The Bank of Ghana (BoG) has revealed that Phase 2 of the Domestic Debt Exchange Programme (DDEP) had a relatively low impact on the 2023 audited financial performance of banks. This conclusion was part of the findings in the BoG's 2024 Financial Stability Review. The report highlighted that the lower levels of holdings and better restructuring terms contributed to the minimal impact. Additionally, some impairments had already been accounted for by banks in 2022, which helped mitigate the overall effect on financial performance. Banks also reported a strong rebound in financial performance in 2023. In August 2023, the Government of Ghana negotiated and restructured bond holdings of pension funds totaling GHS30.01 billion. Looking ahead, the report mentioned that the external debt restructuring, particularly the Eurobonds, could have implications for further impairments by banks and other participating financial institutions. The BoG emphasized that regulatory reliefs, recapitalization plans, and the establishment of the Ghana Financial Stability Fund would help mitigate the impact of the government's debt operations on the financial sector. The Financial Sector Strengthening Strategy (FSSS) was also developed to coordinate policy regulatory interventions and promptly address risks to the financial system. The report concluded that the domestic debt restructuring created fiscal space for the government and contributed to lowering the debt-to-GDP ratio.

The International Monetary Fund (IMF) Board is scheduled to meet on December 2, 2024, to discuss Ghana’s Third Programme Review. This crucial meeting could result in the release of $360 million to the Bank of Ghana to support the government’s budget and balance of payment needs. Finance Minister Dr. Mohammed Amin Adam announced this during a press briefing in Washington, DC, at the Annual IMF/World Bank Meetings. He stated that Ghana has met all requirements for approvals and disbursements under the IMF programme. This disbursement will bring the total funds received since Ghana signed up for the IMF programme to $1.92 billion. The anticipated $360 million from the IMF, along with an additional $300 million from the World Bank, is expected to strengthen Ghana’s reserves and help stabilize the Ghanaian cedi. Dr. Amin Adam expressed optimism that these inflows will put the Central Bank in a solid position to stabilize the currency. Investor confidence in Ghana’s economic reforms has been growing, with some investors considering re-entering the domestic bond market. The Finance Minister also welcomed the IMF’s revised growth projection for Ghana, adjusting the target for 2024 from 3% to 4%. Ghana’s economy has shown strong recovery compared to two years ago, with significant progress in growth, exchange rate stability, and inflation. Dr. Amin Adam emphasized that the government has performed exceptionally well in managing the economy. The IMF’s revised growth outlook and the upcoming disbursement are seen as positive signals for Ghana’s economic recovery and future stability

The Finance Minister, Dr. Mohammed Amin Adam, has said the government is currently preparing...

Founder and Chief Executive Officer of Groupe Ndoum, Dr. Paa Kwesi Nduom, is making...

A Nigerian man has taken aim at Hilda Baci, a Nigerian chef, for preparing...

A storm has erupted in Ghana's financial sector as President Nana Addo Dankwa Akufo-Addo...

Following a passionate defense of Vice President Dr. Mahamudu Bawumia's assertion that Ghana lacks...

The Bank of Ghana has fined and suspended the forex licence of Zeepay Ghana Limited for breaching Inward Remittance Guidelines and the Foreign Exchange Act. This unprecedented action signals a crackdown on forex irregularities. The suspension could significantly impact Zeepay's business and the Ghanaian economy, considering the company's key role in remittance channels. The Bank warns all forex market players to strictly follow regulations to avoid penalties.

The Nana Addo Dankwa Akufo-Addo administration has come under fire from renowned attorney Martin...

In Ghana, a new tax has been imposed on winnings from lotteries, gambling, and...

The Annual Report on the Staffing Positions of the Office of the President for...

US Vice President Kamala Harris visited Ghana from March 26 to March 29 as...