Accra: Ghana can pay back its debts when they fall due, once it keeps to the implementation of objectives of the US$3 billion loan-supported programme with the International Monetary Fund (IMF). Those were the words of Mr. St©phane Roudet, IMF Mission Chief for Ghana, in a roundtable discussion with some Ghanaian journalists at the just-ended spring meetings of the IMF and the World Bank Group, in Washington, DC, USA.
According to Ghana News Agency, Mr. Roudet stated that the macroeconomic framework presented to the IMF Board assumes that Ghana’s payables will be repaid at some point. However, the pace of repayment will depend on the government’s ability to secure the necessary financing. For instance, the government has made provisions in the 2025 budget for repayment of arrears amounting to GHS13 billion as part of efforts to meet the country’s debt obligations.
Mr. Roudet responded to a question from the Ghana News Agency about the government’s capability to meet its payables despite a large accumulation in 2024. He noted that last year’s primary balance on a commitment basis was a deficit of about three and a quarter per cent of GDP, compared to a surplus of half a per cent of GDP under the ongoing IMF programme target. The staff mission discussed short-term interventions with the Ghanaian authorities to realign the country’s fiscal path.
The IMF has observed strong fiscal measures, including a primary surplus target of one and a half percent of GDP for this year. This target is supported by efforts on both spending and revenue fronts. Moreover, fiscal reforms such as amendments to the Procurement Act have been implemented, requiring the Ministry of Finance’s authorisation before public procurement is permitted, putting the ministry at the center of project implementation.
The mission staff and Ghanaian authorities also discussed addressing structural challenges like the Fiscal Framework and Fiscal Council. Effective implementation of these reforms is expected to strengthen the country’s fiscal position, aiding in meeting debt obligations.
Ghana has been implementing a three-year US$3bn Extended Credit Facility (ECF) programme with the IMF since 2023, aimed at restoring macroeconomic stability and debt sustainability. Initiated under former President Nana Addo Dankwa Akufu-Addo’s administration, the programme is now overseen by President John Dramani Mahama and is set to conclude in 2026.
