IMF Program – Ghana has experienced consistent increases in utility tariffs in recent years, with the latest hike in April 2025 sparking significant public frustration. Many citizens are voicing their concerns on social media and in the press, placing blame squarely on the newly sworn-in administration, which assumed office on 7th January 2025.

However, it’s important to understand the context behind these increases—especially Ghana’s agreement with the International Monetary Fund (IMF) under the Extended Credit Facility (ECF). This agreement was approved by the IMF Executive Board on May 17, 2023, following staff-level discussions that concluded on December 12, 2022. The program is a 36-month arrangement worth approximately US$3 billion, designed to address Ghana’s debt and macroeconomic instability.

According to the IMF Press Release dated May 17, 2023, one of the key pillars of the program is fiscal consolidation and energy sector reform. These reforms are explicitly tied to reducing the financial burden on the government caused by energy subsidies and operational inefficiencies. In fact, the government committed to quarterly utility tariff adjustments to reflect exchange rate and fuel price fluctuations, and ultimately bring tariffs closer to cost-recovery levels.

So, while the latest utility tariff hikes are occurring under the current administration, the policy framework and agreements that necessitate these adjustments were negotiated and approved prior to their term in office. You can find the full IMF report here.