Policy research group, Africa Policy Lens (APL), is pushing back against the Mahama administration’s claims that recent increases in utility tariffs were a direct result of International Monetary Fund (IMF) conditionalities tied to Ghana’s $3 billion bailout secured by the previous government.
In a strongly worded statement, the think tank dismissed the explanation offered by government officials, arguing that while the IMF programme calls for energy sector efficiency, it does not mandate tariff hikes as a specific performance benchmark.
“The attempt to shift blame onto the IMF or the previous administration is both misleading and disingenuous,” APL stated. “The decision to increase tariffs rests solely with the current government, and not with any IMF-imposed requirement.”
APL noted that both the current National Democratic Congress (NDC) government and the previous New Patriotic Party (NPP) administration operated under IMF programmes at different points in their terms. However, it contrasted their approaches, pointing out that the Akufo-Addo government, after inheriting an IMF agreement in 2017, opted to reduce electricity tariffs despite pressure to increase revenue.
“The NPP chose a path that alleviated hardship rather than deepening it. That proves that governments always have a choice—even under IMF supervision,” the think tank explained.
Backing its argument with historical data, APL compared electricity tariff adjustments under the NDC from 2009 to 2016 and the NPP from 2017 to 2024:
- NDC (2009–2016): Cumulative increase of 294.6%
- NPP (2017–2024): Cumulative increase of 57.45%
The data, APL noted, shows that while the NDC pushed for higher annual increments, Ghanaians still endured severe power outages (dumsor). In contrast, the NPP administration maintained relative price stability and consistent power supply.
APL warned that the NDC government, which campaigned on promises to ease the cost of living, had in its first few months in office already implemented a 14.75% increase in electricity tariffs.
“This action contradicts its own campaign narrative,” the think tank asserted. “The evidence is clear: this is a policy decision, not an IMF directive.”
In conclusion, APL urged the government to own its policy choices and stop what it called the “convenient political blame game.”
“The IMF is not responsible for the economic burdens currently being passed onto Ghanaians. The government must accept full responsibility,” APL emphasized.
