No Result
View All Result
Saturday, August 13, 2022
Citi Business News
  • Home
  • News
    • All
    • Agriculture
    • Economy
    • General
    • Government
    • Local Economy
    • Top Stories
    Assistant Director, Fintech and Innovation, BoG, Clarence Blay

    E-cedi will not affect MoMo business – Bank of Ghana

    Farmers worried about possible unfair distribution of MoFA machines

    Bank of Ghana to widen its scope on cryptocurrency

    Importers, Exporters Association calls for sympathy for Labianca following corruption claims

    Our cars to sell for cheaper soon- locally assembled automobile companies

    BoG Deputy Governor chairs advisory board of UG’s College of Humanities

    Ghana’s inflation rate rises again; hits 31.7% in July 2022

    Fitch downgrades Ghana’s credit rating from B- to CCC

    Côte d’Ivoire-Ghana Cocoa Initiative clarifies its stance on origin differentials for cocoa beans

  • Business
    • All
    • Agribusiness
    • Banking And Finance
    • Manufacturing
    • Markets
    • Mining
    • Oil And Gas
    • Real Estate
    • Tourism
    • Transport
    Assistant Director, Fintech and Innovation, BoG, Clarence Blay

    E-cedi will not affect MoMo business – Bank of Ghana

    Bank of Ghana to widen its scope on cryptocurrency

    Importers, Exporters Association calls for sympathy for Labianca following corruption claims

    BoG Deputy Governor chairs advisory board of UG’s College of Humanities

    GEXIM CEO is one of Ghana’s 100 most influential business leaders

    Zenith Bank Ghana wins premium quality West African banking brand of the year 2021

    GIPC and GSE sign MoU to attract more investment into Ghana

    Appolonia City unveils its first commercial building; Adumuah Place

    Dr. Ampabeng advocates consolidation of road taxes into fiscal policy

  • TECHNOLOGY

    We’re ready to re-engage gov’t on acquisition of Vodafone shares – Telecel

    New deadline for SIM re-registration too short – MoMo agents association

    Extend SIM card re-registration exercise to January 2023 – MoMo agents

    Vodafone agrees sell stake in Ghana’s business to Telecel

    Telecoms Chamber and IIPGH advocate sustained coding education

    IIPGH to enter coding education partnership with Telecoms Chamber

    PayAngel joins Microsoft for Startups Founders Hub

    Node 8, HTU hold first edition of Node X in Ho

    Financial transactions will be allowed even without Ghana card from 1st July – GAB assures

  • INTERNATIONAL
    • All
    • Africa
    • Asia
    • Europe
    • Middle East
    • US

    Agribusiness entrepreneurs must take advantage of AfCFTA – ADB MD.

    Inflation, debt, and forex crisis is pushing many African economies to the brink – IMF warns

    African countries that could follow Sri Lanka into economic chaos

    Africa’s internet economy to cross $180 billion by 2025: Report

    Regional economic cooperation needed to enhance Africa’s competitiveness – Bawumia

    Ivory Coast is set to receive $26.1 billion worth of development finance from 4 lenders, the EU and France

    Gulf central banks, Bank of England raise policy rates after Fed hike

    US Fed meets inflation surge with 75bp hike

    As Nigeria’s inflation rate accelerates to 17.71%, the World Bank warns millions could face extreme poverty

  • FEATURES
  • Videos
Citi Business News
  • Home
  • News
    • All
    • Agriculture
    • Economy
    • General
    • Government
    • Local Economy
    • Top Stories
    Assistant Director, Fintech and Innovation, BoG, Clarence Blay

    E-cedi will not affect MoMo business – Bank of Ghana

    Farmers worried about possible unfair distribution of MoFA machines

    Bank of Ghana to widen its scope on cryptocurrency

    Importers, Exporters Association calls for sympathy for Labianca following corruption claims

