This was captured in its Fiscal Outlook Report released at the Annual IMF/World Bank Spring Meetings in Washington DC, USA.

Ghana recently undertook a Domestic Debt Exchange Programme (DDEP) to reduce the country’s debt stock.

According to myjoyonline.com, the IMF in the report also forecast the Debt-to-GDP Ratio would reduce marginally to 92.8 per cent in 2024.

Launching the report, the Director of Fiscal Affairs at the IMF, Vitor Gaspar, advised the government of Ghana to ensure that fiscal policy is consistent with monetary policy to restore price and financial stability while supporting the most vulnerable.

“Abrupt changes in financial conditions also call for fiscal restraint to tackle fiscal vulnerabilities. To that end, governments will need to give greater priority to rebuilding fiscal buffers by developing credible risk-based fiscal frameworks,” Mr Gasper said.

The March 2023 Bank of Ghana’s Economic and Financial Data report showed that Ghana’s Total Debt Stock ending November 2022 stood at ¢575 billion, representing 93.5 per cent of GDP.

However, based on the Gross Debt Levels projection, that could be going up by about 5 per cent for 2023.

Some analysts have stated that the current debt restructuring by the government may impact the debt numbers by the end of 2023.

The Finance Ministry in its Debt Strategy Paper had indicated that the Domestic Debt Exchange Programme will end up restructuring about ¢138 billion worth of bonds.

The IMF in the Fiscal Monitor Report also classified Ghana’s economy as Low Income Developing Country.