Volume 17 Issue 1 5
Amandla
May 15, 2018
11
West Africa
Ghana IMF Approves $191m For Ghana The Executive Board of the International Monetary Fund (IMF) has completed the fifth and sixth review of Ghana’s economic performance under the Extended Credit Facility (ECF) arrangement. The completion of the reviews on Monday, April 30, 2018, enables the disbursement of about $191 million, bringing total disbursements under the arrangement to about $764.1 million. During the review, adjustments were made to the program to ensure that it remains on track and to enhance its prospects of success. In this context, the Executive Board also granted waivers, including for deviations in a few program targets. Ghana’s three-year arrangement was approved on April 3, 2015, for about $955.2 million or 180 percent of quota at the time of approval of the arrangement. It aims to restore debt sustainability and macroeconomic stability in the country to foster a return to high growth and job creation while protecting social spending. Following the Executive Board’s discussion on Ghana, Mr Tao Zhang, Acting Chair and Deputy Managing Director, said: “Implementation of the ECF-supported program has significantly improved in 2017. Growth has rebounded, the fiscal deficit has declined, leading to a primary surplus for the first time in fifteen years, the external position has strengthened, generating a build-up of external buffers, and key steps have been taken to address fragilities in the financial sector. Reforms should continue to
Nigeria Ebola Outbreak: Nigeria Imposes Airport Screenings KUNLE FALAYI
Nearly a month after first going to tThe Nigeria Immigration Service (NIS) says it is taking swift action to ensure that Ebola does not enter the country following a fresh outbreak in the Democratic Republic of Congo. NIS spokesperson Sunday James told BBC Yoruba that immigration officials would tighten vigilance at airports and make more use of thermometers to screen passengers: “We are sending a signal to all entry points in the country. The intention
entrench these hard-won gains. “The authorities’ commitment to fiscal discipline and the expenditure restraint shown in 2017 to meet the endyear deficit target are commendable. The government should continue to implement its fiscal consolidation program, with the adjustment focused mainly on increased domestic revenue mobilization. The recent announcement to enact revenue measures in the context of the mid-year budget review in July is welcome. Such measures will be critical to ensure that Ghana’s fiscal policies can be sustained over time. “Gains from fiscal consolidation and macroeconomic stability need to be underpinned by continued efforts to implement wide-ranging and ambitious reforms. The public financial management regulations recently submitted to
Parliament should help strengthen budget formulation and execution. Stronger oversight over the management of public finances should continue to be pursued, also in line with recommendations from the audit of unpaid bills. “As the debt burden remains elevated, continued prudence in debt management is essential to reduce the risks associated with market-based borrowing. It will be important as intended, to undertake liability management operations with part of the proceeds from the planned Eurobond to help mitigate foreign-exchange roll-over risk and smooth the debt maturity profile. “Monetary policy should continue to be focused on achieving the inflation target. In this context, while the decision to extend and publish the memorandum of understanding on zero financing of
the government by the Bank of Ghana is welcome, additional amendments to the Bank of Ghana Act would be a more robust way to eliminate the prospect of fiscal dominance. “The authorities should continue addressing fragilities in the financial sector. Further actions to tackle the overhang in non-performing loans and more progress on regulatory reforms and in strengthening oversight and cleaning up the microfinance sector will help support credit to the private sector. The recent bank intervention should be followed up with decisive action to restore the bank’s solvency and financial viability. “The Fund is looking forward to the successful completion of the ECF arrangement in the coming year and stands ready to continue to support Ghana in the future.” Modern Ghana
is to ensure that any suspected case can be promptly handed over to health officials at the airports. This is a matter which everybody must be concerned about. All hands must be on deck.” During the 2014 outbreak in West Africa, more than 11,000 people died – mainly in Guinea, Liberia and Sierra Leone. Ebola also spread to Nigeria when Patrick Sawyer, who was infected with the virus, flew into the country from Liberia. Nigeria’s response to the crisis was generally praised. Eight people died, including Dr Stella Ameyo Adadevo, who first attended to Mr Sawyer and helped to ensure a more devastating outbreak was avoided in Nigeria. BBC Passengers with a high temperature will be handed over to health officials