'IMF transaction is not a solution to our problems' – Oppong-Nkrumah explains

Kojo Oppong-Nkrumah, the Minister of Information, has explained why Ghana's financial problems go far beyond the current bailout government is seeking from the International Monetary Fund (IMF).

He stressed that Ghana was a victim of global economic challenges but also that the current bailout support of US$3 billion was hinged on a local programme developed by government.

"Anytime I speak about the IMF, I am quick to mention that the IMF transaction is not the solution to our problems," he said in an interview on Joy News' The Probe programme on November 12.

He continued: "The IMF transaction is financing to underpin our PC-PEG [Post Crisis Programme for Economic Growth], which is our programme to recover from the economic challenges that we've had.

"The entire world has had economic challenges. In fact, I was watching a speech of the former President Mahama delivered abroad just about a week ago where he explains how the challenges in the global economy affected the Ghanaian economy.

"Everybody knows that there has been a global economic challenge and it has affected Ghana, and various countries have been developing their various plans,” he added.

Government late last week issued a statement disclaiming a news report that it had missed a November 1 deadline for the release of the second tranche of US$600 million out of the IMF bailout.

The minister explained: "The first review has been concluded and Ghana was successful in that review.

"I think at the end of that review, there was a joint conference between Ghana's Finance Minister and the Head of the IMF team, and a staff level agreement was signed and announced to under-gird our parts of the first review.

"And then it was mentioned that the staff level agreement would have to go to the IMF Executive board which board meets in the 3rd week of November to give its approval, and when that approval is given, then the second tranche would be disbursed,” he stressed.

The economy has been a topical issue in recent months following a downturn occasioned by galloping inflation, depreciating currency and general decline in the quality of life coupled with high cost of living.

The government has serially blamed the aftermath of COVID-19 and the Russia-Ukraine war before submitting to a US$3 billion IMF loan last year, if which US$600 million as tranche one has been credited to government account.