remain high, especially among state-owned banks, despite marginal credit growth”, it added.

It continued that the Bank of Ghana (BoG) has provided guidance and set prudential limits to address this issue.

In 2023 and 2024, the Ghana Financial Stability Fund supported recapitalization efforts of qualifying indigenous banks as well as insurance companies for recapitalization purposes and capital market institutions for liquidity support through marketable Government of Ghana bond issuance.

The BoG issued a new directive which introduces a sanction regime for willful loan defaulters and sets maximum NPL thresholds, breach of which will trigger sanction actions, including prohibitions on shareholder dividend and staff bonus payments.

The measures were intended to enforce stronger credit risk management, protect depositors, and improve asset quality in the financial sector.

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It also wants the easing of the base lending rate to remain gradual.

The Fund disclosed this in its Staff Review of Ghana’s Bailout Programme.

“With inflation pressures subsiding and the recent appreciation of the Cedi, the Bank of Ghana
(BoG) has appropriately begun a cautious monetary easing cycle. Any further easing should
remain gradual and data dependent”.

Since January 2025, the Bank of Ghana has cut the policy rate by 9.0 percentage points to 18.0%.

In collaboration with the Fund, BoG has developed and implemented a new structured foreign exchange operations framework to intermediate FX flows and smooth excessive market volatility, while accumulating international reserves.

The Fund said “The authorities have taken decisive steps to safeguard financial stability, including by implementing the strategy to restructure and reform state-owned banks, closing gaps in the crisis management and resolution framework, and pursuing a multi-pronged approach to reduce non-performing loans”.

The Bretton Woods institution further pointed out that the authorities have taken decisive steps to safeguard financial stability, including by implementing the strategy to restructure and reform state-owned banks, closing gaps in the crisis management and resolution framework, and pursuing a multi-pronged approach to reduce non-performing loans.

It added that important progress has been made to strengthen Ghana’s governance and public sector efficiency in line with the recently published Governance Diagnostic Assessment report, highlighting, that efforts to improve transparency and oversight need to continue, particularly related to public disclosure requirements and management of State-Owned Enterprises in the gold, cocoa, and energy sectors.

It stressed that ambitious structural reforms to help create an environment more conducive to private sector investment, and to enhance governance and transparency remain key to boosting the economy’s potential and underpinning sustainable job creation.

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This is despite some delays in implementing complex structural reforms.

The Board also noted that Ghana’s macroeconomic stabilisation is gaining momentum, adding that there is “strong growth and single-digit inflation for the first time since 2021”.

The IMF Executive Board expressed these views after approving Ghana’s fifth programme review.

The development, according to the IMF, will result in the immediate release of about US$385 million to Ghana.

This will bring total disbursements to the country since it signed onto the programme to about US$2.8 billion.

Government of Ghana and IMF programme

In its statement, the Board argued that Ghanaian authorities have continued to make significant headway in public debt restructuring, saying, “They have signed debt relief agreements with many members of Ghana’s Official Creditor Committee.”

“They have also intensified engagement with their remaining external commercial creditors on a restructuring consistent with programme parameters and comparability of treatment,” the Board’s statement added.

The IMF also praised Ghana’s progress in achieving a primary surplus of 1.5 percent of GDP by the end of the year, noting that “the 2026 budget, submitted to Parliament, aligns with fiscal programme objectives and the new fiscal responsibility framework, while accommodating developmental and security needs.”

It was, however, quick to add that “steadfast implementation of the policy and reform agenda remains essential to fully restore macroeconomic stability and debt sustainability”.

The Fund further highlighted progress made in strengthening Ghana’s fiscal position.

Monetary developments

On monetary developments, the IMF praised the Bank of Ghana for recent progress. With inflation pressures subsiding and the recent appreciation of the cedi, the Bank of Ghana has appropriately begun a cautious monetary easing cycle.

The Fund noted that it has worked with the Bank of Ghana to develop and implement a new structured foreign exchange operations framework to intermediate FX flows, smooth excessive market volatility, and accumulate international reserves.

The Bank of Ghana has also brought inflation within its target range and rebuilt reserve buffers while cautiously easing the monetary policy stance, the IMF added.

However, looking ahead, the IMF said that “strengthening central bank independence, discontinuing quasi-fiscal activities, and deepening FX markets, while reducing the Bank of Ghana’s footprint, remain priorities.”

IMF described the administration’s expenditure controls as a significant improvement on 2024, when elevated spending and depreciation of the cedi intensified inflationary pressures.

The IMF highlighted that this enhanced fiscal performance has contributed to narrowing the budget deficit, easing pressure on the cedi and strengthening price stability.

These measures have been instrumental in driving inflation down to single digits for the first time in four years.

The IMF Resident Representative to Ghana, Dr Adrian Alter said this on Channel One TV’s yet to be aired exclusive interview. He emphasised that the combination of fiscal restraint and a tight monetary stance has been central to stabilising the economy.

Dr Alter remarked that fiscal discipline under the current administration is “much, much better” compared to the previous year, helping to close fiscal gaps and curb inflation.

He explained that the government’s prudent spending approach, coupled with the Bank of Ghana’s firm monetary policy, has delivered tangible results.

Inflation has fallen from approximately 24 percent in 2024 to 9.4 percent in September 2025, with expectations of further easing supported by a stabilising cedi.

Reflecting on last year’s inflation spike, he pointed to supply disruptions and currency weakness as primary drivers, noting the impact of drought on food prices and sharp cedi depreciation.

He commended the Bank of Ghana for maintaining a disciplined policy posture, including a reduction in the policy rate from 28 percent to 21.5 percent, which safeguarded price stability gains.

Dr Alter concluded that Ghana now stands on firmer macroeconomic ground, with fiscal and monetary policies aligned effectively. He cautioned, however, that continued discipline will be essential to sustaining investor confidence and anchoring inflation expectations.

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According to IC Research, a leading financial markets research firm, the government have exhibited sufficient policy credibility to stay within the fiscal limits in 2026.

The primary balance on commitment basis stood at a surplus (1.1% of Gross Domestic Product) in eight months of 2025, and the International Monetary Fund expressed optimism for the authorities to achieve the target surplus of 1.5% by end-2025.

According to IC Research, this will ensure effective compliance with the Fiscal Responsibility Act (FRA) for the first time since its introduction in 2018 and confirm Ghana’s return to the path of fiscal sustainability.

Despite the market’s cautious view of the post-IMF fiscal commitment in 2026, the Fund expects Ghana’s 2026 budget to remain compliant with the FRA with a target primary surplus of 1.5% (the minimum benchmark in the FRA) for the second successive year.

“We think the authorities [government] have exhibited sufficient policy credibility to stay within the fiscal limits in 2026”, it said.

“However, we flag the continued revenue underperformance amid expectation of a ramp-up in spending pressure as a major test of the authorities’ resolve to sustain fiscal credibility beyond the IMF programme”, it alluded.

The 2026 Budget is expected to be presented on November 13, 2025, by the Finance Mnister, Dr. Cassiel Ato Forson.

Source: Joy Business

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The event, scheduled for Tuesday, October 14, 2025, will focus on strengthening Africa’s trade and financial systems under the African Continental Free Trade Area (AfCFTA).

It is being organised by the National Bar Association’s Alternative Dispute Resolution (ADR) Section in collaboration with its International Law Section.

The programme, themed “Insurance, Infrastructure, and Institutions: Supporting the Financial Future of Trade Under the AfCFTA,” will bring together policymakers, financiers, and industry experts to explore how financial and insurance institutions can contribute to Africa’s economic growth through stronger trade mechanisms and improved risk management.

