GOVERNMENT through the Bank of Ghana (BoG) between August and September 2016 increased their borrowing streak to GH¢603.09 million.
This was made up of one 3-year bond, one 2-year note and two 1-year notes.
According to a circular from the Ghana Stock Exchange (GSE),GH¢184.3 million was accepted for both 1-year notes, whilst GH¢104.5 million and GH¢314.17 million was accepted for the 2-year note and 3-year bond respectively.
While the two 1-year notes were issued on September 5 and September 19, 2016; the 2-year note and 3-year bond were both issued on September 12, 2016.
The yield for investors was 23.50 percent for the two 1-year note and 24 per cent for both the 2-year note and 3-year bond.
The fixed income securities were opened to both resident Ghanaians and nonresident Ghanaians. Expectedly, the interest payments will be done every half year till maturity.
The financial instruments have already been listed on the GSE.
It is however unclear whether some of the funds were used to settle maturing debts or were raised mainly for capital expenditure.
Ghana’s debt, according to the BoG, stood at about GH¢109.8 billion as at July this year, approximately 65.9 per cent of GDP. This was made up of an external debt amounting to GH¢60.6 billion and a domestic debt of GH¢49.2 billion.
With the exception of September, Ghana‘s debt has been increasing, crossing GH¢1 billion month on month.
In January 2016, Ghana’s total debt stood at GH¢101.1 billion; it increased to GH¢102.3 billion in February, and then to GH¢103.1 billion in March.
Ratings agency, Moody’s recently rated the Ghanaian Economy B3 – signaling stability from negative outlook. The key drivers of the rating, the agency said were driven by “significant fiscal deficit reduction and institutional reform implementation over the past year under the umbrella of the 3-year IMF programme starting April 2015.
It said it would consider a negative outlook in case of unanticipated and significant expenditure overruns which would halt or reverse the fiscal and external consolidation progress achieved thus far.
Source: The Finder
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borrowing for nothing with these oil and other revenue i simply dont understand this bunch of thieffs
Why Mahama why, why are sooo evil and inconsiderate on Ghana's future? Why do you want to collapse our dear nation with debt. Cry Ghana cry. God deal mercilessly with you for these dire decisions and evil you are inflicting on Ghana. Evil Mahama! Evil NDC
Massa Sir Francis ; Well reasoned and logical thought ; the truth is that politicians do not think they way you have highlighted and the possible truth of the matter is that our current politicians are simply selling and dissipating the future today ; they are not saving for the youth ; they want to live the good life ; drive in big cars and build big mansions today and are not prepared to sacrifice anything for the youth ; in other words they are not PATRIOTIC !!!!!!; the paradox is that a majority of the people in this government comprise of todays youth who forget that there is a tomorrow ; the case is even made clearly when you go round and see some of todays retired people who claim to live on little pensions and are poor ; if you see them sometimes you will cry some of them do not even have mopnies to go to hospitals but what these people forget is that they were once the youth some 40 ; 30 ; 20 years ago ; they were the officers in the CPP regime ; the Kotoka military SMC regime ; the Busia regime ; the JJ Rawlings -PNDC regimes ; the past NDC regime ; the NPP regimes ; all these people assisted to lout and CHOP the nation small but forgot that oneday they will be old and that they shall reap what they have sown ; the same apply to today's youth ; they think they shall never grow old and that following Jon Mahama and the NDC to lut ; create and share is the way forward ; to me one day when they all pensioners with grey hairs ; they shall then realise how diabolical Jon Mahama and this NDc government have WRECKED THE NATION !!!!!!ALL THEY DO IS TO FULL THE YOUTH !!!!!!WITH NOKOFIO !!!!!!!
Thought mahama said Nana will ruin the country cos he said he will reduce tax and vAt rates but yet u that have the taxes and vAts at higher rates u still dey borrow huge huge ust to make sure Nana wont be able to do as he has promised so that Ghanaians will descend on him but yet still God is watching all the evil acts. Change must happen
Look!! you guys are making things difficult for Nana Akufo Addo should he win. He won't have any means apart from taxes to raise money in Ghana ooo. The oil money sure is not enough to build all the roads and solve all the problems. These kinds of articles will make it difficult should he also decide to borrow! Charlie raising money in Ghana is not easy. Woyome money alone can't build all the dams and the factories in the districts as he has promised to do!! And he needs a whole new generation -maybe 50 years from now- to be able to uproot the corruption in the Ghanaian system. You think because Akufo Addo is president Ghanaians will stop their connections?? No way! Wettin we go chop then?
i am a young man with objective thinking.my fellow brothers and sisters please let all come together and vote massively against this government because seriously he is making our future very bleak.we the youth will suffer in the long run.
NDC ARE INDEED EVIL.
Incompetent president Mahama and his NDC govt is on the borrowing spree.... Collapse the economy and go into opposition. clue11ess president running the create, loot and share brigade.