President Nana Addo Dankwah Akuffo-Addo, after the successful completion of Ghana’s $3 billion contract with the International Monetary Fund, has announced plans to return to the international market in order to borrow money in order to fund infrastructure development projects.
Even if his government is not in a hurry to return to the international market, Mr. AKufo-Addo remarked that it makes sense to take advantage of the market today and make some savings. He made this statement while speaking at the Qatar-Africa Economic Forum in Doha.
We’ll soon return to international market to borrow – Akufo-Addo
“There is no rush but obviously why not take advantage of global savings, it makes a lot of sense to me,” the president said, adding “We have positioned ourselves to be able to go back into the International market which had been a source of funding for us during the first three or four years of our government.”
“We have positioned ourselves to be able to go back into the International market which had been a source of funding for us during the first three or four years of our government,” the president said.
We are going to make every effort to keep the discipline that is necessary for a good program, as it is the single most essential factor in determining whether or not the program will be successful.
The Finance Minister, Ken Ofori-Atta, had earlier reiterated Ghana’s commitment to fiscal prudence and stated that Ghana will not hurriedly attempt to return to the international capital market for borrowing.
This statement was made in response to a question on whether or not Ghana will want to return to the international capital market for borrowing.
Ofori-Atta emphasized the significance of income measures and responsible expenditure management while he was speaking at a news conference on Thursday (May 18). His remarks were aimed at guaranteeing the financial stability and sustainability of the organization.
In addition, he acknowledged the steps that will increase income that are described in the budget. In particular, he acknowledged the changes that will be made to the Ghana income Authority (GRA). These enhancements are anticipated to provide the required resources for the development of the country.
“There is no need to be in such a hurry to return to the international capital market. Our hope is that if we can reduce the amount of money we spend and boost the amount of money we bring in, we will have the financial means to meet our requirements.
A further disclosure made by President Akufo-Addo was that the administration will initiate severe cuts to expenditures in order to satisfy the requirements set forth by the International Monetary Fund (IMF).
Akufo-Addo stated that the administration is ready to change the fortunes of the country and will do everything necessary to guarantee that the struggling economy is restored. He also said that the government is eager to turn the fortunes of the country around.
Mr. Akufo-Addo has stated his confidence that the bailout from the IMF will assist in reviving the economy of Ghana.
“The rationalization of our expenditures, as well as the rationalization of the expenditures of the government, is something that we have provided the promise of.
Mobilizing our domestic resources to generate revenue is a fundamental necessity for us, and we are already seeing signs of progress in this direction.
In Ghana, we have a fiscal responsibility law that sets our budget deficit at 5 percent of GDP, but we are now well above that, and the sooner we can bring it down to more acceptable levels, the better for us it would be.
