Ghana has backed plans to establish the V20 Lifeline Fund, an initiative aimed at helping countries facing economic difficulties caused by climate-related disasters.

Governor of the Bank of Ghana, Dr Johnson Pandit Asiama, announced Ghana’s support at the Sixth Meeting of the V20 Central Bank Governors Working Group in Bangkok, Thailand, on Tuesday, October 13, 2026.

The proposed fund is expected to provide timely financial support to climate-vulnerable countries facing balance-of-payments pressures following climate shocks.

IMF upgrades Ghana's 2026 economic growth forecast to 5.7%

Dr Asiama said countries needed reliable and affordable financing to prevent the economic effects of climate-related disasters from escalating into deeper financial and debt crises.

“The Lifeline Fund must provide predictable, affordable and timely financing to help countries manage the economic effects of climate shocks before they develop into deeper financial and debt crises,” he said.

He, however, stressed that the proposed facility should complement existing international financial support mechanisms, including facilities provided by the International Monetary Fund (IMF), rather than replace them.

The Governor also called on development partners to sustain their support for the initiative and urged member countries to accelerate the domestic approval processes required to establish the fund.

He said adequate funding, strong safeguards and long-term financial sustainability would be critical to ensuring the facility could provide support when countries needed it.

Meanwhile, Minister of State for Climate Change and Sustainability, Seidu Issifu, has also called for increased climate financing to help vulnerable countries respond to climate-related disasters and protect their economies.

Speaking to GhanaWeb Business on the sidelines of the 2026 IMF/World Bank Annual Meetings in Thailand, Issifu said climate shocks often reverse development gains and force governments to divert scarce resources towards emergency interventions.

He also called for countries undergoing debt restructuring to remain eligible for climate financing, arguing that difficult economic decisions should not prevent them from accessing funds to address climate-related challenges.

Issifu said the proposed Lifeline Fund was expected to provide quicker access to financing for vulnerable countries, with an initial target of $500 million to be scaled up through contributions from strategic investors and development partners.

ANAS/MA

Dr Ato Forson declares Ghana is ready for economic take-off