Mr Oppong Nkrumah’s address is expected to highlight Ghana’s leadership in advancing sound fiscal policies, trade facilitation, and regional economic cooperation.

He is also expected to emphasise how legislative frameworks and effective financial policies can help translate the AfCFTA’s objectives into tangible economic benefits for member countries.

As the host nation of the AfCFTA Secretariat, Ghana continues to play a central role in driving discussions on Africa’s economic integration and long-term growth strategy.

The invitation acknowledges this role and recognises the contributions of Ghanaian policymakers in shaping the continent’s trade future.

The IMF event will also feature senior officials and business leaders from the insurance and financial sectors, who will discuss strategies for de-risking cross-border trade, mobilising investment, and building a resilient African financial system.

This forum forms part of an ongoing collaboration between the National Bar Association and the AfCFTA Secretariat to support the effective implementation of the free trade agreement and enhance Africa’s competitiveness in the global economy.

Mr Oppong Nkrumah’s participation at the IMF underscores Ghana’s growing influence in continental economic policy discussions and reaffirms the country’s commitment to promoting trade, innovation, and financial integration across Africa.

Source: Myjoyonline

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Finance Minister Dr Cassiel Ato Forson confirmed that the government has achieved all six quantitative performance criteria and four indicative targets for the review period.

He described the agreement as a powerful validation of the disciplined and comprehensive strategy pursued over the past nine months.

The Minister noted that Ghana is beginning to see strong outcomes from President Mahama’s Reset Agenda.

Economic growth has accelerated, with non-oil sectors, where most jobs are created, showing impressive expansion.

Inflation has fallen sharply, returning to single-digit levels, while interest rates have declined significantly.

The Ghana cedi has demonstrated notable strength and stability, and fiscal consolidation efforts are yielding results, reflected in a budget surplus and a substantial reduction in public debt.

He also announced significant progress in bilateral debt restructuring efforts, with the government committed to finalising all outstanding agreements before the end of the ECF programme.

The IMF Executive Board is expected to consider Ghana’s Fifth Review by the end of December 2025. Once approved, it will unlock a disbursement of US$385 million, bringing total disbursements under the programme to US$2.6 billion.

Finally, on behalf of the President, Dr. Forson extended gratitude to the people of Ghana for their patience and resilience and thanked the IMF mission team for their constructive engagement and tireless work.

Source: AdomOnline

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The nation has entered 17 IMF programmes.

According to the report, without reforms, growth plateaus around 3.8%, delaying upper-middle-income status beyond 2050.

It emphasised that governance challenges persist in obstructing policy reforms and structural transformation, highlighting that persistent fiscal indiscipline, inefficiencies, and mismanagement continue to erode trust.

It warned that heavy reliance on natural resources limited structural transformation and productivity gains.

Ghana at a Pivotal Moment

The report mentioned that “The real risk is complacency and business-as-usual.”

It warned of growth stagnation (3.8%) and delayed Universal Middle Income Status (UMIC( status if reforms stall.

The risks are insufficient (quality) job creation, high poverty, widening regional gaps, fiscal fragility and environmental degradation.

The report added that the next four years offer a unique opportunity to break from past practices and strengthen the social contract, adding that elections create a unique opportunity to reset and rebuild the social contract.

However, the 2022 crisis exposed deep structural vulnerabilities, not just external shocks.

The World Bank continued that a remarkable progress in the first decade of the century by Ghana was followed by a lost decade, culminating in the 2022 macroeconomic crisis.

It stated that Ghana’s income per capita is around US$2,200, and has largely stagnanted over a decade.

Source: Joy Business

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His comments follow concerns raised by the NPP over potential tariff increases by the Volta River Authority (VRA), Northern Electricity Distribution Company (NEDCo), Electricity Company of Ghana (ECG), and Ghana Water Limited (GWL), among others.

Speaking on Channel One TV, Mr. Ofosu argued that the tariff adjustment mechanism was introduced by the previous NPP administration as part of its agreement with the International Monetary Fund (IMF).

“As part of the IMF arrangements that the NPP entered into, they agreed with the IMF as a conditionality for accessing about $300 million. That review was completed before we came to power, around December 2024. They agreed to quarterly tariff adjustments and a mid-year review in September. So, when the NPP laments the increases, they are being dubious and hypocritical. They’re not telling the truth—they agreed to it, and we are bound by it,” he said.

The Minister stressed that not all proposals from utility companies are approved, explaining that government typically reduces the figures significantly.

“It’s not every proposal that is accepted. Almost every time, their proposals are substantially reduced,” he noted, adding that he was confident the current proposals would not be fully reflected in the final tariff adjustments.

“I’m confident that those figures in the proposals will not reflect in the tariffs,” he assured.

In a post on X (formerly Twitter) on September 6, Mr. Agyapong described Ghana’s repeated reliance on IMF bailouts as evidence of weak leadership.

“You want to lead Ghana, yet your main concern is who can negotiate best with the IMF? Let me be clear: If your vision for Ghana starts with a trip to the IMF, you have already failed,” he stated.

He emphasized his goal of building a self-reliant economy strong enough to render the IMF “irrelevant.”

Source: Adomonline

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In practice, it is economic self-sabotage.

Only weeks earlier, both the IMF and World Bank issued clear, public warnings to BoG. On July 7, the IMF urged Ghana to reduce its heavy footprint in the FX market and adopt a framework that allows the cedi’s value to be determined more by supply and demand, not central bank decree.

The World Bank followed on August 14, stressing that Ghana must protect FX liquidity and keep vital imports, fuel, medicines, raw materials, flowing.

BoG has ignored both. Instead of loosening controls to deepen the market, it has tightened them, cutting corporates off from the FX lifelines they need.

Consider an oil importer needing $100 million. In a healthy market, Bank A could source dollars from Bank B or through an FX auction. BoG would only intervene if volatility spun out of control, say the cedi sliding from GHS 16/$ to GHS 20/$ in days. Under the new rule, that importer is shut out unless they had pre-lodged the same dollars in advance, an impossible requirement that shrinks, not expands, the market.

Or take a Bulk Oil Distribution Company (BDC) seeking $50 million for fuel imports. Normally, a bank draws on interbank liquidity or a BoG auction to meet that need, ensuring petroleum continues to flow. Now, if the BDC lacks prior deposits, it cannot withdraw FX. The chain breaks: fuel shortages hit, pump prices rise, confidence evaporates.

The contradiction is stark:

IMF: Less intervention, more flexibility.

World Bank: Protect liquidity, keep imports running.

BoG: More intervention, less liquidity, imports disrupted.

What message does this send to businesses and investors? That Ghana will bend to panic, not principle.

That rather than deepening its FX market, Ghana is retreating into administrative bans that history shows always backfire. In 2014, a similar FX crackdown collapsed within weeks, after sparking black markets and panic withdrawals.

Ghana cannot afford to repeat that failure. Stability comes from transparency, predictability, and rules, not from shutting doors in the face of critical industries.

The IMF and World Bank told Ghana to open the FX market. BoG has slammed it shut. The result will not be stability, it will be shortages, black markets, and another blow to confidence in Ghana’s economy.

Source: Prof. Isaac Boadi, Dean, Faculty of Accounting and Finance, UPSA

According to the World Bank’s latest Ghana Economic Update report, the projected increase is in line with the targets of the IMF-supported Extended Credit Facility (ECF) programme.

Speaking at the launch of the report in Accra, World Bank Country Director Robert Taliercio said full enforcement of the tax exemption law and the creation of a comprehensive tax expenditure register will enhance transparency and accountability in the country’s revenue mobilisation.

The World Bank also urged the government to strengthen the Ghana Revenue Authority’s capacity to roll out the Integrated Tax Administration System and conduct risk-based audits to improve tax compliance.

