"For the primary time in history, an oil-wealthy usa, a few 5 years into oil production, is in search of a bailout from the IMF" (Akufo-Addo 2015).
The contemporary president tweeted the above submit in April 2015, quickly after his predecessor, former President John Dramani Mahama engaged the IMF beneathneath a operating application.
In what has been extensively visible as surprising among the overall Ghanaian public, given his music report of bastardizing the International Monetary Fund (IMF), Ghana's President, Nana Addo Dankwa Akufo-Addo, has tasked Finance Minister Ken Ofori-Atta to begin formal engagements with the IMF.
A declaration signed through the Information Minister, Kojo Oppong Nkrumah, said, "This follows a cellphone verbal exchange among the president and the IMF Managing Director, Kristalina Georgieva, conveying Ghana's choice to interact with the fund."
The Ghanaian authorities is ready to begin talks with a delegation from the International Monetary Fund (IMF) over an monetary assist package.
The Ministry of Finance said the authorities is dedicated to efficaciously negotiating a application with the IMF withinside the coming months. According to the Ministry, the primary motives for this new go to to the IMF are the deteriorating debt to GDP ratio, which stands at 84%, and the excessive inflation rate, which presently stands at 28%. As a end result of the excessive debt ratio, Ghana does now no longer have get right of entry to to the capital markets, and the lazy E-levy tax isn't always elevating the assets the authorities needs.
Historically Ghana has been to the IMF for monetary assist seventeen times. Previous IMF packages supported the Ghanaian authorities with unsustainable debt position, outside shocks, and stability of charge issues. In fact, Ghana has visited the IMF beneathneath the final 3 governments (NPP and NDC governments).
The latest great backlash which accompanied the declaration that this contemporary authorities has determined to head for the IMF bailouts stems from the statements made through main authorities individuals (inclusive of President Akufo-Addo and Vice President Bawumia) equating IMF bailout to incompetence.
Prior to the 2016 election, this authorities promoted the argument that a go to to the IMF supposed that the ruling authorities become now no longer as much as the venture and have to be proven the door.
The Akufo-Addo-Bawumia authorities has constantly said that "they have got the men" and knowledge to influence the usa farfar from IMF. And as such, the general public outcry is the end result of every other failed promise from this authorities.
Moving forward, the NDC-USA encourages the Akufo-Addo-Bawumia authorities to first make an apology to Ghanaians for this U-flip in policy. We additionally inspire main individuals of the NPP authorities to interact in extra goal and accountable political commentary.
Finally, the authorities have to attain out to the competition NDC and different stakeholders to assist negotiate and efficaciously enforce the IMF application to repair public self assurance due to the fact key authorities appointees and figures like Minister of finance Mr. Ken Ofori-Atta and Minister of State on the Presidency, Mr. Charles Adu Boahen have misplaced credibility and shortage potential to help Ghana to barter a higher deal for Ghana, in a well timed manner. Time is of the essence!
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