Anti-LGBTQ Bill: Finance Ministry Says Ghana To Lose $3.8BN In World Bank Funding

• The Ministry of Finance has cautioned President Akufo-Addo against assenting the recently passed anti-LGBTQ bill by Parliament
• The ministry said Ghana will likely lose $3.8 billion in World Bank Financing over the next five to six years
• It also warned that approving the bill could derail Ghana's programme with the International Monetary Fund

The Ministry of Finance has urged President Akufo-Addo not to sign the recently passed Anti-LGBTQ+ Bill into law.

The ministry said Ghana will likely lose $3.8 billion in World Bank financing over the next five to six years.

For 2024, the finance ministry said Ghana would lose $600 million in budget support.

Ghana would also lose $250 million for the Financial Stability Fund, according to the finance ministry's recent assessment.

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"This will negatively impact on Ghana’s foreign exchange reserves and exchange rate stability as these inflows are expected to shore the country’s reserve position."

The passage of the bill on Wednesday, February 28, 2024, left the fate of Ghana's LGBTQ community in President Akufo-Addo's hands.

The bill, which was pushed by eight MPs, is expected to be forwarded to President Nana Akufo-Addo for assent.

Among other things, persons who identify as LGBTQ or engage in same-sex acts could be jailed between three months and three years.

Open allies of the LGBTQ such as donors, activists, or promoters, could be jailed between a minimum of three months and a maximum of six months in jail.

A coalition of 18 CSOs is lobbying President Akufo-Addo not to assent to the anti-LGBT bill.

IMF concerns

The International Monetary Fund has said it will not yet comment on the anti-LGBTQ bill.

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The fund said it would wait until the bill was signed into law and thoroughly assessed.

In a statement, the IMF underscored its commitment to values of diversity, inclusion and respect for human rights.

The finance ministry noted no direct conditionality relating to the bill from the IMF.

It, however, explained that the principles of the $3 billion programme are built on predictable financing from Development Partners like the World Bank-funded Ghana Resilience Recovery Development Policy Operations.

"Hence the non-disbursement of the Budget Support from the World Bank will derail the IMF programme. This will in turn trigger a market reaction which will affect the stability of the exchange rate."

US reacts to passage of law

YEN.com.gh reported that the US released a statement condemning Ghana's Parliament's passage of the anti-LGBTQ bill.

A US Department of State statement noted that the bill threatens fundamental human rights.

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The UN High Commissioner for Human Rights, Volker Türk, also said the bill's passage was profoundly disturbing.

Source: YEN.com.gh