The aim is to identify risks to such member countries’ medium-term viability and provide early warnings on risks to the Fund’s balance sheets. Should it become necessary, IMF staff will advise on policy actions to correct macroeconomic imbalances.

Ghana and IMF’s PPM

Another reason that triggered this move was that Ghana’s debt level with the Fund crossed the GH¢400 million mark and for a low middle-income country, it has to be placed on this program to ensure that the debt repayments are not affected in any way.

Ghana’s recent program with the IMF ended in April this year, with Ghana receiving $925.9 million spread over 4 years.

The program approved on April 3, 2015, for SDR 664.20 million (about $925.9 million or 180 per cent of quota at the time of approval of the arrangement). It was extended for an additional year on August 30, 2017, and ended on April 2, 2019.

How does the Post Program Monitoring Works?  

Under post-program monitoring, countries undertake more frequent formal consultations with the IMF than is the case under the IMF’s normal surveillance, with a particular focus on macroeconomic and structural policies and risks that have implications for the country’s external viability and capacity to repay the IMF.