Finance Chief Adam confident of IMF $360m third installment approval at month’s end following Official Creditor agreement on MoU
Finance Chief, Dr. Mohammed Amin Adam, has expressed optimism that the International Monetary Fund (IMF) will approve the third tranche of funding support, amounting to $360 million after the Fund’s Board review of Ghana’s programme at the end of this month.
The optimism expressed by the Finance Chief comes on the back of the Government reaching a significant milestone in its debt restructuring efforts by formalizing a Memorandum of Understanding (MoU) with its Official Creditor Committee (OCC) concerning the debt treatment agreed upon in January 2024.
Speaking at a press briefing in Accra on May 12, 2024, Dr. Amin Adam remarked that the MoU agreement marks a critical milestone, setting the stage for the IMF to assess Ghana’s performance under the three-year economic support programme, emphasizing that Ghana has successfully met all necessary requirements for the IMF’s approval, underscoring the government’s confidence in overcoming the final hurdle for the release of the $360m third tranche.
“We are very confident they will approve our second review because we have met all the requirements. The last hurdle was the agreement. We needed to meet with the bilateral creditors which we have now met. We do not anticipate any challenges,” he stated.
The second review programme for the third tranche funding is slated to be presented to the IMF Executive Board by the end of June 2024.
The approval and subsequent disbursement of funds are crucial components of Ghana’s Extended Credit Facility (ECF) programme, aimed at bolstering economic recovery and stability.
Earlier this month, Ghana reached a staff-level agreement on economic policies and reforms as part of the second review of the ECF programme, further solidifying its path towards financial stability and growth.
