IMF: Ghana has fulfilled obligations, awaiting creditor action on debt restructuring

• Posted on October 16, 2023October 16, 2023
• by Nana Kwesi Coomson
• Comment

The Director of the African Department at the International Monetary Fund (IMF), Abebe Aemro Selassie, has confirmed that Ghana has taken the required steps to secure the long-awaited financing assurance from its external creditors.

He added that the IMF is patiently awaiting responses from bilateral creditors.

“I have to tell you that whereas it took something like nine months or more for Zambia to get the official creditor committee to be created, in Ghana’s case, it was fairly rapid…Ghana has done its fair share and it’s for the creditors to take steps,” Mr. Selassie said when addressing journalists following the publication of Africa’s Regional Outlook Report during the Annual IMF/World Bank meetings in Marrakesh, Morocco.

He added “We’re not going to be asking the government to do more adjustment because creditors haven’t asked either. We will provide all the information necessary, so creditors can move, allowing us to go to the Board as soon as possible.”

Finance Minister Ken Ofori-Atta earlier disclosed that Ghana had secured assurances from both China and France regarding the Memorandum of Outstanding (MoU) for the restructuring of the country’s external bilateral debts.

“We have met the Central Bank Governor of China and we don’t perceive any opposition or reluctance in participating positively when it comes to the Memorandum of Understanding on restructuring of our external bilateral debts” the Finance Minister said.

Responding to inquiries from journalists at the Annual International Monetary Fund/World Bank meetings in Marrakesh, Morocco, Mr Ofori-Atta added, “The Chinese government within the past months is close to reaching a similar deal with Zambia, Sri Lanka and Suriname, so following that trend, we expect some similar cooperation from them when it comes to Ghana”.

Mr Ofori-Atta in an earlier interview described the IMF-World Bank Annual Meetings as an opportunity for a new beginning for the global financial architecture.

In his remarks at a Roundtable Discussion on “IMF Policy Priorities,” Mr Ofori-Atta charged the IMF to strengthen the global financial safety net through bold reforms to the global financial architecture.

During the Roundtable hosted by US Treasury Secretary, Janet Yellen, Mr Ofori-Atta praised the transformative leadership of IMF Managing Director, Kristalina Georgieva, which has led to the achievement of truly momentous things.

He however continued, “We need to stretch the IMF to do more. The need is great. And at these Annual Meetings, the developing world is asking the international community to do all it can to advance a reform agenda that ensures institutions like the IMF have the requisite mandates, financing, and governance models to deliver transformative impact.”

-Citi