The government's claim that the ongoing conflict between Ukraine and Russia and the COVID-19 epidemic are contributing factors to Ghana's economic difficulties has been repeated by Carlo Sdralevich, the head of the IMF negotiation team in Ghana.
Sdralevich came to the conclusion that Ghana's fiscal and debt condition has significantly deteriorated as a result of the COVID-19 outbreak after meeting with the major stakeholders in the nation.
He acknowledged that the invasion of Ukrainian territory by Russia is having a negative impact on the nation as it struggles to recover from the shock of the COVID-19 outbreak.
According to Carlo Sdralevich, "Ghana is experiencing a severe economic and social condition in a complex global climate. The COVID-19 epidemic has resulted in a dramatic worsening of the financial and debt crisis. Investors' worries have also led to credit rating changes. lack of access to foreign markets, capital outflows, and increased domestic borrowing rates.
Additionally, with little room for manoeuvre, Ghana is still recuperating from the Covid-19 pandemic shock and is being struck hard by the global economic shock brought on by the conflict in Ukraine. These unfavourable events have contributed to a slowdown in economic growth, an increase in unpaid debts, a significant depreciation of the currency rate, and a rise in inflation.
In line with the IMF's objectives, Sdralevich pledged "to help Ghana at this challenging moment."
After President Nana Addo Dankwa Akufo-Addo phoned Managing Director Kristalina Georgieva to request an extended credit facility for the country, the International Monetary Fund (IMF) team travelled to Ghana.
The group, under the direction of Carlo Sdralevich, arrived in Ghana on Tuesday, July 5, and began meetings the following day.
They spoke with Ken Ofori-Atta, the sector minister, the staff of the Ministry of Finance, and Vice President Dr. Alhaji Mahamudu Bawumia.
In order to discuss social expenditures, the team also met with the Finance Committee of the Parliament, civil society organisations, and development partners including UNICEF and the World Bank.