The International Monetary Fund's executive board has approved a $3 billion, three-year loan programme for Ghana. About $600 million expected to be disbursed immediately.
IMF said in a statement on Wednesday that securing timely debt restructuring agreements with external creditors would be essential to successfully implement the Extended Credit Facility loan for Ghana.
This is aimed at helping Ghana overcome immediate policy and financing challenges. The West African country is grappling with its worst economic crisis in many years.
The Fund also said the new loan would help mobilize additional external financing from development partners and provided a framework for completing its debt restructuring.
"Congratulations to Ghana for a strong program of reforms to revitalize growth and reduce the country's debt burden," IMF Managing Director Kristalina Georgieva said in a video posted to Twitter.
Georgieva said the commitment by official bilateral creditors to help make Ghana's debt sustainable signals important progress for the long-stalled G20 common framework for developing country debt relief.
Sources familiar with Ghana's new programme cautioned that authorities there faced long negotiations with creditors, pointing to Zambia, where a similar process has been mired in delays.
