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Ghana power producers call off shutdown after interim deal reached

Ghana's independent power producers call off planned shutdown   -  
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Darko Vojinovic/AP

Ghana

Ghana's independent power producers have announced the suspension of a planned shutdown starting on July 1st

In a statement released late on Friday, the group announced having reached a deal with state-run Electricity Company of Ghana over arrears owed to them.

In May, the group of independent power producers rejected a government proposal to restructure $1.58 billion in arrears owed to them by the state as part of the West African nation's efforts to implement a $3 billion loan deal from the International Monetary Fund (IMF).

The loan from the International Monetary Fund is aimed at addressing Ghana's worst economic crisis in a generation.

According to the statement, under the new agreement, the power producers have received an interim payment offer with the understanding the government and Electricity Company of Ghana will use the grace period to work towards a permanent resolution to the debt issue.

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