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Ghana has been ranked as the second most indebted African country to the International Monetary Fund (IMF) in terms of concessional lending, according to the IMF’s Quarterly Finances.
The report highlights that Ghana’s outstanding loans to the IMF stood at $2.914 billion as of October 31, 2024, accounting for 17% of the total borrowings by African nations. Only the Democratic Republic of Congo exceeded Ghana’s debt, with an outstanding loan of 2.256 billion Special Drawing Rights (SDRs). Zambia followed as the third most indebted country, with $1.272 billion in loans.
This disclosure comes as Ghana continues to face a significant economic crisis, which compelled the country to secure a $3 billion bailout package from the IMF in January 2023. Under this arrangement, Ghana has so far received $1.92 billion through the Economic Credit Facility program.
Concessional lending refers to loans offered by the IMF on favorable terms, such as low interest rates and longer repayment periods, aimed at supporting low-income countries in fostering economic growth and reducing poverty.
Both Ghana and Zambia, struggling with severe economic challenges, have defaulted on their financial obligations, prompting the need for IMF assistance.
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