• Login
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
  • Home
  • News
    • General
    • Political
  • Economy
  • Business
    • Agribusiness
    • Aviation
    • Banking & Finance
    • Energy
    • Insurance
    • Manufacturing
    • Markets
    • Maritime
    • Real Estate
    • Tourism
    • Transport
  • Technology
    • Telecom
    • Cyber-security
    • Cryptocurrency
    • Tech-guide
    • Social Media
  • Features
    • Interviews
    • Opinions
  • Reports
    • Banking/Finance
    • Insurance
    • Budgets
    • GDP
    • Inflation
    • Central Bank
    • Sec/Gse
  • Lifestyle
    • Sports
    • Entertainment
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video
No Result
View All Result
No Result
View All Result
NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
No Result
View All Result
Home Economy

Quicken move to get IMF programme – Laporte tells gov’t

3 years ago
in Economy, Features, highlights, Home, home-news, latest News
2 min read
0 0
0
95
VIEWS
Share on FacebookShare on TwitterShare on Linkedin

Quicken move to get IMF programme – Laporte tells gov’t

Government has been advised by the World Bank Country Director for Ghana, Liberia, and Sierra Leone, Pierre Laporte to quicken its move to get a balance of payment programme from the IMF to deal with the country’s prevailing economic challenges.

According to Mr Laporte, the country will find it difficult dealing with the prevailing economic challenges without support from the IMF.

Ghana is currently seeking a programme under the Fund.

The Managing Director of the IMF Kristalina Georgieva stated that a deal between Ghana and the IMF should be reached and finalized before the end of the year.

In a closed-door meeting with President Nana Addo Dankwa Akufo-Addo on Monday, September 5, on the sidelines of the Africa Adaptation Summit, in Rotterdam, Netherlands, she told him “we understand the urgency, and we will move as quickly as possible”.

Describing Ghana as a “superb country”, she reiterated the determination of the Fund to work with Government and the Ministry of Finance, and ensure that an agreement is in place before the end of the year.

RelatedPosts

AfCFTA Secretary-General Mourns Ghana Helicopter Crash Victims

15% US Tariff on Ghanaian Exports Takes Effect Today

President Mahama Reassigns Defence and Environment Ministerial Portfolios Following Fatal Helicopter Crash That Killed Two Ministers

On his part, President Akufo-Addo indicated to the IMF boss that a lot of work has been done by Cabinet and the Ministry of Finance, and the document to be presented by the Ghana side “is ready for the scrutiny of the IMF”.

Speaking on domestic debt restructuring in the interview, Mr Laporte said a domestic debt restructuring by government will have serious repercussions for the banking industry.

This is because, most banks in the country, he noted, have high exposure to government debts.

According to him, a domestic debt restructuring by government will affect the capital adequacy ratio (CAR) of banks.

Capital adequacy ratio measures banks’ ability to absorb potential losses arising out of bad loans. It is also used to determine the solvency of a bank.

A domestic debt restructuring will mean cutting down government’s debts to banks which means losses to banks, as government debts form a major component of banks’ assets.

“Any attempt by government to apply a haircut to domestic debt will seriously hamper the banking industry particularly the capital adequacy ratio of banks as banks are highly exposed to government debts (sic),” he stated.

Ghana’s external debt restructuring may now be hard to avoid, says Singapore based financial research firm, REDD Intelligence.

Mark Bohlund, Senior Analyst at REDD Intelligence, first pointed to a likely need for Ghana’s sovereign debt restructuring back in October 2021, but general market chatter about its inevitability intensified after the country formally approached the International Monetary Fund (IMF) for help.

The research firm recently discussed Ghana’s increasingly troubling debt situation and challenges of including domestic debt in any potential restructuring, and looked at collective action clauses in Ghana’s sovereign Eurobonds.

“After many months of hoping the country would be able to increase its revenue streams and tighten its fiscal policy to avert a looming balance of payments crisis, most international investors are now reluctantly assessing a potential timing and format of an expected debt exercise.

“The key next step will be a debt sustainability assessment from the IMF, which is expected by the end of 2022 or in early 2023, and will help determine if the country has a liquidity or a debt sustainability issue,” said REDD Intelligence.

 “The market consensus is that the African nation [Ghana] is unlikely to regain market access any time soon, with or without an IMF programme. With just over $7 billion of total international reserves and no major external debt repayments until 2025, Ghana likely has up to 12 months before it runs out of liquidity,” it added.

Tags: economic challengesIMFQuicken move to get IMF programme - Laporte tells gov'tWorld Bank
No Result
View All Result

Highlights

GOC Suspends King’s Baton Relay in Response to Tragic Helicopter Crash Claiming Eight Lives, Including Two Ministers

Kopa Trophy 2025: Yamal, Doue, and Agyemang Lead Nominees for Best Young Player

Letshego Ghana Delivers Strong and Stable H1 2025 Results, Driven by Solid Business Fundamentals

Ghana Chamber of Mines Pays Tribute to Omane-Boamah, Dr Murtala Mohammed and Six Others in Helicopter Crash

FirstBank Ghana Equips Graduate Trainees 

GRTCC Suspends 20% Transport Fare Hike Following Talks with Transport Ministry

Trending

Features

AfCFTA Secretary-General Mourns Ghana Helicopter Crash Victims

August 7, 2025

AfCFTA Secretary-General Mourns Ghana Helicopter Crash Victims The Secretary-General of the African Continental Free Trade Area (AfCFTA),...

15% US Tariff on Ghanaian Exports Takes Effect Today

August 7, 2025

President Mahama Reassigns Defence and Environment Ministerial Portfolios Following Fatal Helicopter Crash That Killed Two Ministers

August 7, 2025

GOC Suspends King’s Baton Relay in Response to Tragic Helicopter Crash Claiming Eight Lives, Including Two Ministers

August 7, 2025

Kopa Trophy 2025: Yamal, Doue, and Agyemang Lead Nominees for Best Young Player

August 7, 2025

Who we are?

NORVANREPORTS.COM |  Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World

NorvanReports is a unique data, business, and financial portal aimed at providing accurate, impartial reporting of business news on Ghana, Africa, and around the world from a truly independent reporting and analysis point of view.

© 2020 Norvanreports – credible news platform.
L: Hse #4 3rd Okle Link, Baatsonaa – Accra-Ghana T:+233-(0)26 451 1013 E: news@norvanreports.com info@norvanreports.com
All rights reserved we display professionalism at all stages of publications

No Result
View All Result
  • Home
  • Business
    • Agribusiness
    • Aviation
    • Energy
    • Insurance
    • Manufacturing
    • Real Estate
    • Maritime
    • Tourism
    • Transport
    • Banking & Finance
    • Trade
    • Markets
  • Economy
  • Reports
  • Technology
    • Cryptocurrency
    • Cyber-security
    • Social Media
    • Tech-guide
    • Telecom
  • Features
    • Interviews
    • Opinions
  • Lifestyle
    • Entertainment
    • Sports
    • Travel
    • Environment
    • Weather
  • NRTV
    • Audio
    • Video

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
NORVANREPORTS.COM | Business News, Insurance, Taxation, Oil & Gas, Maritime News, Ghana, Africa, World
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.