We need sound economic policies not lectures – Gatsi to Bawumia

The head of the finance department of the University of Cape Coast Professor John Gatsi has discounted the impact of the Vice President’s town hall meeting.

Speaking to host Julius Caesar Anadem on the Ultimate Breakfast, Professor Gatsi contended that the lectures will hold nothing, if government fails to implement policies needed to put the country’s economy on a sound track.

Dr. Mahamudu Bawumia today addressed the country on the state of the economy at a town hall meeting dubbed “Our progress, our status, our future”

Dr Bawumia who heads President Akufo Addo’s Economic Management Team gave an account on the wobbly performance of the cedi and the outlook of the country’s macroeconomic indicators.

He used the platform to announce a 50% reduction on import duties at the ports and 30% reduction on vehicle import.

Anticipating responses on Ghana’s 70.5% debt to GDP ratio, Professor Gatsi outlined, “The fact remains that the vice president said we will not borrow but they have borrowed in two years over 53 million cedis more than was expected and has not reflected in massive development for the country.”

“There is no need to segregate what is the debt of Mahama and what is the debt of President Akufo-Addo. The debt is the debt of Ghana but the key thing is we are suffering from a repayment cost as a ratio of revenue which is precarious”

On his take on the fluctuating value of the Ghana cedi on the exchange market, he insisted, “We are spending in excess of 339 million cedis to import rice when we are aware that there is a rice policy to implement and we are not implementing. “

“We are spending in excess of 123 million dollars to import sugar when we are aware that we have a revamped sugar factory and all that we need to do is to incentivise farmers to produce sugarcane and we have not done it.”

“Whatever the vice president will say tomorrow will not change the fact that there is a policy that identifies artisans at Suame Magazine to be supported with financial and technical support to fabricate light spare parts that we will not spend money to be importing those spare parts.”

Meanwhile, the opposition National Democratic Congress will hold a counter lecture on Thursday under the theme ‘Ghana’s rising fiscal risks, financial crunch and external vulnerabilities: A post-mortem of the Extended Credit Facility (ECF) Programme and a preview of the economy without the International Monetary Fund (IMF),

Former President John Mahama is expected to be the guest of honour for the public lecture which will take place at the Mensvic Hotel at East Legon in Accra.