19th July 2024

Minister of Finance, Ken Ofori-Atta

Dr. Mohammed Amin Adam Anta, the Minister of State at the Finance Ministry, has indicated that once the International Monetary Fund (IMF) Executive Board approves Ghana’s request for an extended credit facility (ECF), the IMF is likely to disburse the first tranche of $600 million promptly.

Dr. Anta stated that the second tranche of the same amount will be released before the end of the year, while the remaining funds will be disbursed in equal tranches of $360 million after each semi-annual review.

“We expect a deal on Wednesday,” Dr. Anta told Reuters, further mentioning, “With the disbursement, there is going to be $600 million as a first tranche just immediately after the approval.”

He added that the first tranche is anticipated to arrive in Ghana within a week of the approval by the IMF Executive Board.

This development follows the overwhelming support for Ghana from the Paris Club, expressed during a meeting co-chaired by China in Paris on Friday, May 12.

In a statement, the creditor committee of the Paris Club examined Ghana’s macroeconomic and financial situation, including the country’s long-term debt sustainability. They also endorsed Ghana’s formal request for debt treatment under the ‘Common Framework for Debt Treatments Beyond the DSSI.’

The creditor committee expressed its support for Ghana’s proposed IMF upper credit tranche (UCT) program and urged the swift acceptance of the program by the IMF Executive Board to address Ghana’s urgent funding needs.

Additionally, the committee encouraged Multilateral Development Banks (MDBs) to maximize their support for Ghana in meeting its long-term financial requirements.

President Akufo-Addo, in a meeting with the Ghana Catholic Bishops’ Conference at Jubilee House, expressed his delight at Ghana overcoming the “last hurdle.” He acknowledged that the Paris Club had approved Ghana’s request, co-chaired by China, thus paving the way for the agreement with the IMF.

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