The Minister for Finance, Cassiel Ato Forson, is currently leading the country’s delegation to the 2025 International Monetary Fund (IMF) and World Bank Spring Meetings in Washington, D.C., marking the first participation under the new administration of President John Dramani Mahama and the National Democratic Congress (NDC).
This engagement comes at a critical juncture in Ghana’s economic recovery journey, as the country continues efforts to stabilize its fiscal position following years of economic turbulence.
The Finance Minister’s trip, which includes meetings with global financial leaders and institutions, aims to reinforce Ghana’s new reform agenda and secure continued support for its economic reset.
Background
Ghana entered into an Extended Credit Facility programme with the IMF in 2023 under the previous administration in response to mounting debt, dwindling foreign reserves, and a depreciating cedi.
At the time, several structural benchmarks and fiscal targets were missed, contributing to macroeconomic instability and public discontent.
When the new NDC government assumed office in early 2025, it inherited a challenging economic environment marked by significant arrears, a high primary deficit, and strained public finances.
Within the first few months of governance, the Mahama-led administration began implementing a range of reforms aimed at restoring fiscal discipline and rebuilding investor confidence.
Last week, Ghana secured a staff-level agreement with the IMF on the fourth review of its ongoing programme.
Upon approval by the IMF Executive Board, the agreement is expected to release approximately $370 million to support Ghana’s economic recovery.
Dr. Forson noted that this achievement reflects the government’s accelerated reforms and commitment to resetting the economy.
Despite missing several targets before taking office, the new administration has moved swiftly to stabilize the fiscal outlook and implement structural changes.
Bold Measures to Restore Fiscal Discipline
In a post on his Facebook page, Ato Forson said the Key among the government’s initiatives is an audit of all outstanding government payables and commitments.
The Auditor-General and other oversight bodies have been tasked with completing this process within eight weeks to verify the legitimacy of the obligations and recommend corrective actions.
To enforce greater transparency, the government is amending the Procurement Act to require prior authorisation from the Finance Minister for all central government procurement. Additionally, proposed amendments to the Public Financial Management (PFM) Act will include a new debt rule to cap the debt-to-GDP ratio at 45% by 2035, and enforce a minimum annual primary surplus of 1.5% of GDP.
A Compliance Desk has also been set up at the Ministry of Finance to monitor adherence to fiscal commitments, while a new league table ranking Ministries, Departments and Agencies (MDAs) based on their financial compliance is set to be published in the coming months.
“These reforms go beyond meeting IMF requirements. They are designed to restore public trust, strengthen budget credibility, and lay the groundwork for long-term growth,” Dr. Forson emphasized.
High-Level Engagements in Washington
While in Washington, Dr. Forson is expected to participate in high-level discussions on global economic trends, energy access, job creation, and food security.
He said a crucial meeting will take place between the minister and IMF Managing Director Kristalina Georgieva to discuss Ghana’s reform progress and future collaboration.
Other key meetings will include engagements with the Paris Club, credit rating agencies, the U.S. Treasury, and private investors.
According to the Finance Minister, Ghana’s message to the international community is clear: “We are taking responsibility, acting boldly, and staying the course.”
The outcomes of these meetings will be critical to sustaining the momentum of Ghana’s economic recovery and attracting the necessary support from development partners.
–BY Daniel Bampoe
