The Minister of Finance, Dr Cassiel Ato Forson, has disclosed that the government is to receive a total of US$1.32 billion in financial support from the International Monetary Fund (IMF) and the World Bank to fund 35 percent of Ghana’s budget deficit in 2025.
According to the finance minister, US$720 million will come from the ongoing IMF Extended Credit Facility (ECF) programme, while the World Bank Development Policy Operation (DPO) will provide US$600 million.
“The cash deficit of GH¢56.9 billion is expected to be financed from both foreign and domestic sources. Total foreign net financing will amount to GH¢21.4 billion (1.5% of GDP). Foreign financing will include a provision for financing from IMF-ECF programme disbursements of US$720 million and World Bank Development Policy Operation (DPO) funding of US$600 million,” he stated.
The government expects to cover the remaining 65% of the deficit (GH¢36.9 billion or 2.6% of GDP) through domestic borrowing, mainly from short-term treasury bill issuance.
The IMF-ECF programme was introduced to help Ghana restore macroeconomic stability and debt sustainability, following years of fiscal challenges.
Similarly, the World Bank’s Development Policy Operation (DPO) is designed to support policy reforms and economic recovery efforts.
He added that the government is committed to fiscal discipline and sustainable debt management, assuring that the funds will be utilised efficiently.
Source: www.ghanaweb.com
