Ghana has missed out on the November 1 timeline set in the International Monetary Fund (IMF) programme to get a second tranche of the $3 billion bailout package as the country’s debt rework negotiations with external creditors delay.
The Black Star of Africa is still in talks with its external creditors for debt relief worth $10.5 billion.
The country has already submitted proposals to its commercial creditors seeking a haircut of up to 40% and additional debt rework with its bilateral creditors including China and the Paris Club.
JoyNews checks from the Fund’s programme document reveal that Ghana has not been able to meet all the necessary financing assurances from its creditors to unlock the disbursement of the second tranche worth $600 million which was scheduled to hit Ghana’s account by November 1, 2023. Prior to the first disbursement, Ghana had to secure financial assurance from its external creditors, a requirement fulfilled before the IMF Executive Board approved the payment.
Under the three-year ECF programme, the Ghanaian government plans to restructure around $10.5 billion of its external debt, which stood at nearly $30 billion in June 2023.
There have been differing opinions on the conditions for receiving the second tranche of $600 million, which would bring the total disbursement to $1.2 billion after the Fund’s first review. Ghana’s Information Minister, Kojo Oppong Nkrumah in October, stated in an interview with JoyNews that he does not believe an agreement with external creditors is a prerequisite for the disbursement of the second installment.
“I don’t think that if we look at the fine print, that agreement is a condition precedent for accessing the next tranche” the minister expressed.
Kojo Oppong Nkrumah – Minister of Information
Earlier, the International Monetary Fund (IMF) Mission Chief for Ghana, Stephane Roudet had disclosed to JoyNews in an interview that government must secure the required financing assurance from external bilateral creditors before its board can approve the next tranche of funds for the country.
Source: Isaac Kofi Agyei