Ghana’s incoming Minister of Finance, Cassiel Ato Forson, has announced plans to secure additional funding from the International Monetary Fund (IMF) to stabilize the country’s struggling economy. Speaking on Thursday ahead of a meeting with an IMF delegation in Accra, Forson underscored the importance of leveraging both domestic and international partnerships to address the nation’s fiscal challenges.
“The reliance on Treasury bills and others has not been very helpful,” said Forson, a seasoned economist and former deputy finance minister. He further pledged to cut public spending and reduce waste, outlining his strategy to curb inflation and resume domestic bond issuance by mid-year.
Debt Restructuring and Economic Reforms
Ghana, a leading producer of gold and cocoa, defaulted on most of its external debt in 2022, triggering a complex restructuring process that is now nearing completion. Forson stated that the government is working to finalize agreements with non-Eurobond commercial creditors as part of this process.
Additionally, he highlighted the need to overhaul the cocoa sector, addressing long-standing funding gaps and production inefficiencies. This reform, he said, is essential to strengthening one of the country’s key economic pillars.
Leadership Under Mahama’s Administration
President John Dramani Mahama, inaugurated earlier this week following his victory in the December election, has committed to revitalizing Ghana’s economy by creating jobs and rebuilding public confidence. Among his key cabinet appointments are John Abdulai Jinapor as Minister of Energy and Dominic Akuritinga Ayine as Attorney General. These nominees, along with others, await parliamentary approval, where Mahama’s National Democratic Congress holds a majority.
Forson’s approach aligns with the administration’s broader mandate to restore economic stability. The new government faces significant challenges, including navigating Ghana’s most severe economic crisis in decades.
Global Attention on Ghana’s Economy
The Mahama administration’s economic policies and reforms are under close scrutiny by international markets, which are eager to assess the country’s ability to recover. With the IMF’s support and strategic fiscal adjustments, Forson expressed optimism about setting Ghana on a path to economic recovery.
