The Executive Board of the International Monetary Fund (IMF) has approved a $360 million disbursement to Ghana as part of its $3 billion Extended Credit Facility (ECF) programme.

The approval follows the successful completion of the third review of Ghana’s performance under the programme, announced on Monday, December 2, 2024.

This latest disbursement raises Ghana’s total receipts from the ECF to $1.92 billion, with the funds expected to be credited to the Bank of Ghana by the end of the week.

Economic Progress Under the ECF

The IMF praised Ghana’s performance under the programme, noting significant progress in economic recovery and reforms.

“Ghana’s performance under the programme has been generally satisfactory, and reform efforts are paying off.

Growth is recovering rapidly, inflation has declined—although at a slower pace, and the fiscal and external positions have continued to improve,” the IMF said in a statement.

Progress on Debt Restructuring

The IMF highlighted Ghana’s advancements in restructuring its public debt.

Domestic Debt: The government successfully restructured domestic debt last year. Official Creditors Agreement: Ghana reached a Memorandum of Understanding with its Official Creditors Committee under the G20 Common Framework in June 2024. Eurobond Exchange: The government has completed the exchange of Eurobonds under conditions aligned with program parameters. External Commercial Creditors: Discussions with external commercial creditors are ongoing to ensure restructuring aligns with program conditions and comparability of treatment. Strengthening Monetary and Financial Stability

The Bank of Ghana (BoG) has maintained a prudent monetary policy to support inflation reduction and rebuild international reserves amidst heightened risks.

Additionally, measures have been strengthened to stabilize the financial sector, including:

Promoting timely recapitalization of banks. Recapitalizing state-owned banks within available resources. Ensuring the viability of financial institutions through regulatory actions.

The IMF’s endorsement underscores Ghana’s commitment to fiscal discipline, economic reforms, and debt management.

The funds from the ECF are expected to support continued economic recovery and bolster investor confidence as the country works toward sustainable growth.