In addition, it called for the full adoption of Public Financial Management (PFM) systems such as the Ghana Integrated Financial Management Information System (GIFMIS) and the Ghana Electronic Procurement System (GHANEPS) across all ministries, departments, and agencies (MDAs) and metropolitan, municipal, and district assemblies (MMDAs).

It also recommended integrating all spending accounts into the Treasury Single Account to enhance transparency, efficiency, and expenditure control.

“Improving tax administration, broadening the tax base, and strengthening public financial management will be critical to achieving sustainable fiscal consolidation,” the report noted.

Source: Joy Business

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Mr. Afenyo-Markin acknowledged the recent gains of the local currency but insisted that the foundations for the current stability were laid under the previous New Patriotic Party (NPP) government.

“Indeed, from January through to June, the Cedi strengthened significantly, which the Minister touts as unprecedented,” he said on the floor of Parliament on Thursday, July 31, during a debate following the presentation of the 2025 Mid-Year Budget Review by Finance Minister Dr. Cassiel Ato Forson.

“We do welcome a stronger Cedi — we, on this side [Minority], welcome a stronger Cedi. It eases the burden on import costs and brings some price relief to Ghanaians. However, claiming this as proof of some unique NDC progress is misleading.”

The Effutu MP argued that the appreciation of the Cedi was influenced by multiple external and inherited factors, including renewed investor confidence stemming from Ghana’s ongoing International Monetary Fund (IMF) programme and a significantly improved fiscal outlook — a process he claimed began before the change of government.

“A major factor is renewed investor confidence and inflows resulting from the IMF programme and improved fiscal outlook — a trajectory set in motion last year,” the Minority Leader stated.

Mr. Afenyo-Markin also pointed to Ghana’s strong gold exports and remittance inflows in late 2024 as additional contributors to the Cedi’s performance.

He accused the NDC of publicly downplaying the previous government’s economic interventions while quietly acknowledging them in official engagements with the IMF.

“Mr. Speaker, let me remind the NDC: whereas they have denied the successes of the NPP in laying the foundation, they have quietly indicated that in their report to the IMF.

“That is why recently the IMF exposed you — that you have acknowledged that the stability we find today is as a result of the foundation laid by the Akufo-Addo government,” he asserted.

Prince Adu-Owusu

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Speaking at a press briefing in Washington, Communications Director at the IMF Julie Kozack said Ghana has worked to significantly reduce inflation from a high of 54 percent at the end of 2022 to 13.7 percent by June 2025.

“Going forward, it will be important for monetary policy to remain sufficiently tight, consistent with bringing inflation down to the Bank of Ghana’s target range of 8 percent, plus or minus 2 percentage points,” she stated.

“Ghana has made good progress since the beginning of the program in reducing inflation. Inflation was extremely high at the end of 2022 at 54%. It has now come down substantially to 14% at end June 2025,” she added.

BoG starts PMC meeting

The Governor of the Bank of Ghana (BoG) Dr. Johnson Asiama has charged members of the Monetary Policy Committee (MPC) to ensure that their decisions support the ongoing economic recovery process without compromising current gains.

Dr. Asiama noted that one of the key questions that should be under consideration is whether “current macroeconomic configuration permits a recalibration of the policy stance”.

He reminded members of the committee that their decisions should be guided by the fact that inflation expectation is more firmly anchored, external buffers strengthened, and confidence maintained.

The Governor made the statements in his opening remarks at the Monetary Policy Committee meeting at the Bank of Ghana Head office in Accra today, July 28, 2025.

Dr. Asiama urged all the members to sharpen their focus on “forward-looking risks, policy trade-offs, and credible guidance to markets”.

“Our mandate requires a balanced decision that reinforces stability while enabling sustainable growth”, he emphasized.

Source: Joy Business 

The disclosure is contained in the Fund’s latest review report of Ghana’s 36-month Extended Credit Facility Programme, which is expected to conclude in 2026.

“On the expenditure side, the 2025 Budget comprises measures that aim at containing primary expenditure, including capping public sector wage increases to 10 percent,” Ghanaian authorities informed the IMF.

This development comes ahead of the presentation of the 2025 Mid-Year Budget Review by Finance Minister Dr. Cassiel Ato Forson, scheduled for tomorrow, January 24, 2025.

Official data from the finance ministry indicate that Ghana’s public sector wage bill is projected to cross $7 billion, consuming more than 30% of the country’s projected revenue and grants this year.

The current wage cap means salary increments for public sector workers will not exceed 10 percent in 2025.

The government has also outlined plans to limit spending on goods and services, streamline the operations of statutory funds, eliminate low-impact expenditure programmes, and carefully manage the pace of foreign-financed capital projects.

“Spending on goods and services will be limited, operations of several statutory funds rationalized, and programmes with limited value-for-money eliminated,” the government assured the Fund. “Execution of foreign-financed investments will be carefully paced, while social benefits will be expanded.”

In addition, the government has allocated what it described as “limited additional funding” — estimated by IMF staff to be less than 0.1 percent of GDP to support health and agriculture programmes, in a bid to partially offset reductions in development assistance from USAID.

Ghanaian authorities also disclosed that a comprehensive audit of the country’s accumulated domestic arrears is underway. Preliminary findings suggest that a significant portion of the arrears may lack valid supporting documentation, raising the possibility of a downward revision.

Already, government has made it clear in the 2025 budget that it will “complete work on the revision of the Single Spine Pay Policy to quell the incessant agitations of Organized Labor with special emphasis on linking pay to productivity. ”

According the Finance Minister, “this will reduce the wage overruns emanating from ad-hoc reviews in conditions of service, fuelled by the in-year labour agitations.”

He stressed that “public institutions have exploited this weakness by staging protests to agitate for enhancement in their conditions of service, a backdoor way of increasing their consolidated salaries”

As the government seeks to rein in expenditure to meet IMF programme targets, labour unions, including the Ghana Registered Nurses and Midwives Association and other public sector groups, are closely monitoring the mid-year budget for clarity on how their demands will be addressed.

Source: Isaac Kofi Agyei, JoyNews Research

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This gives the government the goodwill to proceed with the initiative, which is likely to feature in the mid-year budget review by the Finance Minister, Dr. Casel Ato Forson, on Thursday, July 24, 2025.

According to the Ghana Revenue Authority (GRA), several engagements on the new tax reforms have progressed steadily, as the local business community aligns with the IMF on some of the proposed initiatives.

Speaking to Joy Business, Commissioner of the Domestic Tax Revenue Division at the GRA, Edward Apenteng Gyamera, disclosed that stakeholders agreed on the removal of the COVID-19 levy, as well as other tax components that hamper business growth.

The Commissioner was speaking at one of the stakeholder engagements on the proposed tax reforms in Accra, where many business associations expressed confidence that the reforms will ease the tax burden on businesses while supporting domestic revenue mobilization.

“I think from the engagements with stakeholders and the IMF, issues that the Minister even indicated in the budget — for instance, the removal of the COVID levy — is something that has been agreed upon. I think so far, with our interaction with the stakeholders, everybody is of the view that this levy should be taken off when the reform is completed.

“Then the removal of the cascading effect of the levies — treating the levies as part of the VAT mechanism, where businesses can claim input and deductions — has been generally accepted by all,” he added.

The COVID-19 levy was introduced by the previous government to raise funds in support of COVID-19-related activities, as the government sought to revive the economy.

The levy was passed under the COVID-19 Health Recovery Levy Act, 2021, and assented to by then President Nana Addo Dankwa Akufo-Addo. It imposed a special levy — the COVID-19 Health Recovery Levy — on the supply of goods and services and on imports, to raise revenue to support COVID-19 expenditures and related matters.

