The outgoing National Democratic Congress (NDC) government, under the leadership of President John Dramani Mahama, has managed to leave behind a historic and monstrous national debt of over GH¢112 billion as against the $300 million-Sinking Fund.
Cassiel Ato Forson, a Deputy Minister of Finance, speaking at a press conference yesterday in Accra to throw more light on the country’s economy, stated: “For the records, let me say that we are leaving very strong Sinking Fund in excess of $300 million. It is there for any government to take advantage of.”
He said this while answering a question from the media on the alleged depletion of state resources by outgoing administrations.
Criticism
Economic pundits have argued that government has paid GH¢10.5 billion as interests on loans for this year alone.
The NDC inherited a debt stock of GH¢9.5 billion from the previous Kufuor administration in 2009.
It would be recalled that Dr Bawumia, the country’s vice president-elect, on several platforms, warned that government’s continuous borrowing would push the national debt to $42 billion in December.
Wasted resources
He also accused the government of failing to put to good use the huge loans it had contracted.
“In fact, 66 percent of Ghana’s debt from independence has been accumulated under the presidency of John Mahama in just the last three-and-a-half years.
“By the end of 2008 following the adoption and implementation of the HIPC initiative, the government’s policy framework of fiscal discipline, the country’s debt to GDP ratio, had declined from 189 percent in 2000, to 32 percent of GDP by 2008,” he disclosed.
Shady computation
He argued: “In terms of the dollar equivalent of the borrowed amount, this government has borrowed some $39 billion in eight years.”
“When I mention this, they either get confused or pretend to get confused; so for the sake of clarity, I have put in this document a table that shows them clearly the dollar equivalence of all the amounts borrowed from 2009 to 2016, in fact by December 2016, the government would have borrowed $42 billion.”
“The government would claim no doubt, that the book value of the debt is $26 billion; but quite frankly, that is a weak argument.”
“The only reason why the book value of the debt is $26 billion is because we are applying today’s exchange rate which the same government succeeded in collapsing to the value of the debt; and not the exchange rate at the time the money was borrowed. With this major increase in the debt, Ghana’s debt to GDP ratio has increased from 32 percent in 2008 to 72 percent at the end of 2015,” Dr Bawumia explained.
Verbal attacks
However, government officials verbally attacked Dr Bawumia for presenting candid analysis and questioned his economic management and analytical skills.
Government has indicated that most of its borrowed funds went into servicing maturing debts and also into infrastructural development.
Source: Daily Guide
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Just look at all this mess, no wonder you are out of Government.
WHO IS THIS GUY DISTURBING OUR EARS ON THE PLATFORM, IS HE NOT AWARE OF ALL THE MESS THIS OUTGOING GOVERNMENT HAS CAUSED THE COUNTRY, OR HE IS ONE OF THE HIRED TOGOLESE WHO WAS HIRED TO EXERCISE HIS FRANCHISE ILLEGALLY? AM SO HUMBLE BY SOME OF HIS ASSERTIONS, ITS SO... SERIOUS THAT WE TOLERATE SUCH CHARACTERS IN OUR MIST, LET ME HOLD BACK MY WORDS, EVEN KOKU ANYIDOHU, " THE GUY WHO ENJOYED PART OF WOYOME CASH" IS STILL IN GHANA MAKING NASTY NOISE WITH SUPPORT FROM THOSE GOING ANGRY, KOFI ADAMS IS ALSO IN OUR MIST, THE GUY WHO HAS CONJURED 3 STOREY BUILDINGS IN ACCRA WITHIN A PACE OF THREE YEARS AFTER DESERTING THE CLASSROOM. AM TOLD HE CASHED THE MONEY GIVING HIM FOR THE GRASSROOT CADRES, AND YET HE IS STILL AT POST AS NATIONAL ORGANIZER. AHH I HAVE MISSED YAW BOATENG GYAN, FOR THE EXCELLENT WORK HE DID IN BRINGING THE PARTY FROM OPPOSSITION TO GOVERNMENT.
Take some rest, you are still in sorrow. I would were you benefiting from NDC. You seem too sour and hurt. poor you.
So what? Do the work okay, do not complain. We do not want any complain. I will not stop me to asked for $1 million for K.E.E.A, my free school, my dam for my Village, free healthcare, free house, free wife if possible, my factory for my Village. However, did UP/NPP got somebody for the thank you service to Atoa Niama or not? or they used that Fante guy who dies in a hotel for the thank you service or not? We Ghanaians should tell our leaders why they liar to us. Who can tell me all the so-called natural resources belong to us? Go to the area where they mine Gold, diamond, Bauxite, oil etc. and see the life they live in from both NDC and NPP government periods. Why they lived these lives? Because all these things do not belong to Ghana. Ghana has only 10%. So why leaders promise one factory for every Village, free healthcare, free education, free wife, free school uniform, free food, everything free why? Then go to the cities dirt, dirt, dirt why? Hence these leaders will promise free things in their campaign meanwhile they do not have money to clean the gutters, clean the cities.
Rookie minister. What a waste of everyones time
Agbesi Wuyome is symptomatic of the NDC administrations; Wuyome carries more than the sub-conscience dictates of the Rawlings founded political party. NDC as political party is here to wreck the Republic of Ghana by their adherence to the Prince philosophy they call Social Democracy. By their device the Republic of Ghana is forcibly funding and developing this grouping that would like to be taken for a political party. What we see now is a flagrant repeat of the recidivist ills the Rawlings grouping visited on mother Ghana in 2000. Do the good citizens of Ghana allow this to pass? Do we look on as they pack the borrowed moneys away? GHc 113billion in just over three and a half years under John Dramani Mahama from the about GHc69billion His Excellency Kufuor incurred, for good reasons and with good reasons? The presidency of our nation should be vested only in tried, seasoned, patriotic Ghanaian citizens. We need to plot a healthy device to bring to book any head of state that has ever had the misfortune to abuse this nation, taking advantage of the high office of the Republic.
FACE THE LAW. BUT DO NOT ATTRIBUTE TO WITCH HUNTING ,HUH ?
LAZYNOMICS WAS PRES MAHAMA STYLE OF GOVERNANCE.BORROW,BORROW AND BORROW TO PAY LOANS.TAX,BORROW AND SPEND AND THEY WANTED ANOTHER 4 YRS.GHANAIANS MUST THANK GOD THEY LOST THE ELECTIONS MISERABLY