World Bank supports Ghana's economy with $ 550m

The World Bank Groups Board of Executive Directors have approved $ 550 million in budgetary support for Ghana.

The credit from the International Development Association (IDA) supports the First Macroeconomic Stability for Competitiveness and Growth Development Policy Financing (DPF).

It is aimed at helping Ghana stabilize its economy and shore up fiscal control by implementing financial policies and processes that are transparent and predictable.

The money also covers future external debt financing. 

World Bank Task Team Leader for the project Santiago Herrera said the proposed credit is the first in a programmatic series that will make policy more predictable and enhance the productivity of public spending.

He said as Ghana transits from concessional financing towards market-based financing, the cost of public funds will increase, and so would productivity of public capital to ensure that future obligations can be met.

It is the hope of the World Bank Group that the Policy-Based Guarantee PBG will minimize costs and risks.

GBC