Source: Ebenezer Sabutey

This advice comes at a time when Ghana has been grappling with persistent currency depreciation, rising inflation, and pressure on foreign reserves. To help ordinary citizens better understand the IMF’s position, this article breaks down the reasons and benefits behind the recommendation.

Why Does the Central Bank Intervene in the Forex Market?

First, it’s important to understand what forex intervention means. When the Ghana cedi is losing value rapidly against major currencies like the US dollar, the BoG may sell its foreign currency reserves mostly dollars to support the cedi. This short-term measure can stabilize the exchange rate, make imports more affordable, and calm investor nerves.

These interventions help in a few ways which includes

• Stabilizing the currency: Prevents the cedi from falling too quickly, which could make essential goods like medicine, fuel, and food even more expensive.
• Boosting confidence: Shows that the central bank is actively working to protect the economy, which reassures businesses and investors.
• Supporting imports: A stable exchange rate helps importers plan better and protects consumers from price shocks on imported goods.

However, while these short-term actions offer temporary relief, they come with long-term risks that the IMF believes Ghana must address.

The Risks of Over-Intervention

The IMF’s main concern is that frequent interventions in the forex market are not sustainable. Here’s why:

1. Depleting Foreign Reserves
   Every time the BoG sells US dollars to support the cedi, it draws from the country’s foreign reserves. These reserves are like a safety net, meant to be used in times of crisis. If they are used too often, Ghana could run low on the very funds it needs during economic emergencies or for critical imports.
2. Fueling Inflation
   Selling foreign currency usually involves injecting more cedis into the system. Too much local currency in circulation can lead to higher prices for goods and services which is inflation. This occurs as a result of the demand -pull inflationary effects of where demand increase does not match up to production.
3. Artificial Stability
   Constant interventions can create a false sense of calm. While the exchange rate may appear stable, the underlying economic problems will remain unaddressed. This artificial stability can deter long-term investors who prefer predictable and market-driven conditions.

The IMF’s Recommendation: A Shift to Smarter Policy

Rather than relying heavily on interventions, the IMF is urging Ghana to adopt a more structured and transparent policy framework for managing its currency. This includes:

• Letting the market play a bigger role in setting exchange rates, known as a managed float system.
• Using interest rate policy to manage inflation instead of direct forex market support.
• Building strong institutional frameworks to improve transparency and predictability in the FX market.

By doing this, Ghana can build a more resilient economy and reduce the risks of inflation and reserve depletion.

The Benefits of a Proper FX Policy Framework

Implementing a clear and effective FX policy framework has several long-term advantages:

• Protects the economy by preserving foreign reserves for genuine emergencies.
• Boosts investor confidence through transparency and predictability.
• Promotes price stability, helping citizens and businesses better manage their budgets.
• Encourages economic self-reliance, reducing the need for external bailouts or emergency funding.

What This Means for Everyday Ghanaians

At the heart of this policy recommendation is the wellbeing of Ghanaians. Less frequent intervention doesn’t mean the BoG will stop protecting the cedi. It means it will do so more wisely. In the long run, this approach can help:

• Keep the cost of living in check.
• Ensure Ghana has enough reserves for imports.
• Create a more stable and trustworthy economic environment.

Conclusion

The IMF’s recommendation for Ghana to reduce its forex market intervention is not about doing less it’s about doing better. By strengthening its FX policy framework, managing inflation smartly, and preserving critical reserves, Ghana can build a more stable economy that serves both present and future generations. With the right policies in place, Ghana can chart a path toward sustainable growth and financial independence.

Aephaniel Owusu-Ayemang is an upcoming Energy economist. E-mail: aephanielowusuagyemang@gmail.com

In a statement issued after the Executive Board completed the Fourth Review under the Extended Credit Facility Arrangement, the Fund acknowledged the government’s commitment to restoring macroeconomic stability.

According to the IMF, the corrective measures, combined with ongoing reform efforts and an improved external position, are expected to support Ghana in achieving economic stabilisation, rebuilding resilience, and fostering higher and more inclusive growth.

“The authorities are strongly committed to restoring fiscal discipline and addressing the structural weaknesses that led to the slippages. They have passed a 2025 budget consistent with the programme’s objectives and enacted an enhanced fiscal responsibility framework,” the Fund stated.

It added, “Looking ahead, staying the course of fiscal adjustment and completing the debt restructuring are key to ensuring fiscal sustainability. This should be supported by continued efforts to enhance domestic revenue mobilisation and streamline non-priority expenditure, while creating space for development priorities and enhanced social safety nets.”

The IMF further emphasised that improving tax administration, strengthening expenditure controls, and boosting the efficiency of State-Owned Enterprises (SOEs) are essential to sustain progress.

“In this context, forcefully addressing the challenges in the energy sector and addressing related arrears are critical to contain fiscal risks,” the Fund cautioned.

It also commended the government for significant strides in rebuilding international reserves and taking decisive steps to curb inflation.

“The Bank of Ghana should maintain an appropriately tight monetary stance until inflation returns to target, reduce its footprint in the foreign exchange market, and allow for greater exchange rate flexibility, including by adopting a formal internal FX intervention policy framework,” the Fund recommended.

On the financial sector, the IMF noted progress in tackling undercapitalised banks but called for further reforms.

“A further strengthening of financial sector stability requires fully implementing the plan to strengthen the National Investment Bank, finalising the reform strategy to support state-owned banks’ viability and sustainability, and developing contingency plans to address weak banks that fail to recapitalize,” it said.

The Fund urged the Bank of Ghana to intensify efforts to improve the crisis management and resolution framework, enhance financial sector safety nets, and resolve legacy issues affecting specialised deposit-taking institutions.

Source: Joy Business

The approval, announced by Ghana’s Finance Minister, Dr. Cassiel Ato Forson, represents the fifth tranche of funding under the ECF arrangement and comes as Ghana continues to demonstrate measurable progress in implementing comprehensive economic reforms.

“This landmark approval validates Ghana’s unwavering commitment to fiscal discipline and strategic economic transformation,” the Finance Minister stated in announcing the news. “Our comprehensive macroeconomic policies and carefully crafted structural reforms are delivering real results that the international community recognizes and supports.”

The IMF’s decision follows a thorough review of Ghana’s economic performance and adherence to programme targets.

The approval demonstrates that Ghana has successfully met the Fund’s benchmarks for fiscal consolidation, debt sustainability measures, and structural reform implementation.

Ghana entered the ECF Programme as part of broader efforts to stabilize its economy and restore macroeconomic balance following significant fiscal challenges. The programme has focused on reducing the fiscal deficit, improving debt management, and implementing structural reforms to enhance economic resilience.

The $370 million disbursement will provide crucial budgetary support as Ghana continues its economic recovery trajectory. The funds are expected to help the government maintain essential public services while continuing to implement reform measures designed to promote sustainable economic growth.

“Today marks another decisive step forward in Ghana’s economic recovery journey, demonstrating that our reform agenda is not just working — it’s exceeding expectations and rebuilding confidence in our nation’s financial future,” the Finance Minister emphasized.

The approval comes at a time when Ghana has been working to restore investor confidence and demonstrate its commitment to sound economic management.

The successful completion of the 4th Review under the ECF Programme is seen as a positive indicator of the country’s reform progress and fiscal discipline.

Source: Finance Ministry

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IMF Board to consider Ghana’s 4th programme review today

This is what JoyBusiness has picked up from persons with knowledge of Ghana’s programme with the IMF.

JoyBusiness understands that the government has met almost all the necessary conditions needed for the Board to meet on Ghana’s programme.

Sources say all the documents needed for the Executive Board of the IMF have been sent this week to help meet at least the four-day target before the Board meets.

