IMF urges Ghana to sustain quarterly electricity-tariff adjustments to reduce energy-sector fiscal risks

On Aug. 10, 2026 the IMF, in its 2026 Article IV Consultation and Sixth Review under the ECF, urged Ghana to maintain quarterly electricity-tariff adjustments and fully implement the Cash Waterfall Mechanism to narrow the power-sector financing gap and reduce fiscal risks tied to payments to IPPs and fuel suppliers.

If Ghana credibly and durably maintains quarterly tariff reviews and the Cash Waterfall Mechanism, the energy-sector financing gap and government transfers to the sector should shrink, improving public debt dynamics. That could, in turn, reduce risk premia on medium-to-long Ghana sovereign USD bonds. However, persistent distribution losses, government arrears and reliance on cedi appreciation mean real fiscal relief depends on implementation and broader operational reforms.

Next PURC quarterly tariff review results and awarding of distribution concessions (concessions expected by June 2027).