Flagbearer of the National Democratic Congress, John Dramani Mahama, has expressed a willingness to renegotiate the terms of Ghana’s International Monetary Fund bailout programme if elected in the upcoming elections in December.

The former president, who spoke in an interview with Reuters in Accra, said he also aims to increase domestic ownership of future oil and mining projects in the country.

While he acknowledges that renegotiating the terms of the bailout program would not be an easy task, Mahama believes it could be crucial in addressing economic challenges.

“I have been in an IMF programme before, when I was president, and I know that the IMF is not averse to sitting and talking and renegotiating issues," John Mahama is quoted as saying by Reuters.

He mentioned that his next administration, if elected, would honor existing production contracts with oil and mining companies and not seek to raise taxes, but instead implement measures aimed at higher royalties from future projects.

"I think we are at the upper range of taxes on profit... But I do think that in some cases the level at which we locked in the royalties is low," the former president said.

Additionally, John Mahama said his government would amend the Public Finance Management (PFM) law to introduce a compulsory debt-to-GDP ceiling of 60-70% to prevent excessive borrowing.

Since 2022, Ghana’s economy has faced a variety of challenges, leading the country to seek financial assistance from the International Monetary Fund (IMF).

The country has accessed $1.56 billion in funding so far, with another tranche of US$360 million expected before the end of the year.

MA/AE

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