Economist Peter Terkper says if Ghana is unable to obtain the 3 billion IMF bailout by May, the economy will be tougher.
According to him, if the country is unable to meet the requirement of the IMF bailout, it could spell doom for the country.
Though the government expresses high hopes, it will be difficult to obtain the IMF bailout.
According to him, the Ministry of Finance must come clear on how they intend to meet the requirements of the external debt holders.
“This is the situation where the requirement to obtain IMF funding is beyond Ghana. Ghana is in a tight corner to meet the requirements of these external borrowers especially, and that is why we are locked up now.
The most difficult one is what is ahead which is meeting the requirement that is what is happening now.
Looking at the deadline it will depend on what the external debt holders are requiring Ghana to do, and if indeed Ghana will be able to meet that requirement. If we don’t get the loan from IMF, the situation will be very tough for us,”
Reacting to the President’s request for a concessionary loan from the World Bank, Mr Terkper said, the President’s act shows the country’s economy is in a dire situation and which needs a bailout at all costs.
He mentioned that ” Already IMF loans are on concession, they don’t give that loan at market risk, and in the IMF system, you go either concessionary or no concessionary.
Normally non-concessionary loans carry interest lower than the market risk.”
