In response to the recent completion of processes leading to the approval of Ghana’s request for a Fund-supported programme by the IMF’s Executive Board, the Minority Leader in Parliament, Dr. Cassiel Ato Forson, cautions Ghanaians to prepare themselves for the forthcoming challenges under the program.

Dr. Ato Forson stated, “Let us brace ourselves for the full consequences of this IMF deal, which will undoubtedly have a severe impact on Ghanaians, especially the youth.

This is not a message of despair, but a reality that will soon become apparent to all of us.”

He further revealed that as part of the government’s proposal to secure the IMF deal, the Akufo-Addo/Bawumia administration has agreed to increase utility tariffs every three months since last year.

The cumulative increase in electricity tariffs from September 2022 until now stands at 75.32%, with consecutive raises of 27%, 29.96%, and 18.36%.

Dr. Ato Forson issued this statement in a press release on Thursday afternoon (May 18, 2023), shortly after a joint press conference held by the IMF and Ghana in Washington to provide additional details on the approved $3 billion three-year extended credit facility.

During the press conference, Stéphane Roudet, the IMF Mission Chief to Ghana, emphasized the three pillars of the programme.

The first pillar focuses on restoring Ghana’s economy, the second aims to establish sustainable growth, and the third centers on laying a solid foundation for a robust economy.

Mr. Roudet outlined the program’s objectives, which include enhancing Ghana’s resilience to shocks, improving foreign exchange stability, controlling inflation, mobilizing domestic revenue, and reducing public spending.

The opposition National Democratic Congress had been advocating for an IMF bailout since 2021, suggesting it would have been an opportune time for the government when the situation was not critically dire.

However, with the deal now approved, Dr. Ato Forson predicts even greater hardship, especially for the youth.