The Director of Research at the Institute of Economic Affairs (IEA), Dr John Kwakye, has described the government’s engagement with the International Monetary Fund (IMF) as a short-term solution to the country’s economic challenges.
According to him, the long-term solution requires fiscal discipline and mobilising the country’s own abundant resources to support policies that would transform the economy.
In a tweet, the economic expert said “IMF is a short-term solution to our economic problems”.
“The long-term solutions require fiscal discipline and mobilising our own abundant resources to support policies that would transform the economy from its colonial structure to a modern industrial economy”, he added.
The government has been engaging officials of the IMF to create an economic programme to deal with the challenges facing the economy.
However, some economists and the Ghana Trades Union Congress have expressed their concerns because of the conditions that an IMF programme comes with.
But others are of the view that an economic programme with the Fund is long overdue since the Ghanaian economy has lost credibility following the downgrade of its credit rating by all three rating agencies (Fitch, Moody’s and S&P).
I’m very determined for us to reach an agreement with Ghana by December 2022 – IMF Boss
Despite all these challenges, the IMF Managing Director, Kristalina Georgieva, has reiterated his outfit’s commitment to reaching an agreement with the government by the end of this year for an economic programme.
Speaking with Joy News’s Benjamin Akakpo at the Africa Adaptation Summit in Rotterdam, Holland, Madam Georgieva, said the present economic imbalances is not due to bad policies by the government.
IMF new Mission Chief arrives in Ghana, meets Ofori-Atta, 1st Deputy Governor
Again, the new IMF Mission Chief for Ghana, Stephane Roudet, arrived in the country last week.
Mr Roudet’s visit lays the groundwork for a full mission towards the end of September 2022.