The Akufo Addo administration has been suspected of undue borrowing by the Opposition in Parliament.
According to the Minority, the government’s borrowing is excessive and needs to be reined in.
Ghana’s debt stock, as of January 2021, was GHS291.6 billion, breaching the dreaded 70% debt-to-GDP ratio.
Minority Leader Haruna Iddrisu, speaking at a post-budget workshop for MPs in Ho, Volta Region, said the situation has dire implications for the government.
According to him, the government cannot fault the COVID-19 purely for its weak economic management.
“The record is that President Akufo-Addo has increased our debt stock from GHS120 billion to GHS291 billion representing some 76% of debt to GDP. He chose conveniently to blame COVID-19 for the poor performance of the economy, and yet he is seeking to recover from COVID-19.”
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The Akufo-Addo government had previously stated that the country’s debt had risen at a slower pace under its watch.
Despite major increases in social intervention programs and the effects of the COVID-19 pandemic, the debt has grown at a slower pace, according to the study.
When Mr. Kyei-Mensah-Bonsu stood before Parliament to deliver the government’s budget statement for 2021, he made this statement.
“Despite the impact of the COVID-19 pandemic, the rate of growth of the public debt has been lower under our government than under previous governments. The rate of debt growth was also slower under our government despite investment in our flagship programmes such as Free SHS; Planting for Food and Jobs; NABCo; One District, One Factory; One Village, One Dam; One Constituency, One Ambulance, and the restoration of the allowances for trainee teachers and nurses, among other things, while maintaining macro-economic and exchange rate stability.”
This, he says, was made possible by the Akufo-Addo administration’s diligent handling of the economy.
“This only proves that the Akufo-Addo administration, and indeed the NPP, are clearly better economic managers and stewards of the public purse,” he added.
Source: ATLFMNEWSROOM
