The International Monetary Fund (IMF) has commended Ghana for implementing strong corrective measures to keep its Extended Credit Facility (ECF) programme on course.
In a statement following the Executive Board’s completion of the fourth review of the ECF arrangement, the Fund noted that the actions, combined with broader reforms and a more favourable external environment, position the country for economic recovery, resilience, and inclusive growth.
“The authorities are committed to restoring fiscal discipline,” the IMF said. “They have passed a 2025 budget aligned with programme objectives and introduced a stronger fiscal responsibility framework.”
Key actions include enhancing domestic revenue mobilization, cutting non-essential spending, and boosting social protection and development investment.
The IMF also urged the government to strengthen tax administration, tighten expenditure control, and improve state-owned enterprise (SOE) performance. Tackling energy sector challenges and clearing arrears were flagged as urgent priorities to reduce fiscal risk.
On monetary policy, the Fund advised the Bank of Ghana to maintain a tight stance until inflation stabilizes, reduce FX market interventions, and formalize its currency management approach.
The Fund acknowledged progress in rebuilding international reserves and lowering inflation, while stressing the need to address weak banks and enhance financial sector resilience.
It recommended swift reforms at the National Investment Bank, viability strategies for state-owned banks, and contingency planning for undercapitalized institutions.
Finally, the IMF encouraged the Bank of Ghana to upgrade its crisis management tools and address long-standing issues in deposit-taking institutions to protect financial stability.
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