The International Monetary Fund (IMF) has signaled that Ghana’s recent currency strength could lead to adjustments in key targets under the country’s ongoing economic programme.

Speaking at a press conference in Washington, D.C., on Ghana’s progress under the IMF-supported Extended Credit Facility (ECF), IMF Director of Communications Julie Kozack acknowledged the sharp appreciation of the Ghanaian cedi against the US dollar and its potential impact on programme benchmarks.

“As we look at the programme, we assess all of these developments, including, of course, movements in the exchange rate,” Kozack said in response to a question from JOYBUSINESS. She added that future programme reviews would incorporate these changes to ensure targets remain “realistic and achievable.”

Cedi Strength and Economic Impact

Ghana’s cedi has surged over 40% against the US dollar since January 2025, now trading at GH¢10.26 per dollar — a development that has accelerated progress toward some of the IMF programme’s core objectives.

One of the key targets of the ECF arrangement is to bring Ghana’s debt-to-GDP ratio down to 55% by the end of 2028. However, new data from the Bank of Ghana indicates that the country may have already achieved this milestone, with the ratio falling to 55% as of April 2025.

President John Mahama, speaking at the African Development Bank meetings in Côte d’Ivoire, noted that the cedi’s strength has led to a reduction of GH¢150 billion in the national debt stock. He further estimated the fair exchange rate value of the cedi to lie between GH¢10 and GH¢12 per dollar.

IMF Programme Overview

The IMF programme aims to restore macroeconomic stability, achieve debt sustainability, and lay the groundwork for inclusive economic growth. Supported by a US$3 billion Extended Credit Facility approved in May 2023, the programme has helped stabilize Ghana’s economy following a period of high inflation, currency depreciation, and rising debt.

Reserves Target Surpassed

In another key development, Ghana has outperformed the IMF’s expectations on international reserves. As of April 2025, gross reserves stood at GH¢10.6 billion — equal to 4.7 months of import cover — well above the set target under the programme.

Next IMF Board Review

Kozack confirmed that the IMF Executive Board is scheduled to meet in early July 2025 to consider Ghana’s fourth review under the ECF arrangement. If approved, the country will receive a disbursement of approximately US$370 million, bringing total disbursements under the programme to US$2.4 billion.

President Mahama has recently stated that Ghana does not intend to seek an extension of the IMF programme beyond its planned conclusion in May 2026, signaling confidence in the country’s improving economic outlook.

As the cedi continues to show strength and key indicators surpass expectations, the IMF’s upcoming review will be closely watched for potential adjustments to Ghana’s medium-term economic goals.