Former President John Dramani Mahama has disclosed that he will renegotiate the country’s current International Monetary Fund Programme for more favourable terms if elected president in this year’s general elections.
According to the leading opposition party’s presidential candidate, the current programme signed by the President Akufo-Addo-led government fails to address some critical areas of the economy hence the need for renegotiation.
Speaking in an interview with the UK-based Reuters News Agency, the former President who has also led the country through an IMF programme during his first term expressed his optimism that the Bretton Woods institution is very open to renegotiation of bailout programmes.
“I’ve been in an IMF programme before when I was president, and I know that the IMF is not averse to sitting and talking and renegotiating issues,” the presidential candidate of the NDC optimistically expressed.
The severe economic and financial crisis Ghana faced in 2022 forced the current government to seek an IMF intervention for the 18th time in the country’s history.
Upon the request of the government, the IMF Executive Board in May 2023, approved a US$ 3 billion Extended Credit Facility (ECF) for Ghana in a three-year program.
The programme is aimed at restoring macroeconomic stability, ensuring debt sustainability, and laying the foundations for higher and more inclusive growth.
As part of the deal, the government was tasked to reach separate agreements with bilateral and commercial creditors to restructure its debt obligations and freeze payments until 2025.
The IMF has already disbursed $1.56 billion with another $360 million due by December.
But Mr. Mahama says he will renegotiate the deal if elected president to seek additional funds to help the country restore its economy to a growth trajectory.
He further indicated that his government will prioritize local ownership of future oil and mining concessions to boost the local economy.
