'We are committed to assisting Ghana and other countries hit by global tariff war — IMF MD

IMF Managing Director Kristalina Georgieva has assured support for Ghana. She also pledged assistance to other countries affected by the global tariff war.

During the Global Policy Agenda launch at the IMF/World Bank Spring Meetings, she spoke in Washington DC. Georgieva stated that the IMF has tools and resources ready for requests.

“We can use our policy tools to assist any country,” she said. “We will focus on helping our members achieve economic stability.”

Global Tariff War and Its Impact

At a press conference, Georgieva addressed concerns about the tariff war's effects. She noted that direct impacts may be minimal for many African nations. However, she is worried about broader consequences.

“I am concerned about the indirect impact,” Georgieva said. “Countries must build buffers and advance programs to cushion shocks.”

Ghana’s Policy Response

Georgieva encouraged Ghana and other African nations to take proactive measures. She emphasized short-term actions to mitigate potential fallout.

“There is much that can be done fiscally while building necessary buffers,” she stated. “Continue strengthening Ghana’s fundamentals.”

She also highlighted tax reforms: “Don’t make excuses. Broaden the tax base by reducing evasion and avoidance.”

Mixed Outcomes for African Economies

The IMF chief noted that the tariff war brings both challenges and opportunities. The impact varies based on each country's economic structure.

“For oil producers like Nigeria, falling oil prices add budget pressure,” she observed. “For oil importers, this situation offers relief.”

She warned low-income countries will face tough trade-offs but stressed domestic resource mobilization's importance.

“We cannot expect functioning states with a tax-to-GDP ratio below 15 percent,” she added.

Advice to Central Banks

Georgieva advised central banks in the region to monitor inflation closely while supporting growth.

“Watch inflation expectations carefully,” she said. “Central banks must balance growth support with inflation control.”

She emphasized central bank independence: “Credibility is key; protect it.”

Call for Greater Intra-African Trade

Georgieva called for stronger inter-regional trade across Africa.

“Africa has much to offer—minerals, natural resources, and a young population,” she noted.

“A more unified continent can become an economic powerhouse.”