A former staff of the International Finance Corporation, Dr Ekwow Spio-Garbrah has stated that the positive statements being made by the various International Monetary Fund (IMF) and World Bank officials about the current state of Ghana’s economy are in conformity with their organizational culture.
He said because of the financial commitments the IMF has made in the country’s economy through the $3 billion bailout sought by the government, the officials of the Bretton Woods institutions have been coached on what to say.
“I was part of that system, that’s part of the work. I was in communication. I started with communication at the African Development Bank. I was the only black person in the Communication Department of the International Finance Corporation 30 years ago. That was part of my job. To make sure that the institutions said the right things about certain countries which were their clients,” he said on the January 21 edition of Hot Issues with Keminni Amanor.
Keminni had asked him what he made of the positive comments being made by the IMF officials, despite the numerous complaints by members of the general public about hardship in the country.
It would be recalled that the International Monetary Fund (IMF) Mission Chief for Ghana, Stéphane Roudet, posted on his x platform that Ghana’s economy is improving.
He says despite a challenging global economic environment, Ghana’s economic reforms are bearing fruit, and the economy is showing signs of stabilization.
“Growth has proven more resilient than it was envisaged, inflation is declining rapidly, the fiscal and external positions have improved, Bank of Ghana‘s international reserves have been increasing and exchange rate volatility has decreased,” he said.
We’re proud to continue supporting Ghana in restoring macroeconomic stability – IMF Mission Chief
It would also be recalled that the at conclusion of the Executive Board’s discussion on Ghana’s application, Mr. Bo Li, Deputy Managing Director and Acting Chair, issued the following statement:
“Ghana’s economic performance has been marked by significant volatility over the years. Most recently, severe external shocks compounded pre-existing fiscal and debt vulnerabilities, leading to acute economic and financial pressures in 2022. The authorities’ efforts to reorient macroeconomic policies, restructure debt, and initiate wide ranging reforms are already generating positive results, with growth more resilient than initially envisaged, inflation declining, the fiscal and external positions improving, and international reserves increasing.”
The Managing Director of the IMF, Kristalina Georgieva also posted this on her X platform, January 16, “Wonderful to see @NAkufoAddo and @oofmghana at #WEF24. The policy and reform commitments under Ghana’s economic program are starting to bear fruit.”
However, Dr Spio-Garbrah, who is a stalwart of the National Democratic Congress (NDC) intimated that they are merely doing their jobs.
“That is what the world bank would say. I used to work there. So, that’s what they would have to say. Because they have given us money through the IMF, they are all Bretton Woods institutions, the IMF, the World Bank Group, the International Financial Corporation, that’s where I worked, have a reason to say the positives things about Ghana, because their money is now here.
When they did not have the $3 billion loan that Ghana has taken from IMF, they could say something else. But they now have a skin in the game, as Europeans or Americans will call it. So, they have an investment in Ghana, and they must therefore prop up the economy with language, with reports and conferences that say the right things, so that their monies don’t get so bad,” the former Information Minister disclosed.