Bank of Ghana has confirmed the receipt of US$600 million as the second installment of Ghana's bailout package with the International Monetary Fund (IMF).

This financial injection, designated for budget support and stabilisation of the local currency, was officially credited to the Central Bank's account on Tuesday, January 23, 2023.

With this, Ghana has now received a total of US$1.2 billion out of the approved $3 billion under the three-year extended credit facility initiated in May of the previous year.

Unlike the first tranche, which aimed to address Ghana's balance of payment issues, the entirety of the second tranche will be used to fund projects and programs outlined in the 2024 budget.

The IMF approved the second tranche last Friday, following Ghana's successful negotiations with bilateral lenders, including China and France, a crucial step that triggered the disbursement.

The IMF highlighted Ghana's positive performance under the program, with implemented reforms yielding positive outcomes and signs of economic stabilisation becoming apparent.

Barring unforeseen circumstances, the next IMF program review for the third tranche of US$720 million is scheduled in six months.

In addition to the funds from the IMF, the second tranche has facilitated additional financial support from other international donors. The World Bank's Executive Board is set to provide approximately $300 million in budget support for Ghana, following an agreement in principle on the key parameters of the proposed debt restructuring reached by the Official Creditors' Committee under the G20 Common Framework.

This disbursement aims to aid Ghana's recovery, attract investments, and restore a sustainable growth path while addressing the country's debt sustainability.

The Board's approval on January 23, 2023, will be followed by the World Bank's disbursement of $250 million as part of its contribution to the Ghana Financial Stability Fund. This contribution is expected to assist banks significantly affected by the Domestic Debt Exchange Programme.