By Josephine Kekeli
Finance Minister Designate Cassiel Ato Forson has hinted at the likelihood of seeking extra funding from the International Monetary Fund (IMF) (IMF), which is highly possible in order to stabilise the economy amid ongoing challenges.
“We are committed to work with the IMF, but we also want to ensure that we can raise financing; additional finance, working with the IMF and other domestic, international partners,” Ato Forson toldreporters, ahead of a meeting with an IMF team that is currently visiting Accra.
During an interview with Reuters on Thursday, January 9, ahead of discussions with the IMF delegation visiting Accra, he asserted that the reliance on Treasury bills and others has not been very helpful, and to address this, the new administration would ensure to cut public spending to help lower inflation.
“There is a lot of wastage in the system, and we will cut them.”
The Majority Leader also committed to reforming the cocoa sector, which is crucial to Ghana’s economy. The reforms will focus on addressing funding issues, crop diseases, and production challenges.
Ghana’s economy, which defaulted on most external debt in 2022, is concluding a debt restructuring process. Forson assured that Mahama’s administration would finalise negotiations with non-Eurobond commercial creditors.
While Mahama previously campaigned on renegotiating Ghana’s IMF bailout terms, market analysts believe the current programme will remain intact due to limited fiscal flexibility.
