Ghana Implements Tariff Hikes Under IMF Program

Ghana's recent increases in electricity and water tariffs are part of the government's obligations under its ongoing program with the International Monetary Fund (IMF). The adjustments—14.75% for electricity and 4.02% for water, effective May 3, 2025—are necessary to unlock the next $370 million disbursement from the IMF, as outlined in the third review of the agreement. Finance Minister Dr. Cassiel Ato Forson emphasized that these unpopular but essential price hikes are required structural reforms to address inefficiencies in the energy sector and ensure full cost recovery for utility providers. He also dismissed speculation about renegotiating the IMF program, reaffirming the government's commitment to its full implementation and objectives.