IMF Sets Eight-Point Reform Ultimatum for Ghana After First PCI Review

The International Monetary Fund has handed Ghana a detailed checklist of eight outstanding reforms that must be completed to keep the country's economic recovery on track, following the first review of the 36-month Policy Coordination Instrument.

The priorities, outlined in the Fund's end-of-mission statement issued on November 5, span monetary policy, domestic revenue mobilisation, fiscal oversight and public sector governance. While the IMF described programme performance as "broadly satisfactory," with most quantitative targets met, it made clear that the remaining reforms are not optional extras—they are the structural foundations on which the current stability rests.

The Eight Priorities

The first item concerns the Bank of Ghana. The IMF wants the central bank to reform its liquidity management framework, a task that has taken on added urgency as private sector credit expanded by 35.5 per cent year-on-year in August 2026, far above the 13.3 per cent recorded a year earlier . The Bank of Ghana has already signalled it will introduce a Liquidity Coverage Ratio directive requiring banks to hold high-quality liquid assets sufficient to withstand a 30-day stress period, alongside a new credit risk management directive . The IMF's call suggests it wants these measures accelerated and embedded within the PCI framework.

Second is the completion of the Integrated Tax Administration System rollout. ITAS, which the Ghana Revenue Authority launched in a pilot phase at the Kaneshie Taxpayer Service Centre, is designed to replace the legacy GITMIS system and taxpayer portal with a unified digital platform covering registration, filing, payment, audits, objections and refunds . The system is intended to link with the Integrated Customs Management System, the Registrar of Companies, SSNIT, the Bank of Ghana and the National Identification Authority, among others . A full national rollout was targeted for September 2026, but the IMF's listing of ITAS as an outstanding reform suggests completion remains pending.

Third, the Fiscal Council must be operationalised. President John Mahama inaugurated the five-member Independent Fiscal Council on September 8, 2026, chaired by Dr Emmanuel Oteng Kumah, with former Bank of Ghana Governor Dr Henry Wampah among its members . Established under the Public Financial Management (Amendment) Act, 2025 (Act 1136), the Council is mandated to scrutinise fiscal decisions and assess compliance with fiscal rules. But inauguration is not operation, and the IMF wants the body functioning in practice, not merely in statute.

Fourth, a comprehensive Fiscal Risk Statement must be prepared. This requirement is embedded in the Public Financial Management Regulations, 2019, which mandate the Minister of Finance to present a fiscal risk statement alongside the budget . The statement is intended to disclose contingent liabilities, including those arising from state-owned enterprises—a category of risk the IMF has repeatedly flagged, particularly in the energy sector where ECG's financial losses have continued to mount .

Fifth, the audit of the Electricity Company of Ghana's collection accounts must be published. The IMF's statement specifically noted the "delayed publication" of this audit as a remaining reform, and its absence is telling given the energy sector's role in Ghana's fiscal pressures . ECG operates 84 bank accounts for revenue collection nationwide, all swept into a single settlement account daily, according to former Managing Director Samuel Dubik Mahama . The audit's findings could have implications for how the utility's finances are managed and how its quasi-fiscal costs are accounted for.

The Governance Trio

The final three reforms concern public sector integrity. The Conduct of Public Officers Bill, laid in Parliament on June 26, 2026, by Attorney-General Dr Dominic Ayine, seeks to strengthen asset declaration and conflict-of-interest frameworks with improved verification and stronger sanctions . Civil society organisations have urged its passage, warning that failure to enact it by the end of 2026 should trigger a clear commitment in the 2027 Budget .

The second National Ethics and Anti-Corruption Action Plan must be published. Cabinet approved the 2026-2030 plan in June 2026 for transmission to Parliament, with President Mahama describing it as evidence of his government's commitment to transparency . The plan replaces the 2015-2024 strategy, which was widely criticised for inconsistent implementation . Publication is the minimum step; enforcement is the harder test.

Eighth, oversight and governance of state-owned enterprises must be strengthened. The IMF has identified SOE liabilities as a growing fiscal risk, concentrated in a small number of large entities, with persistent losses in the energy and commodity sectors weighing on public finances . The State Interests and Governance Authority has acknowledged progress in compliance and corporate governance but concedes that deeper collaboration with the IMF on capacity building and performance monitoring is needed .

The Risks That Justify the Urgency

The IMF's insistence on these reforms is rooted in a risk assessment that tempers the headline good news. Growth reached 6.2 per cent in the first half of 2026, inflation fell to 5.5 per cent in October, and the primary surplus is on track. But externally, Ghana remains exposed to swings in gold, cocoa and oil prices, geopolitical tensions and tighter global financial conditions. Domestically, substantial debt rollover requirements loom—the Cedi Sinking Fund held GH₵15.6 billion as of July 2026 against a target of GH₵30 billion by year-end to meet 2027 maturities . Fiscal pressures from energy, cocoa and gold persist, and financial sector weaknesses remain unresolved.

The IMF's prescription for managing these risks includes prudent monetary policy, greater exchange rate flexibility, stronger reserve buffers and the buildup of the sinking fund. The eight reforms are the institutional scaffolding that makes those prescriptions credible.

What Happens Next

The staff-level agreement still requires approval from IMF Management and the Executive Board, with the review expected to go before the Board in January 2027. Completion of the eight priorities within agreed timelines will be a key determinant of whether Ghana's PCI programme remains on track—and whether the hard-won stability of the past three years becomes a durable foundation rather than a fragile interlude.