IMF raises alarm over delays in parliamentary approval for Ghana’s donor funds

The International Monetary Fund (IMF) has raised concerns over delays in parliamentary approval for over $500 million in donor funds essential to Ghana’s economic recovery program. These funds, tied to key World Bank programs, are vital for addressing fiscal challenges and supporting economic stabilization efforts.

The delays, attributed to political gridlock ahead of Ghana’s December 2024 elections, risk undermining the country’s fiscal health, exacerbating liquidity issues, and derailing reforms under the IMF-supported program. The program focuses on reducing debt vulnerabilities, restoring macroeconomic stability, and fostering sustainable growth.

The IMF emphasized the need for timely fund disbursement to sustain public services and meet budgetary obligations, urging stakeholders to expedite approvals. It also warned that election-related spending promises must align with fiscal prudence to maintain Ghana’s recovery trajectory.