By: Franklin ASARE-DONKOH
The International Monetary Fund (IMF) has approved the second tranche of US$600 million for Ghana.
The IMF Ghana Country Director announced this during a joint press conference held on Friday, January 19, 2024.
“The Executive Board of the International Monetary Fund (IMF) completed today the First review of the $3 billion, 36-month Extended Credit Facility (ECF) Arrangement, which was approved by the Board on May 17, 2023, as well as the 2023 Article IV Consultation with Ghana.
The completion of the first ECF review allows for an immediate disbursement of SDR 451.4 million (about US$600 million), bringing Ghana’s total disbursements under the arrangement to about US$1.2 billion.”
This comes after Ghana struck a deal with its bilateral lenders, including China and France, late last week—a key step that has unlocked the second disbursement.
This approval means Ghana has successfully passed its first review under the Fund program after receiving the initial tranche in May last year.
The government has indicated that this fresh funding will be utilised to support activities in the 2024 budget.
Ghana has successfully secured a moratorium with its official creditors, postponing debt payments until May 2026.
Reports suggest that the country expects to finalise an agreement with Eurobond investors to restructure a $13 billion debt by the end of March.
Finance Minister Ken Ofori-Atta announced that payments for $5.4 billion in bilateral obligations would be made in two instalments over 16 and 17 years.
