Ghana is likely to get board clearance from the International Monetary Fund (IMF) for a $3 billion bailout by the end of May 2023, according to Finance Minister Ken Ofori-Atta.
Speaking to holders of Eurobonds at an Investors Presentation Forum, Mr. Ofori Atta noted that Ghana has made considerable strides in debt restructuring and urged other creditors to support the country’s application for an IMF program.
“We do at this time expect an IMF board approval in May [2023] and contemplate a rapid negotiation of a Memorandum of Understanding (MoU) with our creditors. We have made significant efforts on all fronts. We hope we could reach an agreement in principle with you our Eurobond holders quickly”.
“We understand this is a challenging time for all of you to commit and offer financial support to all of you. But please be assured we are fully committed to you and your advisors to ensure an equitable solution,” he said.
His remarks follow those of Kristalina Georgieva, the managing director of the International Monetary Fund (IMF), who expressed optimism that the fund’s Executive Board would quickly provide final approval to Ghana’s bailout request.
At the ongoing World Bank/IMF Spring Meetings in Washington, D.C., Ms. Georgieva expressed hope about the future of the nation, noting the growing support the nation was receiving from the international community, including its creditors.
Maxwell Akalaare Adombila of Graphic Online reports that Ms. Georgieva told reporters on Thursday that her organization was pressuring the bilateral creditors to quickly provide the financial assurance required for the board to approve the deal. Adombila is covering the World Bank/IMF Spring Meetings in Washington, D.C., USA.
Ghana was successful in obtaining a staff-level agreement (SLA) for the $3 billion request in December 2022, but progress toward the finish line has been slowed by disagreements between the bilateral creditors about the specifics of the debt restructuring process.