The Fund is also taking Ghana’s programme to its Executive Board after the government reached a staff-level agreement on the fourth review of Ghana’s economic programme in April 2025.

Impact on Ghana’s Economy

Sources say the IMF Board will go ahead and pass Ghana on the fourth review when it meets next week.

The development will result in the Fund disbursing some US$370 million, which could hit the Bank of Ghana’s account by July 11, 2025.

The disbursement could bring the total amount that the IMF has disbursed to Ghana under the Extended Credit Facility, since government signed up to the Programme in May 2023, to more than $2.3 billion.

Some analysts have maintained that the development could increase the Bank of Ghana’s international reserves by the end of July 2025.

This is because some $370 million will hit Bank of Ghana’s account next week, while another $360 million should come from the World Bank to support the economy by the end of July 2025.

IMF Programme Targets

Ghana’s economic programme, supported by the ECF arrangement, has three key objectives: restoring macroeconomic stability, ensuring debt sustainability, and laying the foundations for higher and more inclusive growth.

One of the key targets includes reducing Ghana’s debts to sustainable levels by 2028.

This should result in Ghana’s debt-to-GDP ratio reducing to 55% of GDP by that time.

However, the latest data released by the Bank of Ghana showed that as of the end of April 2025, Ghana’s debt-to-GDP ratio had reduced substantially to 55% of GDP.

This is as a result of the cedi’s sharp appreciation against the US dollar for this year.

Data from commercial banks showed that the cedi has appreciated by more than 40% against the US dollar since the beginning of 2025.

President John Mahama, during a recent engagement at the African Development Bank in Ivory Coast, revealed that Ghana’s total debt stock has gone down by 150 billion as a result of the cedi’s appreciation against the US dollar.

Another critical target that Ghana has met before the completion of the IMF programme is Ghana’s international reserves.

Data from the Bank of Ghana’s Economic Report released in May showed that the country’s international reserves ending April 2025 stood at 10.6 billion.

This represented 4.7 months of import cover, way higher than Ghana achieved after the completion of the IMF programme .

Source: Joy Business 

Dr. Alter is expected to formally assume office on September 2, 2025.

He will take over from the current Country Representative, Dr. Leandro Medina, whose tenure of office will end in August 2025, after three years of service with the IMF in Ghana.

Dr. Medina, who was appointed in September 2022, played a key role in Ghana’s current Extended Credit Facility programme with the IMF, which is expected to end in May 2026.

JOYBUSINESS understands that Dr. Alter will be in Accra in August to aid the smooth transition and handover.

Who is Dr. Adrian Alter

Dr. Alter is currently part of the IMF Mission Team that is currently supervising Ghana’s Extended Credit Facility.

He is a senior economist at the IMF, where he works at the intersection of finance, policy, and development.

He has over a decade of experience at the IMF. Dr. Alter has supported countries across Africa and beyond in navigating complex economic challenges, including those related to financial stability, inflation, and sovereign debt.

His work has contributed to IMF-supported programmes in Ghana, Serbia and Tunisia, among others, where he has engaged closely with national authorities to design policies that promote macroeconomic stability, durable growth and resilience.

Dr. Alter brings a deep commitment to equitable development and sustainable progress.

Prior to joining the IMF, he held positions at the European Central Bank, Deutsche Bundesbank, and UBS Investment Bank.

Educational Background

He holds a Ph.D. in Economics and a Master’s Degree in Finance, and has completed executive training in financial stability at Yale University.

His research focuses on macroprudential and monetary policies, as well as the nexus between governments and financial institutions—critical areas for building stronger, more inclusive economies.

2016 – Programme on Financial Stability, Summer Institute, Yale School of Management, New Haven

2013 – PhD in Quantitative Economics and Finance (magna cum laude), University of Konstanz, Germany

2009 – MSc in Finance, HEC Lausanne, Switzerland

Previous Work Experience

2012/05 – 2012/11: European Central Bank, Frankfurt am Main, Germany (PhD Internship) Financial Stability Surveillance Department (DG-F) – contributed to the Financial Stability Review – Dec 2012, Surveillance Notes, the European Banking Union

2011/07 – 2012/04: Deutsche Bundesbank, Frankfurt am Main, Germany (Visiting Scholar) Banking Supervision Department – analyzed interbank interconnectedness, systemic risk, and bank capital buffers from a network perspective using the German Credit Register

2009/02 – 2009/07: UBS Investment Bank, Zürich, Switzerland (Internship) European Equities Trading Floor – contributed to reports for the Swiss Equities Management using data applications such as Bloomberg and Reuters

Dr. Adrian Alter’s Focus and priority Areas

Dr. Alter is expected to coordinate affairs locally on Ghana’s current programme with the IMF.

He may play important role on ongoing tax reforms being led by the IMF.

Dr. Alter is also expected to act as the local spokesperson for the IMF and engage other stakeholders like the government, the Finance Ministry, and the Bank of Ghana, as well as civil society groups.

Source: Joy Business

Sources familiar with Ghana’s ongoing programme with the IMF say the government has met almost all the necessary conditions for the Executive Board to proceed with its review.

All required documentation has reportedly been submitted this week, enabling the Board to meet the minimum four-day review window before the scheduled meeting on Monday, July 7.

The review follows a staff-level agreement reached in April 2025 on the fourth assessment of Ghana’s economic programme under the Extended Credit Facility (ECF).

Impact On Ghana’s Economy

According to sources, the IMF Board is expected to approve the fourth review, paving the way for the disbursement of US$370 million, which could reflect in the Bank of Ghana’s account by July 11, 2025.

If disbursed, this amount will bring total IMF disbursements to Ghana under the ECF programme—signed in May 2023—to more than US$2.3 billion.

Some analysts say the inflows will likely boost Ghana’s international reserves by the end of July. The country also expects an additional $360 million from the World Bank within the same period to support economic recovery.

IMF Programme Targets

Ghana’s economic programme under the IMF’s ECF arrangement aims to:

• Restore macroeconomic stability

• Ensure debt sustainability

• Lay the foundation for higher and more inclusive growth

A key target of the programme is to reduce Ghana’s debt-to-GDP ratio to 55% by 2028.

However, recent data from the Bank of Ghana indicates that this goal has already been achieved. As of April 2025, the country’s debt-to-GDP ratio had declined to 55%, aided largely by the cedi’s sharp appreciation against the US dollar.

Commercial bank data shows that the cedi has appreciated by over 40% since the beginning of 2025.

President John Mahama, speaking at a recent engagement with the African Development Bank in Ivory Coast, disclosed that the cedi’s gains had led to a ₵150 billion reduction in Ghana’s total debt stock.

Another key target Ghana has met is foreign reserves. According to the Bank of Ghana’s May Economic Report, the country’s international reserves stood at $10.6 billion as of the end of April 2025. This represents 4.7 months of import cover, a significant improvement compared to previous post-programme levels.

Speaking at a press conference in Washington, D.C., IMF Director of Communications Julie Kozack stated that future programme reviews would assess Ghana’s evolving macroeconomic and financial conditions, including the significant movement in the exchange rate.

“As we look at the programme, we look at all of these developments, including, of course, developments in the exchange rate,” she noted in response to a question from JOYBUSINESS.

She added that future reviews will incorporate these developments to ensure that the programme’s targets and objectives remain realistic and achievable.

IMF Programme Objectives

Ghana’s economic reform agenda, supported by the IMF’s Extended Credit Facility (ECF), focuses on three core objectives: restoring macroeconomic stability, ensuring debt sustainability, and laying the foundation for higher and more inclusive growth.

A key target under the programme is to reduce Ghana’s debt-to-GDP ratio to 55% by the end of 2028.

