Fiscal adjustment progress: Staying the course after the Dec 7 election is paramount – IMF

The IMF has commended Ghana for its fiscal progress ahead of the December 7 general elections, emphasizing the importance of maintaining fiscal policy adjustments to sustain public finances and support vulnerable populations.

Key recommendations include enhancing domestic revenue mobilization, improving tax administration, managing expenditure and arrears, and strengthening the oversight of State-Owned Enterprises (SOEs).

The IMF also highlighted the need to address energy sector challenges to mitigate fiscal risks and complete comprehensive debt restructuring efforts.

The third review of Ghana’s 36-month Extended Credit Facility program resulted in a $360 million disbursement, reflecting satisfactory program performance.

Ghana's reforms have yielded encouraging results, with growth rebounding, inflation easing, and fiscal and external positions improving.

However, the Fund flagged risks from elections and energy challenges, emphasizing sustained reforms for long-term stability and growth.