An advisor at the Bank of Ghana (BoG) Governor, Dr John Kwabena Kwakye, has attributed Ghana’s recent macroeconomic stability to effective coordination between fiscal and monetary policies.

According to him, the government’s commitment to fiscal discipline, alongside the Bank of Ghana’s prudent monetary policy, has helped restore confidence in the economy and supported efforts to strengthen the country’s foreign exchange reserves.

Speaking on Channel One TV on Thursday, July 23, 2026, Dr Kwakye said the alignment between the two policies over the past one and a half years has been a key driver of the country’s improving economic outlook.

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He explained that the current level of coordination marks a departure from previous years when fiscal and monetary policies were not properly aligned, making economic management more challenging.

“One thing we have observed in the past one and a half years is the alignment between fiscal policy and monetary policy, and that has helped us to achieve the kind of stability that we have had. Fiscal discipline and monetary discipline have been strong,” he said.

Dr Kwakye also highlighted the government’s expenditure management under the IMF-supported programme, noting that spending has been kept under control despite revenue falling below target.

He said the Bank of Ghana has also stopped financing the government’s budget, a move he believes has contributed to efforts to build the country’s foreign exchange reserves.

“Under the IMF programme so far, the Bank of Ghana is no longer doing any financing of the budget, and if you look at the budget, revenue has fallen short of the target by about 5 percent. But if you look at the expenditure side, it has been compressed by 20 percent below the budget, and this is a government strategy to build reserves,” he explained.

ANAS/MA

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