Ghana behind on IMF reforms but making progress
By Praisebell Rosemond Larbi
Ghana met only three out of eleven structural benchmarks under its International Monetary Fund (IMF) program between January and May 2025, the Fund has disclosed in its latest Country Report.
However, the IMF acknowledged that the government has recently taken strong corrective measures to address the missed targets and speed up delayed reforms.
The missed benchmarks, which are key nonfinancial policy commitments, were largely attributed to institutional bottlenecks, delayed appointments, and technical challenges, particularly in the energy and public procurement sectors.
“Some missed structural benchmarks were implemented with delay, but strong actions have been taken in recent months to address delays in the structural reforms,” the IMF stated.
Key Missed Benchmarks and Delays
Quarterly Electricity Tariff Adjustments, a recurring benchmark scheduled for January 2025, resumed only in April due to delays in appointing a new board for the Public Utilities Regulatory Commission (PURC).
The audit of the Electricity Company of Ghana (ECG), due in January 2025, was published in February, although it covered a broader period than originally required under the program.
The full integration of the Ghana Electronic Procurement System (GHANEPS) with the Ghana Integrated Financial Management Information System (GIFMIS), originally due by December 2024, was completed in May 2025. The integration was treated as a prior action for the latest IMF review.
The government also completed the restructuring plan for the National Investment Bank (NIB) and recapitalized the bank in May to ensure it meets the required Capital Adequacy Ratio of 13 percent, ahead of the end of 2025 deadline.
Progress Ahead of Schedule
Despite earlier delays, the government implemented two structural benchmarks ahead of their September 2025 deadlines: Amendment of the Fiscal Responsibility Framework, and Adoption of a strategy to restructure ECG, including the introduction of private sector participation in its operations.
Performance Criteria Mostly Met
The IMF noted that all end of December 2024 performance criteria and most indicative targets were met, except one, the target on the accumulation of net payables.
That particular target was missed by 3.9 percent of GDP due to a large build-up of payables by Ministries, Departments, and Agencies (MDAs) outside the GIFMIS framework ahead of the 2024 elections.
To address this, the government has adopted corrective actions, including tighter commitment controls and improved compliance with the Public Financial Management Act.
IMF Assessment and Outlook
Although the missed benchmarks initially raised questions about the pace of Ghana’s reforms, the IMF expressed confidence in the government’s recent actions. The Fund commended the administration’s renewed focus and said the steps taken demonstrate a commitment to the broader reform agenda.
These efforts are expected to enhance public financial discipline, improve transparency, and restore fiscal credibility over the medium term.
Ghana remains under a multi-year Extended Credit Facility program signed in 2023, which aims to restore debt sustainability, boost economic growth, and improve governance.
