Former Finance Minister Seth Terkper has stated that the next National Democratic Congress (NDC) administration will prioritize robust economic management to restore Ghana’s credibility in international capital markets.
In an interview on TV3’s Hot Issues, Mr Terkper underscored plans to resurrect the sinking fund as a key tool for managing the nation’s burgeoning debt and ensuring consistent debt repayments.
“We will manage the economy well to make it attractive to investors on the international capital market,” he quipped.
Ghana exited the international capital markets in 2023, a standing it had held since 2007, following its failure to meet debt obligations.
In response, the government recently undertook a significant debt restructuring, encompassing nearly $20 billion in external liabilities.
This debt exchange is projected to deliver substantial fiscal relief, including anticipated savings of $4.4 billion in debt service costs and the cancellation of $4.7 billion over the course of the IMF programme.
The debt restructuring initiative aligns with the government’s broader objective to reduce the country’s debt-to-GDP ratio to 55% by 2028, a target deemed crucial for restoring fiscal sustainability and stabilizing the economy.
Simultaneously, former President and NDC presidential candidate John Mahama, has outlined an ambitious economic reform agenda aimed at stimulating business growth and boosting foreign direct investment (FDI) in Ghana.
Mr Mahama’s proposals include comprehensive policy interventions designed to foster a conducive business environment and tackle specific challenges that impede efficient operations in the country.
The former president emphasized the necessity of establishing a strong economic framework to attract and sustain foreign investment, which he views as critical to rescuing Ghana from its current economic difficulties.
Central to this strategy is the provision of targeted incentives to foreign investors, aimed at quickly bridging the nation’s investment deficits.
Source:norvanreports.com