However, recent data from the Bank of Ghana suggests the country is ahead of schedule. As of the end of April 2025, Ghana’s debt-to-GDP ratio had already declined to 55%, largely due to the cedi’s sharp appreciation against the dollar.

Commercial bank data shows that the cedi has appreciated by more than 40% since the beginning of the year, with the current exchange rate at GH¢10.26 to the dollar.

President John Mahama, speaking at the African Development Bank meetings in Côte d’Ivoire, disclosed that Ghana’s total debt stock has been reduced by GH¢150 billion as a result of the cedi’s performance.

In a separate engagement, the President estimated the real exchange rate value of the cedi to be within the range of GH¢10 to GH¢12 per dollar.

Reserves Target Met

Ghana has also exceeded the IMF’s target for gross international reserves. As of April 2025, the country’s reserves stood at GH¢10.6 billion, equivalent to 4.7 months of import cover — significantly above the programme’s expectations at this stage.

IMF Board Meeting Scheduled

Julie Kozack also confirmed that the IMF Executive Board is expected to meet in the first week of July 2025 to consider Ghana’s fourth review under the ECF arrangement.

She said that, subject to Board approval, “Ghana would be scheduled to receive about US$370 million, bringing total support under the Extended Credit Facility to US$2.4 billion since May 2023.”

President Mahama recently announced that Ghana will not seek an extension of the programme beyond its scheduled completion in May 2026.

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Deputy Finance Minister Thomas Ampem Nyarko has emphatically reaffirmed the government’s resolve to maintain fiscal discipline and steer Ghana’s economy independently, stating that the country is fully capable of continuing its progress without further reliance on an IMF programme.

Speaking on Joy FM’s Super Morning Show during a discussion of President Mahama’s eight economic pillars, Mr. Nyarko underscored that the president’s policy framework is not only robust but also flexible enough to accommodate additional national priorities, including the critical issue of corruption.

“I want to assure everyone that the eight points President Mahama listed can be expanded to include corruption and other key concerns. We’ve made strong statements in the past about our commitment to fighting corruption. So, I do not believe that its omission here suggests the President is any less committed. He has made that clear — and he stands by it,” he said.

He added that President Mahama’s stance on Public Financial Management (PFM) serves as a direct signal of the administration’s broader intent to tackle corruption head-on.

“PFM, by its nature, speaks to our resolve to fight corruption. Yes, people expect the President to address everything, but if we tried to capture every issue, the list could easily grow to over a hundred points. What matters is that these pillars are expandable — they can evolve to reflect the concerns of our citizens,” he added.

Turning to the IMF programme, the deputy minister reminded listeners of the initial doubts surrounding the government’s ability to implement it effectively, especially in light of missed targets inherited from the previous administration.

“When we assumed office, there were serious concerns that we wouldn’t be able to deliver on the IMF programme. Major targets — including inflation and the primary balance — had been missed. But this government showed a clear and consistent commitment to implementation,” he stated.

Mr. Nyarko highlighted that structural benchmarks set for later in the year were actually achieved ahead of schedule.

“For example, the amendment to the Fiscal Responsibility Act was scheduled for completion by September 2025. We accomplished it in March through the budget we presented. Likewise, the fund streamlining expected by the end of June this year was also completed in March. These are not just milestones — they are proof of our seriousness in implementing the IMF programme and honouring the staff-level agreement.”

He expressed optimism that Ghana will secure the IMF Board’s approval at its June meeting and affirmed that the government remains fully committed to completing the programme as designed.

“We inherited this programme and we are committed to seeing it through. We believe we are doing exceptionally well. While some Ghanaians may worry that fiscal discipline and transparency only occur under IMF supervision, we have demonstrated that we are a disciplined government, with or without the IMF,” he revealed.

He further assured Ghanaians that the progress achieved under the programme will not be lost after an exit.

“We are committed to consolidating the gains we’ve made. It would be counterproductive to abandon our achievements only to risk derailing the economy after the programme ends,” he assured.

Mr. Nyarko made it clear that President Mahama intends to leave behind a strong economic legacy — one that resets the nation’s financial foundations and drives sustainable development.

“Let me allay everyone’s fears: if we complete the IMF programme and exit next year as scheduled, it does not mean a return to irresponsible economic management,” he said.

“It does not mean we will go back to an era where information is concealed from the public. We will not return to practices where debts are kept ‘below the line’ just to create artificial borrowing space. We will continue to manage the economy responsibly and ensure long-term debt sustainability,” he explained.

Mr. Nyarko directly addressed concerns raised by Professor Bokpin and other economic observers.

“We want to assure Professor Bokpin and all others with genuine concerns that exiting the IMF programme will not take us back into financial mismanagement. We are determined not to return to the IMF.”

“President Mahama has been consistent on this point — this must be the last time Ghana turns to the IMF. We can be disciplined on our own. And we will be,” he concluded.

Source :Kareen Tei  

Speaking on Joy FM’s Super Morning Show on Tuesday, May 27, Professor Bokpin expressed concerns about Ghana’s readiness for a full exit once the final review is completed around mid-2026.

“Given our current progress, if we essentially exit by December 2025 when reviews are complete around mid-2026, I think it will be premature to say, ‘yes, we’re walking away completely’. I see the government’s damage control approach of transitioning to a policy support instrument rather than full exit, but the reality is we all would prefer Ghana to stand independently,” he said.

Ghana has sought assistance from the IMF 17 times since independence, with previous programmes ending prematurely—often followed by economic relapses.

“If you check our records with the IMF, the government is actually more accountable to citizens when under an IMF programme. There’s greater transparency, collaboration and disclosure to the people of Ghana under IMF supervision than when we’re on our own,” Professor Bokpin noted.

He also raised alarms over inconsistencies in the country’s fiscal reporting, accusing both major political parties of manipulating the figures to suit their agendas.

“In early 2022, when we highlighted that the Bank of Ghana was monetising debt—essentially printing more cedis—the central bank denied it. We said, ‘Wait until the IMF applies their Debt Sustainability Framework.’ The truth came out—our debt-to-GDP ratio in present value terms was 109%, while before the IMF came in, we were reporting less than 80%,” he explained.

“Ghana’s public debt had become multiple choice—you picked the number based on which party you supported.”

While acknowledging recent improvements in some economic indicators, Professor Bokpin stressed that deep-seated institutional weaknesses still remain.

“We’ve aged but haven’t matured. On our own, we can’t hold ourselves to the accountability and discipline required for medium- to long-term progress. Can we demonstrate operational independence of a Fiscal Council that provides real oversight—not just theoretical?” he questioned.

Some economists and policy analysts have suggested that Ghana maintain a form of IMF engagement beyond 2025, while strengthening domestic fiscal institutions. Other proposals include implementing binding fiscal rules with enforcement mechanisms and improving transparency in debt reporting and monetary operations.

They warn that without such measures, Ghana risks repeating its boom-bust cycle and may soon return to the IMF.

He said this is one of the clearest signs that the economy is recovering.

“If there is one thing under the IMF programme that we have done well as a country, it is reserves accumulation,” he said.

“These were very ambitious targets. Anybody would have doubted if we could achieve them.”

Speaking to Joy News’ George Wiafe on PM Express Business Edition on Thursday, Dr. Mumuni revealed that Ghana has gone beyond the final benchmark set by the IMF.

“You know the target. The target at the end of the programme period is three months of import cover. We are above that. We’re around 3.7 months using the IMF metric,” he said.

He added that the numbers look even better when including Ghana’s petroleum funds.

“If you look at it broadly, including the petroleum funds, which also belong to Ghana, we are even at 4.7 months of import cover,” Dr. Mumuni stated.

