The International Monetary Fund (IMF) has proposed urgent and decisive implementation of a comprehensive turnaround strategy for Ghana’s cocoa sector.
It warns that further delays could undermine fiscal consolidation and broader macroeconomic stability.
Director of the Communications Department at the IMF, Julie Kozack, says the most immediate priority is the full execution of COCOBOD’s restructuring agenda.
According to her, the reform plan must include ending quasi-fiscal activities to restore financial sustainability within the cocoa regulator.
“The most urgent priority is decisive implementation of COCOBOD’s turnaround strategy, including ending quasi-fiscal activities, establishing lower-cost financing and adopting key reforms”, she said.
These comments by the IMF come amid ongoing concerns about COCOBOD’s debt profile and its impact on Ghana’s public finances.
Industry observers have long argued that quasi-fiscal operations where the institution undertakes activities beyond its core commercial mandate have contributed to balance sheet pressures and elevated borrowing costs.
Ms. Kozack noted that recently announced stabilisation measures represent a step in the right direction, but cautioned that their effectiveness will depend entirely on decisive and disciplined implementation.
The IMF’s position could be tied to Ghana’s ongoing programme engagement, with particular emphasis on strengthening state-owned enterprises and restoring long-term debt sustainability.
