The World Bank has confirmed Vice President Dr Mahamudu Bawumia’s pre-election analysis of Ghana’s public debt.
The Bank in analyzing data between 2013 and 2016 said that Ghana’s public debt has reached distress levels.
The conclusions by the World Bank affirms similar conclusions reached by the then NPP running mate, Dr Mahamudu Bawumia at a public lecture organized in Accra ahead of December, 2016 presidential and parliamentary elections.
Speaking on the State of the economy at that time, Dr Bawumia observed that "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% in 2000, to 32% of GDP by 2008. Indeed from independence in 1957 to 2008, Ghana’s total debt was 9.5% Billion Cedis; however; in the last seven years alone under this NDC government, Ghana’s total debt has ballooned from 99.5 billion cedis to 100 billion cedis in 2015; and a 105 billion cedis by May 2016. In fact, 66% of Ghana’s debt from independence; has been accumulated under the presidency of John Mahama in just the last three and half years.”
He concluded that Ghana had become a ‘’debt distressed country’’.
However, Ghana’s public debt situation has improved in the last fiscal year. The available data showed that public debt as a percentage of GDP reduced from over 73% in 2016 to 68.9% at the end of 2017, signalling Government’s attempt to control the debt situation.
Source: Peacefmonline.com
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Everyone knows peacefm is biased
The NDC won’t understand because they have forgotten that their th1everyyy and corrupttttt practices led to Ghana having more debt than its revenue and that’s reason why we went to HIPIC in 2001 under JA Kufuor and NPP. Kufuor and the NPP made huge progress and brought Ghana back from HIPIC. For debt percentage of 168% Kufuor reduced it 32% and brought inflation from 40% to 18% before he left office and Mills took over. Mills achieved a milestone in his first 2years making Ghana a middle income nation with inflation at single digit until he was murdered by Mahama and his cohorts. Mahama finished all Ghana’s money and started borrowing again. As at first quarter of 2016, he had moved the debt ratio to 66%. This means out of Ghana’s revenue 66% must be used to pay debts. At the time NDC and Mahama were leaving power, they had borrowed up to 73% of our revenue. Inflation jumped under Mahama from single digit to over 35%. All sectors recorded declines with agric and industries recording negative figures. Nana Addo on assumption to power has reduced Ghana’s debt from 73% to 68.9%. Inflation has reduced from the over 35% to about 11%. Agric and industries have grown from negative to 17% . Ghana’s major problem now is creating jobs for the youth who are mostly JSS and SHS dropouts and graduates. If the NPP and Nana Addo can construct factories, Ghana will be sound and better.
***barred word*** news
where from these desperate attempt news item from peacefmonline. Just to appease who ?