IMF Praises Ghana for Fiscal Discipline, Urges Sustained Reforms

The International Monetary Fund (IMF) has commended Ghana for demonstrating renewed fiscal discipline under its ongoing economic recovery programme. The Fund says recent policy adjustments and expenditure controls have begun to stabilize the country’s fragile economy after years of high deficits and debt stress.

In a statement released after a review mission, IMF officials noted that Ghana has met several key performance targets, including reducing the fiscal deficit, improving revenue mobilization, and tightening monetary policy to tame inflation.

“Ghana’s authorities have shown strong commitment to restoring macroeconomic stability,” the IMF said. “Fiscal discipline is being restored through rationalized spending and more transparent reporting of public finances.”

The Fund, however, cautioned that sustaining this progress will require strict adherence to reform commitments. It urged government to deepen structural reforms, broaden the tax net, and strengthen public financial management systems to prevent slippages.

Economists say the IMF’s endorsement is likely to boost investor confidence, attract external financing, and strengthen the cedi in the short term. However, ordinary Ghanaians remain concerned about the impact of austerity measures, including high taxes and reduced subsidies, on their daily lives.

Analysts warn that the government must strike a delicate balance between fiscal discipline and social welfare to avoid public discontent.

The IMF’s next review of Ghana’s programme is expected early next year, where further assessments will determine the release of additional funds under the bailout agreement.

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