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President Akufo-Addo finally gives go-ahead to Finance Minister to seek IMF bailout

President Nana Addo Danquah Akufo-Addo has finally ordered Finance Minister, Ken Ofori Atta to engage the International Monetary Fund, IMF for a bailout to save the economy from crushing.

The directive follows a telephone conversation between the President and the IMF Managing Director, Miss Kristalina Georgieva.

A statement issued by the Minister for Information, Kojo Oppong Nkrumah on Friday, July 1, noted that government has decided to engage the IMF after a Cabinet meeting held on June 30, 2022.

It added that engagements with the Bretton Woods institution will provide balance of payment support to address fiscal challenges arising from the impact of the COVID-19 pandemic.

“The engagement with the IMF will seek to provide a balance of payment support as part of a broader effort to quicken Ghana’s build back in the face of challenges induced by the Covid-19 pandemic and, recently, the Russia-Ukraine crises,” the statement explained.

This development comes barely a week after a leading member of the New Patriotic Party (NPP), Gabby Asare Otchere-Darko, in a series of tweets said he was not against any decision to seek IMF bailout explaining that the E-levy has so far failed to raise the projected revenue.

Government’s U-turn has been described by critics as double standards following public condemnation and its vow never to go to the IMF, which it described as an institutions whose conditions will not be in the interest of the nation, if Ghana seeks its support.

Mahama’s call for IMF bailout

On Thursday, June 30, former President John Mahama, called on government to urgently seek support from the IMF.

Speaking at the launch of the Think Progress Ghana think tank on Thursday, the former President urged government to seek support from the International Monetary Fund (IMF) to enhance the country’s economic fortunes.

“Due to the nature and depth of our economic problems, this government virtually has no other sustainable option.

“That is one of the things this government lacks. They don’t have fiscal discipline and that is why they are even afraid to go into an IMF programme,” the former President jabbed.

 

By Eric Ahianyo/Myxyzonline.com|Ghana

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