IMF Executive Board approves final review of Ghana's ECF programme

The Executive Board of the International Monetary Fund (IMF) has approved the final review of Ghana's US$3 billion Extended Credit Facility (ECF) programme, officially bringing the country's three-year bailout programme to a successful conclusion.

The approval also unlocks a final disbursement of approximately US$371 million to the Bank of Ghana, bringing total disbursements under the programme to the full US$3 billion approved when the facility commenced in May 2023.

The programme was introduced following Ghana's 2022 economic crisis to restore macroeconomic stability, support debt restructuring and implement critical fiscal and structural reforms.

In a statement issued on Monday, July 27, the Ministry of Finance said the successful completion of the programme reflects the substantial progress Ghana has made in stabilising its economy over the past three years.

According to the Ministry, the government has implemented key policy measures that have strengthened the country's economic fundamentals.

The statement highlighted achievements including:

• Improved fiscal discipline
• Lower inflation
• Stronger external reserves and buffers
• Structural economic reforms
• Enhanced macroeconomic stability

Government described the successful completion of the programme as an important milestone in Ghana's economic recovery efforts.

Following the conclusion of the Extended Credit Facility, Ghana will begin a new phase of engagement with the IMF under a 36-month Policy Coordination Instrument (PCI).

Unlike the ECF, the PCI is not a bailout programme and does not provide direct financial support.

Instead, it is designed to help countries maintain sound macroeconomic policies, strengthen reforms and reinforce investor confidence through continued policy engagement with the IMF.

Government said the new arrangement will support its ongoing reform agenda while helping preserve the gains achieved under the ECF programme.

The Ministry of Finance expressed gratitude to Ghanaians for their support throughout the implementation of the economic recovery programme.

"Government expresses its sincere appreciation to the people of Ghana for their resilience, patience, and unwavering support throughout the reform programme," the statement said.

Government also acknowledged the contribution of the IMF and other stakeholders who supported the country's economic recovery efforts.

"Government also thanks the IMF Executive Board, IMF Management and Staff, development partners, civil society, and the private sector for their continued support."

The government reaffirmed its commitment to protecting the macroeconomic gains achieved under the IMF-supported programme and continuing reforms aimed at building a stronger and more resilient economy.

According to the statement, the focus going forward will be on sustaining economic stability, strengthening investor confidence and promoting inclusive economic growth that benefits all Ghanaians.

The successful completion of the Extended Credit Facility marks the end of one of Ghana's most significant economic recovery programmes in recent years and signals the country's transition from emergency financial support to a reform-focused partnership with the IMF.