Dr Ernest Addison’s CBG is now “A White Elephant” – Hon Adongo explains  

Ranking Member on the Finance Committee of Parliament, Isaac Adongo, has lambasted the Governor of the Central Bank, Dr Ernest Addison, for superintending over rots in the financial sector of the Ghanaian economy with impunity.

The Lawmaker enumerated the astronomical increase in policy rate and inflation leading to the inability of businesses in the country to borrow, among other things as signs of incompetence on the part of governor. He charged the Governor to resign if he does not feel capable of doing his job and save the Ghanaian businesses from the financial turmoil.

Adongo, who is also the Member of Parliament for the Bolgatanga Central constituency, at a press conference in parliament insists that the Consolidated Bank of Ghana (CBG) established by the Governor after collapsing other banks in the country has become a “White Elephant” and a national disgrace and embarrassment.

He further urged the governor to clean the mess created at the bank and also remove “the expatriate appointed as the Deputy Chief Executive Officer” of the Consolidated Bank of Ghana with immediate effect.

“Dr Addison, if the job is too big for you, just resign and save us from trouble. You keep increasing policy rate, you keep increasing inflation by pumping more money into the economy, then you pretend that you are calling those monies back and increase interest rate, businessmen can not borrow, everybody is in trouble, meanwhile, your liquidity in the economy keeps growing how can you have an economy where liquidity grows by 41% but people cannot get money to borrow?” he quizzed.

“He set up CBG, today CBG is our national disgrace, it is a symbol of our national embarrassment. The bank that they setup and gave nine other banks to them at the moment is no more a bank, CBG is not a bank, he should go and solve what he created at CBG” he fumed.

Hon. Adongo opined that, monetary policy is the biggest problem of the Ghanaian economy today after dealing with the issues of debt. He said that inflation has caused a lot of challenges for the economy because money outside the banking sector – monies under people’s bed, pillows and in people’s polytanks grew by 44% in 2022, which is a clear indication that people are not putting their monies in the banks and believes that should gravely concern the central bank.

“If 44% of your money is outside the banking sector, it simply means you cannot work as a monitory agency in the country because every money must pass through the banking sector for everything to succeed. 2023, the year has not reached anywhere but the amount grew outside the bank is 41% – is that not frightening?” he queried.

He also lamented that people have now bought houses as money storehouses where house-helps have access to cash to steal and as the governor of Bank of Ghana, he should be concerned about these happenings.

The Lawmaker explained that money in circulation in 2022 has grown 42% whiles in April 2023 it has recorded 36.8%. He asked if the managers of the economy conjured these monies. He insists that all the Bank of Ghana knows how to do is to print money and throw same into the economy which people grab and head into their bedrooms.

He reminded the mangers of the economy of his advised against printing more monies which will never end up at banks but in people’s bedrooms.

By Derick Botsyoe || ghananewsonline.com.gh