The United States government has pledged its full support to Ghana’s application for an economic bailout with the International Monetary Fund (IMF) at the Board level.
The USA also suggested an austerity plan is the most feasible way out for the West African side’s economic recession.
Ghana’s economy in recent days is suffering soaring levels of inflation and its associated hikes in cost of living.
In the wake of the dwindling level of the country’s foreign reserve, the Finance Ministry is currently rolling out a debt exchange programme as part of moves to save the economy from collapsing.
Reports reveal the IMF and Ghana are expected to reach a staff-level agreement on the loan deal, next Tuesday, December 13.
It indicated a board-level approval remains the only way for Ghana to access the much-needed 3 billion cedis from the Bretton Woods institution.
The USA Ambassador to Ghana, Virginia Palmer on how America plans to cooperate with Ghana on moving its economy out of recession stated, “the current economic crisis requires IMF assistance. That’s why those international Financial Institutions were created.”
“So we’ve urged the government of Ghana to negotiate with the IMF with urgency and then as a Board member, we’ll support those programmes. Further to that, we work with Ghanaian businesses and the Ghanaian government to strengthen the business environment so that Ghana lives up to its international reputation.”
It has been established that the United States remains the country with the Highest Special Drawing Rights of about $118 billion
However, Ghana is expected to reach a staff-level agreement with the International Monetary Fund.
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