IMF: Ghana reaches staff-level agreement for second tier of $3bn bailout

However, it's important to note that this agreement is still subject to approval by the IMF's Executive Board and the receipt of necessary financing assurances.

The IMF has commended Ghana for its strong commitment to policy and reform measures under the program, which have begun to yield positive results and are contributing to economic stabilization.

Ghana's economic growth in 2023 has proven to be more robust than initially anticipated and inflation has decreased, contributing to a more stable economic environment.

The fiscal and external positions of the country have improved and the exchange rate has stabilized.

Once the review is officially approved by IMF Management and the IMF Executive Board, Ghana will have access to approximately $600 million in financing. The timely completion of this review depends on reaching an agreement on debt treatment by official creditors, as outlined in the financing assurances provided in May 2023.

The IMF also noted that Ghana has demonstrated strong fiscal performance by staying on track to reduce the fiscal primary deficit as a percentage of GDP by approximately 4 percentage points in 2023. The government has managed to spend within program limits and expanded social protection programs to assist vulnerable populations affected by economic challenges.

The IMF has urged official creditors to cooperate in determining an appropriate debt treatment for Ghana in alignment with the financing assurances they provided in May 2023. This is a crucial step to support Ghana's ongoing economic reform program.

In summary, Ghana's commitment to economic reforms and policy measures, along with positive indicators of economic stabilization, has led to this staff-level agreement with the IMF.

The country's progress hinges on official creditors' cooperation in debt treatment negotiations.