US commends Akufo-Addo on commitment to economic reforms

The United States (US) Secretary of the Treasury, Janet L. Yellen, has applauded President Nana Addo Dankwa Akufo-Addo for his commitment to Ghana’s economic reforms.

That, she said, was of the essence to boost economic growth and resiliency, particularly in the wake of the country’s progress on debt restructuring under the International Monetary Fund (IMF) programnme.

Ms. Yellen commended the President during a meeting with the latter on the sidelines of the Summit for a New Global Financial Pact, in France, on Thursday, June 22.

President Nana Akufo-Addo was one of the key global personalities invited for the Summit, organised by French President, Emmanuel Macron.

A report by Reuters on the sidelines of the meeting, monitored by the Ghana News Agency (GNA), said the two personalities discussed efforts to evolve the multilateral development banks to combat 21st Century global challenges.

They also deliberated on work to mobilise climate and infrastructure financing for Ghana and other African countries during the engagement.

The IMF, in May this year, congratulated the West African nation on the US$3 billion IMF-supported programme approved by the Executive Board.

“We stand with Ghana as it implements reforms to address the current economic and financial crisis and help build a better future for all Ghanaians,” a statement by the Fund noted. The June 2023 Summit for a New Global Financial Pact is borne out of the cascading consequences of concurring climate, energy, health and economic crises, particularly in the most vulnerable countries.

It aims to propose solutions to financial issues that go beyond the climate question, including access to health and the fight against poverty.

The COVID-19 pandemic, the war in Ukraine and their successive consequences have reduced the fiscal and budgetary space of many countries – affecting their ability to finance their populations’ access to basic social services.

As a result, the United Nations Development Programme (UNDP) noted a decline in human development in nine out of ten countries around the world in 2022, mainly due to a drop in life expectancy and an increase in poverty.

In a statement, the French Minister of Europe and Foreign Affairs declared the Summit would aim to “build a new contract with the North and the South”, in order to facilitate the access of vulnerable countries to the financing they needed to address the consequences of ongoing and future crises.

Issues at stake at the Summit encompass restoring fiscal space to countries facing short-term difficulties, especially the most indebted countries, as well as fostering private sector development in low-income countries.

The event also seeks to encourage investment in green infrastructure for the energy transition in emerging and developing countries and mobilise innovative financing for countries vulnerable to climate change.