He said this performance reflects careful planning and strong reserve management.

“This tells you we’ve devised very innovative ways of meeting market demand while still accumulating buffers,” he explained.

According to him, the central bank has been strategic in balancing its foreign exchange interventions.

“Whatever we are doing is now weighted more towards reserve build-up rather than just market support,” he said.

“We are meeting market demand without affecting our reserves.”

Dr. Mumuni rejected suggestions that the central bank is burning reserves to defend the cedi.

“Unfortunately, if that were the case, very smart market players would have read into it. The rally would be short-lived,” he said.

Instead, he said the market is responding positively because the reserve growth is real and organic.

“On the contrary, we are accumulating reserves much faster than anticipated. These are not debt-creating reserves,” he said.

“These are organically accumulated reserves. And they’re high.”

Dr. Mumuni disclosed that by the end of April, Ghana’s reserves were already over $10 billion.

“We even expect that number to hit some $11 billion by the end of the second quarter,” he revealed. “This is far in excess of what is expected under the IMF programme.”

He said this performance is one of the reasons the cedi is showing resilience.

“That’s what’s giving a lot of confidence in the system,” he said. “That’s why the market believes this can be sustained.”

Dr. Mumuni believes this signals a turning point.

“This time is different,” he said.

According to the Governor, Dr. Johnson Asiama, policy coherence and regulatory agility must go hand-in-hand to create a vigorous and effective payment system.

“We see strong potential in tools such as multi-regulator sandboxes, which bring regulators, innovators, and governments into a shared testing environment. Similarly, Supervisory Technologies (SupTech) can enhance real-time compliance monitoring, cross-border data flows, and information sharing,” he said during a meeting with Central Bank Governors in Accra. The meeting also included the Deputy Director of the International Monetary Fund African Department and senior officials from the World Bank and IMF.

“We must also be proactive in shaping international digital standards – in areas such as AML/CFT, digital identity, and data privacy – so that they are inclusive of our contexts rather than imposed from outside. Digital trade agreements, when thoughtfully constructed, can also promote interoperability and trust,” he added.

The Governor continued, “But as we talk about systems and standards, let us not lose sight of the real human stories behind these reforms. The single mother receiving remittances to keep her children in school. The young entrepreneur seeking payment channels to export their goods. The regulator striving to ensure innovation does not outpace resilience. These are the lives we must center in our work.”

Cross-Border Payments

The Governor emphasized that cross-border payments, in particular, hold immense potential to drive inclusive growth and support livelihoods – yet they continue to face multiple challenges, such as high transaction costs, slow processing times, limited transparency, and inadequate interoperability.

He noted that these issues arise from a patchwork of regulatory frameworks, legacy systems, differing time zones, and a lack of alignment on data standards, consumer protections, and compliance protocols.

For the continent, Dr. Asiama stated that the stakes are high, pointing out that remittances, often lifelines for families, remain costly and inefficient. Additionally, small businesses face challenges with the high friction of cross-border trade settlements, and regulators struggle with balancing openness with oversight.

The seminar will conclude today, May 13, 2025. The Governor urged all participants to engage in open, forward-looking, and critical dialogue.

In April 2020, the IMF provided the financing to help Africa’s largest oil exporter cope with a collapse in crude prices, which severely impacted its finances and tipped the economy into recession.

IMF resident representative to Nigeria, Christian Ebeke, said in a statement that, as of April 30, the country had “fully repaid the financial support” it received under the Fund’s Rapid Financing Instrument, a facility that provides urgent balance of payments funding to member nations.

“Nigeria is expected to honor some additional payments in the form of Special Drawing Rights charges of about $30 million annually,” Ebeke added.

The most recent data from the Debt Management Office shows that Nigeria spent $4.66 billion last year to service its foreign debt, with $1.63 billion of that amount going to the IMF.

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He emphasized the importance of strengthening the debt sustainability framework to proactively prevent unsustainable debt accumulation without unduly limiting access to much-needed development assistance.

Speaking on behalf of African Governors at the 2025 African Consultative Meeting during the ongoing IMF/World Bank Spring meetings in Washington, DC, Dr. Asiama said refining the IMF’s debt sustainability toolkit is critical in this regard.

He added, “We urge the IMF to enhance its risk assessment tools and early warning systems to timely identify potential debt sustainability issues. We expect the ongoing review of LIC DSA to take stock of shortcomings and address them.”

He also urged the IMF to continue leading debt restructuring and debt relief efforts.

“While we appreciate the work of the Global Sovereign Debt Roundtable (GSDR) and G20 Common Framework, the ongoing high debt vulnerabilities in developing countries, especially in Africa, call for a more comprehensive debt relief strategy. Streamlining processes, enhancing debt transparency and reporting, and incentivizing private creditor participation in the Common Framework are crucial for fostering confidence and encouraging early engagement from members,” he pointed out.

Additionally, Dr. Asiama noted that Multilateral Development Banks’ significant exposure to debt-vulnerable countries necessitates deeper discussions on fairer debt treatment across different creditors and additional financing support.

He called on the IMF to use its convening powers to drive this dialogue at the GSDR.

Dr. Asiama concluded by stressing the importance of enhancing policy coordination among international financial institutions (IFIs), urging the IMF, other IFIs, and regional bodies to better coordinate and align their financial and technical support to developing countries, considering their diverse needs and capacities.

“Promoting regional cooperation to address common challenges and capitalize on collective strengths is paramount. Given the debt vulnerabilities exacerbated by climate change, we call for enhanced collaborative efforts. This includes proposing ambitious yet achievable and monitorable concessional financing options, establishing joint financing mechanisms, and developing common policy frameworks,” he said.

Half of SSA at High Risk or Already in Debt Distress

Meanwhile, Dr. Asiama noted that half of Sub-Saharan African countries are at high risk of, or already in debt distress by the end of 2024. This severely constrains fiscal space for essential social and development spending, and hinders progress towards achieving the SDGs.

He expressed particular concern about the per capita public expenditure on interest payments in Africa, which has surpassed spending on health and education, exacerbated by declining overseas development assistance.

However, he stated that African Governors are committed to proactive debt management, enhancing revenue mobilization, and rationalizing expenditures to restore fiscal and debt sustainability while implementing policies to promote durable economic growth.

But these efforts require stepped-up international cooperation and support from development partners, including the IMF.

The theme for the occasion was “Debt Vulnerabilities in Developing Countries—a Key Challenge for Achieving the Sustainable Development Goals (SDGs).”

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Speaking during the launch of the Global Policy Agenda at the IMF/World Bank Spring Meetings in Washington, DC, Georgieva said the IMF has the tools and resources to respond when requests for support are made.

“We can fall on our policy tools to assist any country, including financial assistance when needed,” she said.

“As always, we will be there for our members by focusing on what we do best—helping them secure economic and financial stability.”

Global Tariff War and Its Impact

Addressing journalists at a press conference, the IMF boss noted that while the direct effects of the tariff war may be minimal for many African countries, she is concerned about the broader consequences.

“I am worried about the indirect impact,” Georgieva said.

“Every country in the region must take steps to build more buffers and press ahead with programs that will help cushion expected shocks.”

Ghana’s Policy Response

Georgieva encouraged Ghana and other African nations to take proactive short-term measures to mitigate potential fallout.

“There is still a lot that can be done on the fiscal side, while building the required buffers for a moment of shock,” she stated. “Continue strengthening Ghana’s fundamentals.”

She also emphasized tax reforms: “Don’t use any excuses. Do more to broaden the tax base by reducing tax evasion and tax avoidance.”

Mixed Outcomes for African Economies

The IMF chief said the tariff war presents both challenges and opportunities, depending on the economic structure of each country.

