Ghana’s foreign reserves have increased to $5.7 billion thanks to the $3 billion from the IMF – Governor Addison.
The Governor of the Bank of Ghana (BoG) Dr Ernest Addison has revealed that Ghana’s international reserves have shot up to $5.7 billion with the $ 3 billion bailout approved for Ghana by the International Monetary Fund (IMF) and with the first tranche of $ 600 million already received.
Addressing the 112th Monetary Policy Committee (MPC) press conference in Accra on Monday, May 22, Dr Addison said “With the approval of the IMF-supported programme and receipt of the first tranche of the disbursement, the gross international reserves have increased to $5.7 billion as at Friday 19 May 2023 equivalent to 2.6 months of import cover.”
On Sunday, May 21, the Ministry of Finance confirmed that the first tranche of $600million of the $ 3 billion Extended Credit Facility (ECF) had been received by the BoG.
The cash, according to the Ministry, is to help restore macroeconomic stability, sustain the country’s debts and lay a strong foundation for inclusive growth.
“The first tranche of $600million of Ghana’s low interest of $3billion Extended Credit Facility has been received to help restore macroeconomic stability, sustain the country’s debts and lay a strong foundation for inclusive growth,” the Ministry tweeted on Saturday, May 20.
Finance Minister Ken Ofori-Atta earlier stated that the second tranche was expected to be received in the next 6 months.
The IMF Mission Chief for Ghana Stéphane Roudet indicated that the $3 billion bailout would result in reforms in the energy and cocoa sectors.
Also, he said the programme would result in reforms to encourage private sector investments and also build international reserves.
“There will be reforms in the energy and cocoa sectors,” he said during a joint Ghana -IMF press conference.
“It will be restoring macroeconomic stability, for higher and more inclusive growth. It has reforms that will make the economy more resilient and likely to withstand shock in the future,” he added.
The Board of the Fund unanimously approved Ghana’s bailout on Wednesday, May 17 at a meeting in Washington after Ghana secured the Paris Club financing assurance on Friday, May