According to the German Ambassador to Ghana, Ghana’s negotiations for a bailout with the International Monetary Fund (IMF) is in jeopardy.

Daniel Krull attributes this to China’s reluctance to participate in potential debt relief.

China is the biggest problem in the room. In an interview that has yet to air on Foreign Affairs on the Joy News Channel, he stated, “China is the largest creditor to Ghana and it is not fully supporting the establishment of the creditor’s committee where all creditors will sit down and agree on a package for Ghana.”

“Time is of the essence, and it is rapidly running out. The IMF package is in grave danger without this agreement with the bilateral creditors, “he added.

As a result, he urged Parliamentarians and Ghanaians with close ties to China to come to the table and reach an agreement on a package.

He asserts that in order to persuade China to participate in the negotiation process, all hands must be on deck.

On Tuesday, he stated, “I will like to encourage all Ghanaians who have strong ties with China and who are doing nice business with China to also engage them and convince them that it’s time to sit down with all the other creditors and agree on a package.” He was referring to Ghanaians who have good relationships with China.

He claims that Germany is prepared to assist Ghana and come to the table.

This comes in response to President Akufo-Addo’s request that Germany assist in persuading China to join the negotiations.

Mr. Krull added that as a result of this, despite the fact that Germany is willing to assist Ghana in bringing China to the negotiation table, they would prefer to see some efforts made by the government.

He said, “Any Ghanaian MP listening who is very much engaged in Business in China, please make best use in the interest of Ghana and the people in Ghana.” He added, “I said Germany is prepared to help and there is another criterial that we off course, that Ghana itself, the government of Ghana it taking the important steps that are needed to move this country, the people, and the family out of this crisis to help.”

He emphasized that Ghana is running out of time to secure an IMF deal, so these steps must be taken quickly.

He stated, “Time is of the essence, time is running out, and the IMF package is in serious danger without disagreement with the bilateral creditors.”

In the meantime, a high-ranking government delegation is expected to visit China later in March to discuss reorganizing the $1.7 billion debt to China.

Ghana intends to complete the restructuring of its external debt as one of the conditions required to secure an IMF program. In March, a high-powered government delegation is scheduled to fly to China in an effort to restructure $1.7 owed to China.

Due to the National People’s Congress of China meeting scheduled for early March, the debt cancellation meeting with China was moved to late March 2023.