After several denials from the Ghanaian Government that it was not going to the IMF, the National Patriotic Party (NPP) government has finally eaten the humble pie to seek a Bailout from the IMF.
The Information Minister, Kojo Oppong Nkrumah shared a press release which indicated that the ‘President has ordered the Finance Minister to start preparations to engage the International Monetary Fund (IMF)
Most Ghanaians have said the move has been long overdue as they had seen the signs more than a year ago.
Even though this might be late, some believe it is better late than never; Joe Jackson asserted during an interview on the Big Issue on Citi Fm yesterday.
However, an Economist at the John Hopkins University believes the IMF Bailout will not save Ghana.
“Today, I measure inflation in Ghana at a stunning 49.35%/yr. In a last ditch effort, the govt. has begun negotiations w/ the IMF on a bailout deal. SPOILER ALERT: Another IMF loan won’t save GHA’s economy. Like its past 17 IMF programs, a new one will fail” – Steve Hanke tweeted on Twitter.
Steve Hanke is a Senior Fellow and Director at Cato Institute.
The Executive Arm of Government is hopeful this move will help the economy as the Agriculture Minister, Dr Afriyie Akoto said recently in an interview.