- June 30, 2022
- Posted by: Amos Ekow Coffie
- Category: Economics
Ghana’s Former President John Dramani Mahama has stated that the Akufo-Addo led administration is afraid to seek help from the International Monetary Fund (IMF) due to the political propaganda they made before coming into office.
According to Mr Mahama, the appetite for borrowing in the country has proven cataphoric for the country’s economy and has caused real damage.
Speaking at the Inaugural ceremony to unveil Think Progress Ghana, a civil society organization which seeks to address some of the economic challenges of the country through its analysis and pragmatic research and proffer solutions to them.
“It is well known for every economic and financial watcher that the real problem with our economy is not that we do not have enough money to spend on priority needs requiring more borrowing, it is that we have borrowed too much and a chunk of our revenue is going into servicing that debt, leaving very little for anything else.
“If this revenue was free and available to us, we would be in a much better…and all sectors would have been at ease. It is evident therefore that the solution to the problem lies with taking the bold steps to restructure our debts to get some relief from something far too much revenue to debt servicing on an annual basis and channelling the savings into priority areas that will benefit our people directly. The Akufo-Addo administration knows this too well, but political posturing, empty grant standing and a morbid fear of their own pedestrian politicking around less serious problems of the recent past have immobilised and frozen them in actions, actions that continue to run our economy to the ground and worsening the living conditions of our people by the day,” he said
He further stated that the government should admonish that they need help and seek one to prevent the country from sinking into more debt.
“Indeed, this current finance minister is on record to have said very clearly that, you cannot borrow your way out of debt these are his own words, and yet when the circumstances gave him the opportunity that’s the exact thing he is doing now. This government must act now and seek help to avert any catastrophe. Ghanaians did hot hand over the ship of power to President Akufo-Addo to crush it, he has the responsibility to keep the ship of state afloat just like he came to meet it in office.” He added.
The theme for the inaugural launch is dubbed “Ghana’s debt burden: Reflections and Solutions.”
Watch the full speech here;
Source: PFM Tax Africa/ Amos Ekow Coffie