Mahama To Renegotiate IMF Deal If He Becomes President: ”I've Been In An IMF Programme Before”
- National Democratic Congress flagbearer John Mahama plans to renegotiate Ghana’s International Monetary Fund bailout
- Mahama claimed that the IMF would not be against a renegotiation based on his experience under a previous programme
- Ghana secured a $3 billion IMF bailout in May 2023 after defaulting a large portion of its $30 billion external debt in 2022
If he becomes president, National Democratic Congress flagbearer John Mahama will attempt to renegotiate the terms of Ghana’s International Monetary Fund bailout.
Mahama, a former President, believes the IMF would not be against renegotiating the deal.
Source: Getty Images
He told Reuters that his experience with the IMF, while serving as president from 2012 to 2017, would come to bear.
"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."
He also said he would seek additional IMF funds to help Ghana resume the debt repayments.
Mahama is favoured to win the 2024 elections by a number of polls. He will be going up against New Patriotic Party flagbearer and Vice-President Mahamudu Bawumia.
For example, in its Africa outlook for 2024, the Economist Intelligence Unit said declining living standards, limited job opportunities, and poor public services were likely to drive Mahama's victory.
Ghana's journey with the IMF
Ghana secured a $3 billion bailout from the fund in May 2023 after defaulting on most of its $30 billion external debt in 2022.
Ghana has already received $1.56 billion, with another $360 million due by December.
In a recent report, the IMF said Ghana's economic reform program is delivering on its objectives.
Despite some delays, it said good progress has also been made on the key structural reform milestones.
The IMF said that a greater focus on reforms aimed at private sector development is needed to foster inclusive growth and poverty reduction.
Ghana gets $250 million from World Bank
YEN.com.gh reported that the World Bank approved $250 million for a five-year Ghana Financial Stability Project.
The project, which was approved on Friday, May 31, 2024, is under International Development Association credit.
The World Bank's project is expected to immediately benefit eligible but under-capitalised banks in the country.
Proofread by Bruce Douglas, senior copy editor at YEN.com.gh
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Source: YEN.com.gh
