This is just the 'honeymoon' phase, can government commit to fiscal discipline? - Economist

Economist, Dr. Saeed Iddrisu, has intimated that the receipt of the $3 billion loan from the International Monetary Fund may just be the “honeymoon” phase.

According to him, the real issues may start rearing their head after this phase is over.

He noted that the sense of accomplishment that has seemingly characterized the receipt of the first tranche of the IMF loan is however misguided.

“Everything happening now is like a honeymoon period. When you’re newly married, you’re so excited, everything looks good and all that. That is what we’re having now in Ghana.

“So, let’s see how we’ll move from the honeymoon period to the real marriage. That is where the issues come in.

“Look at what is already happening in the Kumawu by-election. Definitely, there’ll be financing going on and stuff like that. So can the government really commit to the fiscal discipline?” he was quoted by myjoyonline.com.

Dr. Iddrisu posited that the recent appreciation of the cedi cannot be attributed to government’s efforts since it does not appear like the government has made any efforts.

He noted that it was rather due to “speculations in the market" adding that "It is not like the government has done anything as we speak.”

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