    Our cars to sell for cheaper soon- locally assembled automobile companies

    BoG Deputy Governor chairs advisory board of UG’s College of Humanities

    Ghana’s inflation rate rises again; hits 31.7% in July 2022

    Fitch downgrades Ghana’s credit rating from B- to CCC

    Côte d’Ivoire-Ghana Cocoa Initiative clarifies its stance on origin differentials for cocoa beans

  • Business
    • All
    • Agribusiness
    • Banking And Finance
    • Manufacturing
    • Markets
    • Mining
    • Oil And Gas
    • Real Estate
    • Tourism
    • Transport
    Assistant Director, Fintech and Innovation, BoG, Clarence Blay

    E-cedi will not affect MoMo business – Bank of Ghana

    Bank of Ghana to widen its scope on cryptocurrency

    Importers, Exporters Association calls for sympathy for Labianca following corruption claims

    BoG Deputy Governor chairs advisory board of UG’s College of Humanities

    GEXIM CEO is one of Ghana’s 100 most influential business leaders

    Zenith Bank Ghana wins premium quality West African banking brand of the year 2021

    GIPC and GSE sign MoU to attract more investment into Ghana

    Appolonia City unveils its first commercial building; Adumuah Place

    Dr. Ampabeng advocates consolidation of road taxes into fiscal policy

  • TECHNOLOGY

    We’re ready to re-engage gov’t on acquisition of Vodafone shares – Telecel

    New deadline for SIM re-registration too short – MoMo agents association

    Extend SIM card re-registration exercise to January 2023 – MoMo agents

    Vodafone agrees sell stake in Ghana’s business to Telecel

    Telecoms Chamber and IIPGH advocate sustained coding education

    IIPGH to enter coding education partnership with Telecoms Chamber

    PayAngel joins Microsoft for Startups Founders Hub

    Node 8, HTU hold first edition of Node X in Ho

    Financial transactions will be allowed even without Ghana card from 1st July – GAB assures

  • INTERNATIONAL
    • All
    • Africa
    • Asia
    • Europe
    • Middle East
    • US

    Agribusiness entrepreneurs must take advantage of AfCFTA – ADB MD.

    Inflation, debt, and forex crisis is pushing many African economies to the brink – IMF warns

    African countries that could follow Sri Lanka into economic chaos

    Africa’s internet economy to cross $180 billion by 2025: Report

    Regional economic cooperation needed to enhance Africa’s competitiveness – Bawumia

    Ivory Coast is set to receive $26.1 billion worth of development finance from 4 lenders, the EU and France

    Gulf central banks, Bank of England raise policy rates after Fed hike

    US Fed meets inflation surge with 75bp hike

    As Nigeria’s inflation rate accelerates to 17.71%, the World Bank warns millions could face extreme poverty

  • FEATURES
  • Videos
No Result
View All Result
Citi Business News
No Result
View All Result

Ghana’s Parliament rejects IMF’s zero BoG financing

bycitibusinessnews
August 3, 2016
in Banking And Finance, Government, Local Economy, Top Stories
Share on FacebookShare on TwitterShare on Whatsapp

Parliament yesterday [ Tuesday]August 2nd, 2016 voted against one of the International Monetary Fund (IMF)’s key conditions under the Extended Credit Facility deal with Ghana.

The house voted against the IMF’s clause under the IMF deal requesting government of Ghana to undertake zero percent financing of its budget from the Bank of Ghana (BoG) following the passage of the BoG Amendment Bill.

The condition was one of many under the deal aimed at pushing government’s borrowing and debts down.

ADVERTISEMENT

Prior to the MPs rejection the central bank was providing ten  percent financing for government’s budget.

Ghana’s total debt stock at the end of 2015 stood  at US$26.4 billion (71.6% of GDP) compared with US$24.8 billion (70.2% of GDP) at the end of 2014.

Domestic debt accounted for some 40 percent of total public debt in 2015 compared with 44 percent in 2014.

