Ghana in crisis: IMF team lands today, negotiations begin July 6

Beginning on Wednesday, July 6, a group of representatives from the International Monetary Fund (IMF) will begin a series of meetings with officials from the government of Ghana to discuss the economic recovery program.

 

 

Following an announcement made by Ghana that it will seek support from the Fund for its balance of payments, the meeting has been scheduled.

 

On Friday, President Nana Akufo-Addo gave the Ministry of Finance permission to formally engage the Fund for a Balance of Payment support. This authorization came from the president.

 

The president had earlier requested that the Managing Director of the IMF, Miss Kristalina Georgieva, make the announcement on behalf of the government.

 

According to a statement that was issued by the Ministry of Finance on Monday, the arrival of the IMF delegation in the country is scheduled for Tuesday.

 

According to the statement released by the Ministry of Finance, “The Ministry additionally takes this opportunity to assure Ghanaians of the Government’s determination to successfully negotiate a program with the IMF in the coming months, in support of Ghana’s economic recovery.”

 

After suffering losses as a result of the COVID-19 epidemic and the Russia Ukraine crisis, the government will return to the IMF in 2019 when it completes a program with the IMF and then exits the program.

 

The government was unable to access the international capital market as a result of the twin crises, which caused a spike in inflation and excessive debt levels that amounted to almost 80 percent of GDP.

 

The cedi’s value has decreased relative to major trading currencies as a result of pressure brought on by a reduction in the country’s foreign exchange reserve.

Source : coversourcenews

 

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