Finance Minister Hosts US Ambassador, Pledges Economic Reforms and Debt

Ghana’s Finance Minister, Dr. Cassiel Ato Forson welcomed US Ambassador to Ghana, Virginia Palmer, to the Ministry of Finance, reaffirming Ghana’s commitment to financial stability and economic recovery.

During the meeting, the Minister expressed deep appreciation for the United States’ unwavering support, particularly during Ghana’s economic challenges in 2022. The discussions focused on Ghana’s ongoing IMF program, energy sector reforms, and efforts to clear outstanding arrears.

Commitment to IMF Program and Energy Sector Reforms

While acknowledging setbacks in the IMF program’s implementation, the finance minister assured Ambassador Palmer that the government remains fully committed to making necessary adjustments this year. A key part of these efforts includes addressing arrears owed to Independent Power Producers (IPPs).

“We are fully aware of the outstanding arrears to IPPs, and decisive steps are being taken to resolve them,” the Minister stated.

The government has also streamlined the Cash Waterfall Mechanism, a reform aimed at ensuring timely payments in the energy sector and preventing future accumulation of arrears. Additionally, the Minister revealed that renegotiated power purchase agreements will soon be submitted to Parliament for approval.

US Applauds Ghana’s Reform Commitments

Ambassador Palmer congratulated the Minister on his appointment and praised his recent Economic Dialogue address, describing it as “the most candid speech from a Finance Minister in the last forty years.” She also welcomed Ghana’s commitment to settling payments owed to US companies operating in the country.

Strengthening Ghana-US Economic Ties

This high-level meeting reinforced the strong partnership between Ghana and the United States, with both parties reaffirming their commitment to economic cooperation.

“We recognize the urgency of financial reforms and remain focused on implementing measures that will stabilize our economy and secure a sustainable future for our people,” the Minister stated.