IMF and Ghana Reach Staff-Level Agreement on Fourth Review of ECF-Supported Program
ACCRA, April 15, 2025 — The International Monetary Fund (IMF) and the Government of Ghana have reached a staff-level agreement on the fourth review of Ghana’s ongoing economic program under the Extended Credit Facility (ECF). Once approved by the IMF Executive Board, the agreement will unlock an additional US$370 million in financial support to Ghana.
The announcement was made following an IMF mission led by Mr. Stéphane Roudet, which concluded its two-week assessment in Accra today. The support comes under a 36-month ECF arrangement approved in May 2023, valued at SDR 2.242 billion (approximately US$3 billion).
According to Mr. Roudet, the agreement reflects Ghana’s recent progress, including stronger-than-expected economic growth in 2024 driven by the mining and construction sectors, a robust export performance—particularly in gold—and an increase in remittances. These gains have helped Ghana accumulate international reserves above program targets.
Despite this progress, the IMF flagged a sharp decline in program performance towards the end of 2024, largely due to fiscal slippages ahead of the general elections, rising inflation, and delays in key reforms. The preliminary data revealed a primary fiscal deficit of about 3.25% of GDP, a significant miss from the targeted 0.5% surplus.
To address these setbacks, the newly elected government has implemented a more disciplined 2025 budget, targeting a 1.5% primary surplus, and launched public financial management reforms. These reforms include a tighter fiscal responsibility framework and stricter expenditure rules.
The IMF mission also engaged with Ghanaian authorities on structural reforms aimed at improving transparency, governance, and the management of State-Owned Enterprises (SOEs) in critical sectors like gold, cocoa, and energy. Measures such as the resumption of quarterly electricity tariff adjustments and ongoing financial sector recapitalization were also discussed.
On the monetary front, the Bank of Ghana has taken steps to rein in inflation through policy rate hikes and revised liquidity management strategies.
Additionally, the IMF welcomed Ghana’s continued efforts toward comprehensive debt restructuring under the G20 Common Framework. A Memorandum of Understanding with official creditors has been signed, and the government is working to finalize bilateral agreements and engage commercial creditors in good faith.
During the mission, IMF officials met with key stakeholders, including Finance Minister Dr. Cassiel Ato Forson and Bank of Ghana Governor Dr. Johnson Asiama. The IMF expressed appreciation for the transparency and strong cooperation shown by the Ghanaian authorities throughout the review process.
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