No re-negotiation due to rejection

Despite the rejection from the MPs, the Finance Ministry in an earlier statement said it was already committed to the zero financing deal.

In a statement to Citi Business News it assured that government is committed to attaining the provisions outlined in the International Monetary Fund  programme.

The statement explained that government is implementing the objectives of the Fund programme which includes the adherence to the zero-financing of Government by the Bank of Ghana.

There are fears the latest move by parliament will lead to a hold of the cash and a renegotiation of the IMF deal.

However, Finance Minister Seth Terkper earlier in an interview with Citi Business News said   government will not renegotiate the terms under the programme.

Mr. Terkper stated that, “even in the event that parliament comes out with the number above five, does it warrant a renegotiation of the IMF agreement?. I will say no”.

IMF on Parliament’s rejection

Prior to the passage of the bill the International Monetary Fund  told Citi Business News it was closely observing the current parliamentary debate on the reduction of government budget support by the Bank of Ghana from 10 percent to zero.

Responding to a questionnaire from Citi Business News, the IMF, it reminded that “under the IMF-supported programme, the government committed to eliminate regular financing from the BoG”.

The statement further explained that “this is an important feature to support the credibility and effectiveness of the inflation-targeting framework for monetary policy”.

The statement warned that “fiscal dominance of monetary policy through central bank financing of government on a large scale has been a key contributor to elevated inflation in the recent past in Ghana.”

The statement acknowledged that there has been significant progress to achieve the objective as government has not received any new financing from Bank of Ghana since the beginning of 2016.

IMF programme with Ghana

On Friday, 3rd April, 2015, the Executive Board of the International Monetary Fund (IMF) approved a 3-year Extended Credit Facility (ECF) Programme for Ghana.

A total amount of SDR664.20 million (US$918 million) will be given to Ghana as balance of payments support over the 3-year period.

The total amount will be disbursed in eight equal tranches. The first disbursement was made immediately after the Executive Board approval of the programme.

Government is currently waiting the third tranche after an IMF team visited Ghana to undertake an assessment.

BoG Amendment Bill

Meanwhile the bill after it is assented to by the President , John Mahama, will significantly strengthen the central bank’s functional autonomy, governance, and ability to respond to banking sector crisis while plugging loopholes identified in the existing Act.

The amendments will among others ensure the central bank submits periodic monetary policy reports to the House to enable them properly exercise their oversight responsibility on the Bank.

–

By:  Vivian Kai Lokko/citibusinessnews.com/Ghana

Related Posts

Assistant Director, Fintech and Innovation, BoG, Clarence Blay
Banking And Finance

E-cedi will not affect MoMo business – Bank of Ghana

byEllen Dapaah

The Bank of Ghana has assured that its quest to implement the digital currency, also known as the e-cedi, will...

Read more

Farmers worried about possible unfair distribution of MoFA machines

Bank of Ghana to widen its scope on cryptocurrency

Importers, Exporters Association calls for sympathy for Labianca following corruption claims

Our cars to sell for cheaper soon- locally assembled automobile companies

BoG Deputy Governor chairs advisory board of UG’s College of Humanities

Ghana’s inflation rate rises again; hits 31.7% in July 2022

Next Post
A young man plays the augmented reality mobile game "Pokemon Go" by Nintendo at Puerta del Sol square in Madrid, Spain July 28, 2016. REUTERS/Sergio Perez

Pokemon Go creator wants more tie ups like McDonald's Japan

Video on Demand: Business Weekly

ADVERTISEMENT
Citi Business News

© 2019 Citi Business News - CitiBusinessNews.com by CNR Digital.

Navigate Site

  • Home
  • News
  • Business
  • TECHNOLOGY
  • INTERNATIONAL
  • FEATURES
  • Videos

Follow Us

No Result
View All Result
  • Home
  • News
  • Business
  • TECHNOLOGY
  • INTERNATIONAL
  • FEATURES
  • Videos

© 2019 Citi Business News - CitiBusinessNews.com by CNR Digital.