The Institute of Economic Affairs (IEA) has issued a stern warning that Ghana could be forced to seek an 18th bailout from the International Monetary Fund (IMF) unless urgent and comprehensive economic reforms are implemented.
Speaking at a roundtable discussion on “The Mining Regime in Ghana,” IEA Board Chairman, Dr. Charles Mensa, highlighted the country’s persistent structural weaknesses and overreliance on external financial assistance.
“We’ve already turned to the IMF 17 times. That essentially means we’ve gone bankrupt 17 times,” Dr. Mensa stated.
“Despite being among the world’s leading gold producers, we continue to experience economic crises. The root cause is our inability to fully control and benefit from our natural resources.”
Dr. Mensa emphasized the importance of reforming the management of Ghana’s resource wealth and called for improved domestic revenue mobilization. He urged the government to adopt a more strategic approach that ensures the country derives maximum value from its mineral resources.
Without a significant shift in policy direction, he warned, Ghana is likely to return to the IMF for another bailout.
“If we don't take full ownership of our resources and break away from the current flawed model, we’ll find ourselves back at the IMF for the 18th time,” he cautioned.
Ghana’s history with the IMF dates back to 1966, following the overthrow of President Kwame Nkrumah. Since then, the country has sought financial assistance multiple times, typically during periods of economic distress.
The most recent programme—a $3 billion, three-year Extended Credit Facility—was approved in 2023 to stabilize the economy and address rising public debt. The programme is expected to end in early 2026.
Although current assessments suggest the programme is on track, experts warn that sustaining fiscal discipline and implementing lasting reforms after its conclusion will be critical to avoiding a repeat of past financial crises.
Source: theghanareport
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