“For oil producers like Nigeria, falling oil prices create additional pressure on their budgets,” she observed. “On the other hand, for oil importers, this is a breath of fresh air.”

She warned that the trade-offs will be tough for low-income countries but reiterated the importance of domestic resource mobilization.

“We cannot have countries with a tax-to-GDP ratio below 15 percent and still expect to sustain the functioning of the state.”

Advice to Central Banks

Georgieva advised central banks across the region to monitor inflation expectations closely while supporting economic growth.

“Watch the data. Watch inflation expectations. Central banks will need to strike a delicate balance between supporting growth and containing inflation,” she said.

She stressed the importance of central bank independence, adding: “Credibility is key. Protect it.”

Call for Greater Intra-African Trade

The IMF Managing Director also called for stronger inter-regional trade on the continent.

“Africa has so much to offer the world. Obviously, they have the minerals, the natural resources, and the young population,” she said.

“A more unified, more collaborative continent can go a long way to becoming an economic powerhouse.”

In an interview on Joy News’ PM Express Business Edition on April 24, he described the government’s posture as one of political optics over substance and warned that Ghana may be walking away from the very structure that could have enforced needed reforms.

“IMF will do a victory lap dance. The government will join them. And then we will conclude by 2028 that we have not met those targets.

“But by that time, we’re not in the programme. So the question then becomes: do we need the programme to meet the targets?” he stated.

Bright Simons believes the core problem lies in Ghana’s tendency to treat IMF deals as transactional exercises instead of strategic reform platforms.

“The targets are still relevant,” he stressed, referring to key benchmarks like debt-to-GDP ratios.

“But I think at that time, the targets will not be relevant. They will not be relevant anymore,” he said, implying that political cycles will have diluted accountability.

He accused both the government and the IMF of prioritising messaging over measurable outcomes.

“The IMF itself has said, ‘Look, the signalling is not pretty.’ They’ve elevated the signalling above the facts,” Bright Simons charged.

“And the government will take advantage of it.”

The critique cuts deeper when he compares Ghana’s approach to peer nations.

“Look at Kenya,” Simons pointed out. Kenya decided to terminate their programme early and raised money from the Gulf. They got $1.5 billion. That mindset is going to gain ground in a lot of places.”

Even Nigeria, Simons noted, has avoided an IMF deal entirely—despite internal turbulence.

“Nigeria decided not to go for an IMF programme at all. Obviously, there are consequences. But they made the call,” he said.

Bright Simons questions the IMF’s commitment to ensuring that programme goals are met beyond the duration of the agreement.

“If the IMF really wanted us to get to those targets, it should have encouraged the government when they said they wanted to extend,” he argued.

“That was the only way from 2026 to 2028 that there could have been programme levers to deliver those targets.”

Instead, he suggested the government is betting on regaining market access rather than staying under IMF scrutiny.

“If they don’t do the IMF programme because they think they can get market access, which I think by that time they will—then the IMF targets, the 70%, 55% debt-to-GDP… those things just fade away.”

At the heart of Bright Simons’ concern is the idea that exiting the programme with pomp may be politically expedient but economically premature.

“I sense that this whole discussion about staying or leaving the IMF is increasingly irrelevant,” he said.

“The real issue is whether we are serious about structural reform or just looking for a good story to tell investors.”

However, the World Bank projects a significant reduction in inflation to 9.4% by 2026. In its April 2025 Africa Pulse Report, the World Bank estimated that Ghana’s inflation rate would drop further to 8.0% in 2027.

“Of 47 countries in the region, 14 still have inflation rates of two digits or more—including Angola, Ethiopia, Ghana, Malawi, Nigeria, Sudan, and Zimbabwe, among others. By 2027, the number of countries with two-digit or higher inflation rates is expected to fall to six,” the report stated.

The report noted that inflation will continue to converge toward target levels across African countries, though there may be challenges if inflation risks rise due to the implementation of more restrictive trade policies globally.

The report also highlighted that inflation rates are still in double digits for countries such as Angola, Burundi, Ghana, Malawi, Nigeria, Sudan, and Zimbabwe.

Meanwhile, the median inflation rate in Sub-Saharan Africa is expected to decline from 7.1% in 2023 to 4.5% in 2024, with a slight rise to an annual average rate of 4.6% projected for 2025–2027.

The World Bank indicated that approximately 70% of countries in the region experienced a deceleration of inflation in 2024. This decline can be attributed to the easing of supply chain pressures, the impact of contractionary monetary and fiscal policies, and greater currency stability. However, the variability of inflation across countries remains high.

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According the Bretton Woods institution, the swift escalation of trade tensions and extremely high levels of policy uncertainty are expected to have a significant impact on global economic activity.

“Global growth is projected to drop to 2.8 percent in 2025 and 3 percent in 2026—down from 3.3 percent for both years in the January 2025 World Economic Outlook (WEO) Update, corresponding to a cumulative downgrade of 0.8 percentage point, and much below the historical (2000–19) average of 3.7 percent” the IMF said in its April 2025 WEO.

The report pointed out that in emerging market and developing economies, growth is expected to slow down to 3.7 percent in 2025 and 3.9 percent in 2026, with significant downgrades for countries affected most by recent trade measures, such as China.

“Growth in advanced economies is projected to be 1.4 percent in 2025. Growth in the United States is expected to slow to 1.8 percent, a pace that is 0.9 percentage point lower relative to the projection in the January 2025 WEO Update, on account of greater policy uncertainty, trade tensions, and softer demand momentum, whereas growth in the euro area at 0.8 percent is expected to slow by 0.2 percentage point”.

The report added that global headline inflation is expected to decline at a pace that is slightly slower than what was expected in January, reaching 4.3 percent in 2025 and 3.6 percent in 2026, with notable upward revisions for advanced economies and slight downward revisions for emerging market and developing economies in 2025.

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Speaking at a joint press briefing with the Bank of Ghana and the International Monetary Fund, Dr. Forson acknowledged the challenges but stressed that targeted reforms are already underway to stem losses and improve financial transparency.

“Fiscal risks in the energy sector remain a challenge, but we have instituted measures to reduce, and eventually eliminate, the shortfall,” he told journalists.

Among the key interventions, the Finance Minister highlighted the operationalisation of a single account mechanism and the strict enforcement of the Cash Waterfall Mechanism. This system ensures fair and consistent payments to Independent Power Producers (IPPs) based on established guidelines.

These reforms are expected to improve liquidity flow within the energy sector and prevent the accumulation of new arrears—a recurring issue that has long strained Ghana’s public finances.

Dr. Forson reaffirmed the government’s commitment to transparent governance in the sector, emphasizing that addressing inefficiencies is crucial for restoring macroeconomic stability and securing the credibility of Ghana’s IMF-supported recovery programme.

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Speaking on behalf of the President, Finance Minister Dr. Cassiel Ato Forson assured Ghanaians and international partners that the government remains focused on delivering the objectives of the programme.

“We remain fully committed to the implementation of the programme and will do all it takes to ensure that its objectives remain on track,” Dr. Forson declared.

Acknowledging the economic hardships facing citizens, the Finance Minister expressed gratitude to Ghanaians for their patience and resilience during this period of recovery.

He noted that government efforts will continue to prioritise inclusive growth, job creation, and the protection of the poor and vulnerable.

Dr. Forson also pledged to personally lead the charge to meet all commitments under the IMF arrangement, reinforcing the Mahama administration’s credibility with both domestic and international stakeholders.

“This is about building the Ghana We Want — together,” he stressed.

“We fully recognise the sacrifices made by every Ghanaian as we work together to restore macroeconomic stability and secure a brighter future for our nation.”

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