'Is Ghana’s debt restructuring a little too late?' – Ato Forson

A ranking member of Parliament’s finance committee, Cassiel Ato Forson, has questioned the timing of the government’s decision to pursue a debt restructuring programme. According to him, “is Ghana's impending Debt restructuring too little too late?” Ato Forson who is currently with other government officials at a meeting with the International Monetary Fund in the USA noted that Ghana’s current debt situation is due to reckless borrowing and bad fiscal policies. In a Twitter post on August 13, 2022, he wrote: “The Black Star of Africa is facing unpalatable policy choices as a result of irresponsible fiscal policies & reckless borrowing since 2018!” Ato Forson had earlier stated that a decision to ensure Ghana’s debt sustainability should be taken as soon as possible, before discussions with the IMF advance. According to him, the government needs to adopt some level of proactivity in choosing what forms of debt restructuring regimes it would have to adopt. “Ghana, as we speak, is going through sovereign insolvency stress, we’re simply insolvent. So, what we need to do is to take a decision to restructure. But the question is what kind of restructuring? “That is the kind of conversation I believe we have to go in. We have to consider the kind of restructuring that we’ll do that will safeguard the economy and preserve us going forward. I believe that is where we’ve gotten to at this stage,” he is quoted by myjoyonline.com on October 5, 2022.

A ranking member of Parliament’s finance committee, Cassiel Ato Forson, has questioned the timing of the government’s decision to pursue a debt restructuring programme. According to him, “is Ghana's impending Debt restructuring too little too late?” Ato Forson who is currently with other government officials at a meeting with the International Monetary Fund in the USA noted that Ghana’s current debt situation is due to reckless borrowing and bad fiscal policies. In a Twitter post on August 13, 2022, he wrote: “The Black Star of Africa is facing unpalatable policy choices as a result of irresponsible fiscal policies & reckless borrowing since 2018!” Ato Forson had earlier stated that a decision to ensure Ghana’s debt sustainability should be taken as soon as possible, before discussions with the IMF advance. According to him, the government needs to adopt some level of proactivity in choosing what forms of debt restructuring regimes it would have to adopt. “Ghana, as we speak, is going through sovereign insolvency stress, we’re simply insolvent. So, what we need to do is to take a decision to restructure. But the question is what kind of restructuring? “That is the kind of conversation I believe we have to go in. We have to consider the kind of restructuring that we’ll do that will safeguard the economy and preserve us going forward. I believe that is where we’ve gotten to at this stage,” he is quoted by myjoyonline.com on October 5, 2022. Folks, is Ghana's impending Debt restructuring too little too late? The Black Star of Africa is facing unpalatable policy choices as a result of irresponsible fiscal policies & reckless borrowing since 2018! pic.twitter.com/ZRrNonctfq— Cassiel Ato Forson(PhD) (@Cassielforson) October 13, 2022 Watch the latest episode of BizTech below: SSD/FNOQ