Accra: Ghana’s President-elect, John Dramani Mahama, has affirmed that he will uphold the country’s $3 billion rescue package with the International Monetary Fund (IMF), but intends to review the agreement to address inefficient government spending and improve the energy sector. Mahama, who secured a decisive victory in the December 7 election, told Reuters on Friday that he also plans to tackle inflation and the devaluation of the currency to alleviate the ongoing cost-of-living crisis in the West African nation.

While Mahama had previously mentioned renegotiating the IMF program secured by outgoing President Nana Akufo-Addo’s administration in 2023, he clarified that this would not mean abandoning the deal. “When I talk about renegotiation, I don't mean we're abandoning the programme,” Mahama said. “We’re bound by it, but within the program, there should be room for adjustments to reflect current realities.”

Mahama, who served as president from 2012 to 2016, won the presidential election with 56.55% of the vote. He assumes office at a time when the nation is emerging from its worst economic crisis in decades, marked by instability in key industries like cocoa and gold. While the IMF deal helped reduce inflation and foster economic growth, Mahama emphasized that more measures are needed to address ongoing hardships. “The economic situation is dire... and I will dedicate myself fully to improving the lives of Ghanaians,” he said.

Mahama also criticized the IMF-backed program for imposing numerous taxes that have made doing business in Ghana difficult. “The multiplicity of taxes has made Ghana unpleasant for business,” he stated, adding that the IMF had not pressured the government enough to curb wasteful spending. As part of his review, Mahama plans to cut unnecessary expenditures, including from the president’s office. “If the president is asking us to tighten our belt, he must also tighten his,” he remarked.

The IMF has agreed to send a team for an early review of the deal, and Mahama noted that discussions will focus on finalizing the country’s debt restructuring process. The revised IMF agreement will also aim to provide long-term solutions to Ghana’s energy challenges and avoid ongoing power shortages. “We are facing a critical situation in the energy sector. The Electricity Company of Ghana is the ‘sick man’ of the value chain, and we need to fix it quickly,” Mahama concluded.