HIPC is behind us – Ofori-Atta affirms

Finance Minister Ken Ofori-Atta has allayed possible fears that the Ghanaian economy in the coming months or years may relapse to the much dreaded Highly Indebted Poor Country (HIPC) status.

According to him, such cases of severe economic downturns are past and gone under the Akufo-Addo-led government.

His comment come on the back of recent claims by the opposition National Democratic Congress (NDC) that the country has once again been listed as a Highly Indebted Poor Country (HIPC).

While presenting the 2021 budget statement in parliament, October 28, 2020 the Finance Minister said the current state of the economy under the Akufo-Addo-led government will only get better and not worse.

He said severe cases of economic mismanagement and relapses are far gone and only persisted under the erstwhile administration.

Ken Ofori-Atta read; “In 2001, Ghana had no choice but to swallow her pride and to sign up to the HIPC initiative. A legacy left by the outgoing NDC government. Thankfully, President John Agyekum Kufuor got us to completion in record time and came out of HIPC. By 2014, barely two years in office, President Mahama’s home-grown policy failed and Ghana signed up once again unto an IMF programme…”

“Ironically, those who mismanage the economy for us to come and fix it are the one’s wishing Ghana ill. My message to them is this; there is no turning back…,” he added.

“HIPC is behind us. Economic mismanagement is behind us. The economy is stronger today than it was 4 years ago, and will continue to grow stronger and stronger with 4 more years to do more for the people of Ghana, with God’s help…” he said.

It would be recalled that former President John Dramani Mahama on Monday told some professionals at a meeting that the IMF has predicted that Ghana’s current rate of borrowing and debt to GDP ratio of 76.7% put the country in a Heavily Indebted Poor Country (HIPC) status.

He said, “The IMF in its Sub-Saharan African Regional Economic Outlook forecast the current rate of borrowing and debt at a frightening 76.7% debt to GDP ratio. Unfortunately, Ghana is back to HIPC status under Nana Akufo-Addo and Ken Ofori-Atta administration.”

But the communications team of the NDC subsequently sought to deny this statement after the IMF debunked Mahama’s claims.