President Nana Akufo-Addo has reiterated his government’s commitment to maintaining the needed discipline to ensure that Ghana does not return to the International Monetary Fund (IMF) for the 17th time.
He made the comments while delivering his third State of Nation Address to Ghanaians in Parliament today, Thursday.
A team from the IMF this week completed the 7th and 8th reviews under the Extended Credit Facility program which Ghana entered into in 2015. An approval from the IMF board in March should lead to Ghana exiting the program after April 3rd.
But delivering his State of the Nation Address, President Akufo-Addo stated that in order not to repeat the cycle of returning to the Fund immediately after exiting, Ghana will have to ensure that systems are put in place like the Fiscal Council, which are to ensure discipline in the management of the economy, are as effective as possible.
“We’ve just concluded the program with the IMF and with continued discipline, we shall sign off from the deal in April. This is the 16th time Ghana has had to go to the IMF in its history. Mr. Speaker, we cannot make the progress we all desire unless we are consistent and disciplined in the management of our economy.
We have gone through another round of painful impositions to get to where we are today with healthy fundamentals.”
The President added that a repeat of actions that led to a return to the IMF in the past will not be repeated under his government.
“As we prepare to exit from the IMF program we expect the impressive figures and good performance to continue. We are very much aware that this is not the first time we have had such good a set of figures, but we’re determined to do things differently this time around.
We’ve imposed on ourselves fiscal discipline, we’re paying off legacy debts and deepening good governance practice and business confidence is growing. We will maintain the discipline and bring progress to our country.”
IMF final review
Ghana program with the IMF for US$918 million which was approved on April 3, 2015, aims to restore debt sustainability and macroeconomic stability in the country to foster a return to high growth and job creation, while protecting social spending.
The government has given assurances that the economy will remain resilient and robust even after the International Monetary Fund (IMF) program is over.