Former President John Dramani Mahama has emphasized the need for caution and responsibility in handling the recently allocated $600 million from the International Monetary Fund (IMF) to the Ghanaian government.
While recognizing the potential relief the financial aid could bring to the struggling Ghanaian economy, Mahama expressed reservations about the current government’s capacity to manage the funds effectively.
In a Facebook post, Mahama highlighted the economic challenges faced by Ghanaians and criticized the Akufo-Addo-Bawumia administration. He particularly voiced concerns about the government’s decision to implement Value Added Tax (VAT) on electricity consumption, predicting a nearly 21% increase in tariffs, further burdening citizens financially.
Calling on the outgoing government to exercise caution and responsibility in using the IMF funds and any additional support from the World Bank and other development partners, Mahama urged, “I again urge the outgoing NPP government to be cautious, responsible, and judicious in utilizing the IMF $600 million and other funds that may be made available to Ghana from the World Bank and other development partners.”
Assuring the public of the National Democratic Congress’s (NDC) commitment to addressing economic challenges, Mahama stated, “The National Democratic Congress (NDC) is eager and ready to address Ghana’s economic challenges and provide substantial relief to Ghanaians upon assumption of office in January 2025.”
He encouraged strict oversight by the NDC minority in parliament on both the government and the Bank of Ghana, emphasizing the need to address the economic situation exacerbated by the printing of billions of cedis.
Mahama aligned himself with organized labor’s call for a reversal of the decision to impose VAT on electricity consumption, emphasizing its adverse ripple effect on the cost of living for ordinary Ghanaians.
Reiterating his commitment to engaging the Ghanaian public on his vision for building a prosperous nation, Mahama outlined key initiatives, including the “24-hour economy policy,” aimed at creating well-paying jobs.
The disbursement of the $600 million follows Ghana’s successful completion of the 2023 Article IV consultation and the first review of the 36-month Extended Credit Facility arrangement by the IMF Executive Board on January 19, 2024.
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