Ghana gets bailout from IMF, suspends foreign debt payments

Ghana on Monday suspended payments of its foreign debt, passing through debt restructuring after securing bailout deal with the International Monetary Fund (IMF).

Ghana’s finance ministry in a statement noted that the country is facing economic crisis with inflation rate of over 50 percent, while the cedi has dropped significantly.

According to the statement, “That is why we are announcing today a suspension of all debt service payments under certain categories of our external debt, pending an orderly restructuring of the affected obligations.

“This suspension will include the payments on: our Eurobonds; our commercial term loans; and on most of our bilateral debt.

“We are also evaluating certain specific debts related to projects with the highest socio-economic impact for Ghana which may have to be excluded.”

The finance ministry noted that the debts payment suspension does not affect payments of multilateral debt, new debt (whether multilateral or otherwise) contracted after December 19, 2022 or debts related to certain short-term trade facilities.