A Senior Lecturer at the Department of Economics at the University of Ghana, Professor Ebo Turkson has urged government to be tactful on how the $3 billion support from the International Monetary Fund (IMF) will be disbursed once the money hits Ghana's account.

Professor Ebo Turkson believes it will be prudent for the government to invest the monies into productive sectors of the economy to spur growth.

Speaking on the Kumasi-based OTEC 102.9 FM's breakfast show "Nyansapo", on Wednesday, December 14, 2022, Professor Turkson said the government needs to channel the monies into sectors that will become profitable to keep revenue streams flowing to take care of the country’s needs.

He has therefore warned government not to use any of the IMF money to pay public sector workers.

Ghana IMF Deal

Ghana has agreed a $3bn loan with the IMF, moving the nation closer to a deal with creditors that would stabilize its economy and finances after a year of turmoil.

The loan, which would provide funding for three years, is a staff-level agreement between the fund and Ghanaian authorities. It must now be approved by IMF management and its executive board. Stéphane Roudet, the IMF’s head of mission to Ghana, said on Tuesday at a press briefing that the board would only approve the loan if Ghana restructures its debt with its private sector and foreign government creditors.

Investor confidence

Professor Ebo Turkson has however described the announcement by Ghana and the IMF, as timely as it will boost investor confidence.

He opined, that the IMF program, will also help slow down the depreciation of the cedi and the rising inflation.

The economist further noted that the deal would come as a huge relief to the economy which had come under pressure in recent times.