The World Bank has officially disbursed the US$300 million loan facility to Ghana for budgetary support.
This significant amount was transferred to the Central Bank’s account today, on Wednesday, March 27, 2023.
It represents the first installment in a series of three operations, each totaling $300 million, aimed at supporting crisis response and resilience efforts in Ghana under the Resilient Recovery Development Policy Operation.
This fresh foreign inflow will increase the Bank of Ghana buffers to help in the recovery of the economy and slow the depreciation of the cedi.
The fund is anticipated to not only restore fiscal sustainability but also bolster financial sector stability and private sector development, enhance energy sector financial discipline, and fortify social and climate resilience.
Finance Minister Dr. Mohammed Amin Adam has affirmed that the government remains committed to adhering to the Development Policy Operations supported by the World Bank, even in the midst of an election year.
Specific reforms supported by this financing series include strengthening domestic revenue mobilization, controlling expenditures, safeguarding financial sector stability, removing barriers to private investment, setting the energy sector on a sounder financial and operational footing, strengthening the country’s social protection system, and mainstreaming climate adaptation and mitigation across policies.
Ghana anticipates receiving a combined disbursement of approximately $1.2 billion from its Development Partners, including the International Monetary Fund, the World Bank, and the African Development Bank, by the conclusion of 2024.
STORY BY;PORTIA AKU SHIKA GAFAH
