The Government of Ghana says it has agreed to extend the expiration date for the domestic debt exchange to 30th December 2022.
This, according to the Finance Minister, is to allow for key concerns raised by stakeholders to be accommodated in some form.
In a virtual address to the nation on the economy on Monday, Finance Minister, Ken Ofori-Atta said "The launch of the debt exchange programme, coupled with the signing of the Staff Level Agreement with the International Monetary Fund, have aided our stability efforts and have in particular contributed significantly to the rebound of our currency"
"While accommodating the inputs of stakeholders, we must do all we can to sustain the gains of these initiatives keeping in sight the urgency of obtaining IMF Board approval in Q1 2023. The cost of this not succeeding will be too huge for our economy"
The Finance Minister also urged Parliament to support in getting the Appropriations Bill for the 2023 Fiscal Year passed.
"We also urge Parliament to support in particular new revenue measures outlined in the 2023 budget which aim to improve revenue mobilization. We cannot afford to repeat the mistakes of 2022"
"Our 'end game' as a government has always been to achieve a Ghana Beyond Aid- a Wealthy, Inclusive, Sustainable, Empowered, and Resilient society (a WISER Ghana)"
He noted that the necessary pre-condition for this is a stable macroeconomic environment.
He stressed that the ensuing years will focus on building an entrepreneurial and export driven economy as Ghana grow the economy to protect and create jobs, tackle inflation, and strengthen the currency.
He hinted that importation of food should soon be a thing of the past.
"We cannot afford to lose this essence of forward momentum for our economy as we navigate toward stability, predictability and growth"
The Minister added that 2023 must be Ghana's comeback year.
"A year in which we put in place stronger foundations that would allow us to change our country for the better and in a way that is enduring, inclusive and transformational"
"We all have a role to play. And I urge us all to work together with the Government and support the various interventions being implemented to kick-start our recovery in a determined, bold and courageous way!"
"Above all, I urge us all to maintain an unshakeable sense of optimism about Ghana in the days and years ahead. Indeed, “the LORD is the Lifter of our heads” (Psalm 3:4), as we all witness a new confidence in our currency and the prospects of the certainty of an IMF Board approval of our Staff Level Agreement"
The Minister also revealed that Government has continued to dialogue extensively with various stakeholders including regulators and representatives across the Pensions, Banking, Asset Management, and Insurance Sectors.
"We have discussed with them the rationale behind the domestic debt exchange programme, understood their perspectives and taken their feedback. Ultimately, confidence and the active participation of all stakeholders are the essential elements for the success of this debt exchange programme"
Ken Ofori-Atta noted that government is committed to laying out a path toward attaining debt sustainability informed by sound technical analysis and broad stakeholder engagement.
"Following the launch and as part of the broader macroeconomic and structural reforms, the IMF and Government signed off a Staff-Level Agreement on 13th December, 2022 for a US3 billion Extended Credit Facility"
He hinted that government’s engagement with the IMF is anchored on the Post Covid Programme for Economic Growth (PC-PEG) which aims to restore macroeconomic stability and debt sustainability, for a stronger and inclusive recovery.
"So far, we have all witnessed the gains of the Cedi over the past week, as well as the attainment of this Staff Level Agreement in near record time. These are results of our collective efforts. As 1 Samuel 30:19 says, “Nothing was missing, great or small.” We must and we will, collectively recover all"
Story by: Joshua Kwabena Smith
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