Ghana's Ministry of Finance has advised President Nana Akufo-Addo not to support controversial anti-LGBTQ legislation that could cost the financially strapped country billions of dollars in World Bank funding. he warned. Photo: Simon Maina/AFP
GHana Treasury advises President Nana Akufo-Addo not to support controversial anti-LGBTQ legislation that could cost the financially strapped country billions of dollars in World Bank funding. he warned.
Despite wide support in the conservative West African state, lawmakers last week approved a bill aimed at sharply restricting LGBTQ rights, drawing condemnation from human rights activists.
The law provides for prison terms of six months to three years for sexual relations between lesbian, gay, bisexual, transgender, or queer people, and three to five years for promoting or sponsoring LGBTQ activities. ing.
A four-page confidential Ministry of Finance document obtained by AFP highlighted that the economic fallout could disrupt Ghana's 2024 budget plans. The country is emerging from its worst economic crisis in decades and has received a $3 billion loan program from the International Monetary Fund (IMF).
“Ghana could lose a total of $3.8 billion in World Bank loans over the next five to six years. In 2024, Ghana will lose $600 million in budget support and $250 million in Financial Stability Fund.” says the document.
“This will have a negative impact on Ghana’s foreign exchange reserves and exchange rate stability, as these inflows are expected to strengthen Ghana’s foreign exchange reserves.”
“Although there are no direct conditions related to the passage of the bill, non-implementation of budget support from the World Bank would derail the IMF program,” the report said.
“This will trigger a market reaction that will affect the stability of the exchange rate,” the document to the presidential office said.
Treasury officials confirmed the document's authenticity, but the presidential office did not immediately respond to its contents.
Akufo-Addo resigned after two terms, and his ruling New Patriotic Party (NPP) faces a close race against the National Democratic Congress (NDC) in December's presidential election. External financing, debt management, the economy and its recovery will be key campaign themes in the run-up to the election.
The anti-gay bill has faced international condemnation, including from the United Nations and the US and UK governments.
It was sponsored by a coalition of Christians, Muslims and Ghana's traditional leaders, and enjoyed significant support among members of parliament.
Akufo-Addo has not said when he will sign the bill, but has said in the past that gay marriage will never be allowed during his term.
“The president may have to postpone assent to the bill until the courts rule on legal issues raised by key national stakeholders,” the ministry's document said.
Ghana experienced its worst economic crisis in decades starting in 2022, with inflation soaring to more than 50%. —AFP
