Expert warns IMF's $360 million not enough for Ghana's reserve

Ghanaian

Elikplimi Agbloyor, an associate professor at the University of Ghana Business School cautioned that the $360 million from the International Monetary Fund (IMF) falls short of adequately bolstering Ghana's reserve.

Agbloyor emphasized the insufficiency of the IMF funds to meet the demand for dollars in Ghana's economy. He urged the government to implement domestic policies to enhance the country's reserve,

Read full articleemphasizing the importance of maintaining a reserve capable of sustaining the economy for at least 12 months.

Agbloyor highlighted the significance of robust reserves in mitigating global economic shocks, citing the resilience shown by countries with ample reserves during the COVID-19 pandemic.

Ghana anticipates approval for the third tranche of US$360 million from the IMF in June, following a staff-level agreement on the second review of the Extended Credit Facility (ECF) arrangement. Dr. Ernest Addison, Governor of the Bank of Ghana, expressed optimism about the Board's approval, noting that the funds would augment Ghana's foreign reserve, which stood at US$6.2 billion as of April 5, 2024.

Dr. Theo Acheampong, an economist and political risk analyst, underscored the importance of domestic gold purchases by the Bank of Ghana in fortifying Ghana's reserve and currency