Ghana IMF bailout: Timeline of Ghana International Monetary Fund loans

Experts around de world hail Ghana has one of de success stories in sub-Saharan Africa.

After becoming de first to attain independence from colonial rule, in 1957, de country manage built a stable democracy in the 1990s,

De country which be exporter of of cocoa, gold, and oil to boost economic growth dey face economic challenges which increase living costs.

Series of demonstrations over rising fuel prices, unemployment, lack of some basic and social amenities by citizens be evidence of de troubling times de country dey inside.

Sake of dis, President Akufo-Addo open talks with International Monetory Fund (IMF) for bailout.

On Wednesday, July 6, 2022 de team from IMF dey meet wit govment to start de negotiations for Ghana.

International Monetary Fund (IMF) staff team, led by Carlo Sdralevich, mission chief for Ghana, go stay until July 13 for discussions with Ghanaian authorities about a possible IMF-supported program.

Dis go be de 17th time Ghana dey go IMF for loans to support de economy.

De list below dey show all de times since 1966 wey Ghana go IMF.

Ghana go IMF for de first time in 1966 after de overthrow of Prime Minister Dr Kwame Nkrumah by de National Liberation Council (NLC).

After de overthrow, de new formed govment invite de IMF and World Bank to take de lead in managing de economy.

Under dis period, de IMF supervise de privatization of state corporations in order to turn dem into profitable institutions.

Ghana depend on de IMF for financial bailout under what dem term ‘standby arrangement’ from 1966 to 1969.

On January 10, 1979 Ghana go back to de IMF after series corruption, economic mismanagement and military coups slow economic growth in de country.

Before going to de IMF, de military govment under military general and head-of-state Ignatius Kutu Acheampong lead de country under “Operation Feed Yourself” agricultural program.

De local agric policy start in February 1972 and until de end of Acheampong en regime in 1978.

Revolution on June 4th in 1979 by led by Flt. Lt. Jerry John Rawlings overthrow de govment sake of de socialist policies like operation feed yourself make matters worse for Ghana.

Inflation dey so high, ‘toilet paper sef be worthy pass gold’ according to economists.

High inflation raise de price of simple goods like soap and cloth which dem dey import with dollars.

Dis be when de group of 15 junior air force officers successfully overthrow de govment of de day in 1979 wey dem hand over power to civilian govment after elections.

Ghana go IMF again for standby arrangement in 1979 under de new govment to help manage de troubles in de economy.

After handing over power to a civilian government after de military takeover in 1979, J.J Rawlings stage second bloodless coup on 31 December 1981 dis time as chairman of de Provisional National Defence Council (PNDC). 

From 1981 to 1983 Ghana experience major wey cause food shortage, hunger crisis as a result of climate change.

De country for depend on food n=donations from charities across de world for support, by 1983 de country hit de harshest economic crisis in modern history.

Dis push de PNDC leader, J.J Rawlings to invite de IMF to help with Structural Adjustment Program.

De ERP remove de state-controlled economy wey dem introduce market-oriented economy, di result in stabilization of de economy which reduce inflation from 142 percent in 1983 to 10 percent by the end of 1991.

From de mid 1990s global financial bodies like de IMF embark on movement dem describe as debt cancellation.

Dis result in de creation and enhancement of debt relief schemes under de Highly Indebted Poor Countries initiative.

After enjoying support from de IMF in 1995 and 1999 under de newly introduced Fourth Republic under now democratic leader, President J.J Rawlings, Ghana go back to de IMF in 2003 as a HIPC country under new leader President John Agyekum Kufuor.

President John Agyekum Kufuor take over power in 2001 after general elections, but in 2003 he take Ghana go HIPC for debt relief which reduce govment debt from $66 billion in 2003 to $23 billion by 2006.

Instead of paying de debt, IMF direct Ghana to invest loan monies into education, healthcare, good government policies den stuff.

Power crisis popularly known as dumsor throw Ghana into economic challenges under de John Mahama govment and by 2015 de country return to IMF for support.

De IMF approved a $918 million loan to Ghana to support reform program aimed at faster growth and job creation while protecting social spending.

According to de John Mahama govment, going to de IMF turn de only way to revive de weak cedi and struggling economy and stabilise de cedi.

De latest decision by President Akufo-Addo led govment divide heads for Ghana as expectation be say de country no go go under IMF again.

But according to govment, Covid-19 and Russia-Ukraine crisis be major cause of de economic challenges.

Inflation rate for Ghana reach one of de highest in de history of de country as e catch 27% at de end May.

Starting de tear around 13.9%, de inflation rate shoot up de price of food, goods and services, living costs den tins.

De IMF provide list of de years and number of times Ghana approach de IMF for bailout.

IMF however note say de information provided as of May 2018 no dey replace other official IMF reports den statements.