Ghana has achieved a major economic milestone by surpassing a key International Monetary Fund (IMF) benchmark well ahead of schedule, offering a renewed sense of optimism about the country’s recovery and fiscal stability.
As of February 2025, Ghana’s gross international reserves have soared to $9.3 billion, providing four months of import cover—a level the country was expected to reach by mid-2026 under the IMF’s 36-month Extended Credit Facility (ECF) programme.
The announcement followed the conclusion of a staff-level agreement between Ghana and the IMF to wrap up the fourth review of the programme. Once approved by the IMF Executive Board, Ghana stands to receive an additional $370 million, bringing total disbursements under the deal to approximately $2.36 billion since May 2023.
Speaking on the development, Dr. Benjamin Amoah, a senior finance lecturer at the University of Ghana Business School, praised the progress:
“This is a good development for the cedi. Improving the reserves will send a positive signal to investors that the currency is in a good position.”
He also urged the government to stay the course on debt sustainability reforms to maintain long-term macroeconomic stability.
Growth Up, Exports Strong, But Risks Remain
In a statement, the IMF credited strong performance in mining and construction, along with solid gold exports and increased remittances, for the impressive growth momentum in 2024. The external sector, it said, had improved significantly, allowing reserves to exceed target levels.
However, the Fund also highlighted a series of challenges, including fiscal slippages in the lead-up to the 2024 general elections and delays in key reforms across the energy, financial, and fiscal sectors. Inflation also exceeded programme targets.
In response, the government has launched an audit of accumulated payables and introduced an ambitious 2025 budget targeting a primary surplus of 1.5% of GDP. Reforms in public financial management, tighter expenditure controls, and enhanced governance in state-owned enterprises are also underway.
The IMF team, which met with top officials including Finance Minister Mohammed Amin Adam, Bank of Ghana Governor Dr. Johnson Asiama, and other stakeholders, acknowledged the government’s recent bold steps to correct the course and keep the programme on track.
Despite past missteps, Ghana’s early reserve success and the new wave of reforms signal a turning point for the economy and may help restore international investor confidence going forward.