The International Monetary Fund (IMF) has endorsed the Public Utilities Regulatory Commission’s (PURC) decision to raise utility tariffs in Ghana. The adjustment includes a 14.75% hike in electricity tariffs and a 4.02% increase in water tariffs for all consumer groups.
Stephane Roudet, the IMF Mission Chief to Ghana, emphasized that the energy tariff increase is essential to improve the financial stability of key State-Owned Enterprises (SOEs), particularly the Electricity Company of Ghana (ECG).
Speaking at a joint press briefing with the Bank of Ghana and the Finance Ministry, Roudet explained that sustainable financing is necessary to maintain a reliable electricity supply across the country.
“This hike supports SOEs and ensures their finances stay sustainable,” he said. “We recognize the impact, especially on the vulnerable. However, ECG needs to meet its financial obligations to power producers and maintain electricity delivery to Ghanaians.”
Roudet reiterated the IMF’s commitment to supporting the government in introducing social protection programs. These interventions aim to cushion the impact of the tariff adjustments on the most affected groups.
“We care about the vulnerable in society,” he added. “We want the government to implement policies that protect the poor and improve workers’ conditions in all sectors.”
The PURC has also justified the tariff increases. The Commission insists consumers are receiving value for their money, despite complaints about unstable electricity and irregular water flow in some areas.
