Debt restructuring: Ghana must get best deal with creditors – IMF

The International Monetary Fund (IMF) has disclosed that a significant amount of Ghana’s debt must be agreed with non-Eurobond commercial creditors consistent with the parameters of the programme.

It therefore hopes that progress can be made on that in the coming weeks and months.

Speaking at a press conference at the IMF/World Bank Meeting in Washington, USA, Director, African Department, Abebe Selassie said the government needs to stay strong and make sure that it gets the best deal that it can for the people of Ghana.

“But there remains, you know, a significant amount of debt that needs to be agreed on consistent with the parameters of the program with non-Eurobond commercial creditors.  And we hope that progress can be made on that in the coming weeks and months.  I think the government needs to stay strong and make sure that it gets the best deal that it can — for the people of Ghana, and we hope they do so”.

On macroeconomic stability, it said Ghana’s macroeconomic reforms beginning to bear fruit, citing the impressive growth numbers.

“I think these reforms are beginning to bear fruit, and that’s the growth numbers that we’re seeing.  And going forward, really, it is continuing to strike a healthy balance between the need — continued need to address all the development spending needs Ghana has with avoiding debt sustainability”.

“So that requires, you know, maintaining modest levels of fiscal deficits going through an election cycle now, avoiding the pitfalls to which Ghana — has, you know, pitfalls Ghana has faced in election cycles in the past.  These will all be critical to making sure that, you know, going forward, Ghana can have a healthy macroeconomic situation”, Mr. Selassie emphasised.

He also predicted that Ghana’s growth rate for 2024 will be around 4.0%.