The International Monetary Fund (IMF) has approved an\u00a0Extended Credit Facility (ECF) for Ghana worth about $918 million.<\/p>\n
Ghana signed the ECF with the IMF team in February<\/strong><\/span><\/a> and the leader of the team Joel Toujas-Bernate\u00a0clarified that the facility would be used to support balance of payment and not direct budgetary injections.<\/p>\n [contextly_sidebar id=”efvpXhwo11NufvwoeCDGEx7wq0B3vS2d”]In a statement released by the IMF on Friday after the board finally approved the funding said, the ECF would help Ghana boost growth, jobs and stablility.<\/p>\n The ECF according to the statement would also support Ghana’s medium-term economic reform program.<\/p>\n Ghana’s debt stock which is now about 67% of GDP has raised serious concerns among economists<\/strong><\/span><\/a> and financial analysts<\/strong><\/span><\/a> who feel it has reached unsustainable levels.<\/p>\n The IMF 3-year program aims to “restore debt sustainability and macroeconomic stability to foster a return to high growth and job creation, while protecting social spending.”<\/p>\n The Executive Board\u2019s decision will enable an immediate disbursement of the money to Ghana, the statement confirmed.<\/p>\n Why IMF?<\/strong><\/p>\n Government turned to\u00a0the IMF in \u00a02014<\/strong><\/span><\/a> for a possible bailout as a result\u00a0of\u00a0high inflation rates, depreciation of the cedi, huge wage bill<\/strong><\/span><\/a>, among others.<\/p>\n