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NDC government piling up debt

Fri, 19 Sep 2014 Source: Quaye, Stephen A.

NDC government piling up debt for next generation to pay

TORONTO-CANADA, [September 17, 2014]-Ghanaians should express concern about the growth of public debt which is “ethically and morally’ wrong for the present NDC government led by President John Dramani Mahama, to pile up.

The good citizens of Ghana should be concerned about the kind of fiscal policies and programmes that president John Dramani Mahama’s NDC government is running for the country which runs into a deficit.

Figures released and posted on Ministry of Finance and Economic Planning [MFEP] website will surely make any patriotic citizen express concern about the fiscal policies of the NDC government which is always resulting into a deficit.

According to MFEP, Ghana’s total debt stock which stood at U.S. Dollars 9.303.7 million increased steadily to U.S. Dollars 22.737 million as at August 2013.

It said, out of this total external debt amounted to U.S. Dollars 10.167 million that is 44.72 percent and domestic debt was U.S. Dollars 12.569.83 million representing 55.28 percent of the debt stock.

This Dr. Mahamudu Bawumia, the two time presidential running mate of the NPP who is an economist has called on all Ghanaians to express concern about the growth of the public debt.

Last year, whiles presenting a lecture on the state of the economy, Dr. Bawumia, personally expressed concern about the growth of the public debt as the country’s debt increased from GHC 9.5 billion in 2008 to GHC 43.9 billion as at August 2013 an increase of 357 percent less than five years.

“Everyone should be very much concern about government borrowing to the equivalent of U.S. dollars 20 billion in just the least five years of which I will say piling up such huge debt for the generation unborn to come and pay is an indication of failure by the present government.

“As no parent, wants to saddle his children or grand children with debt of their current expenses, so the government of President John Mahama should not pile up debt for the next government and the generation unborn to pay”.

The government of President John Dramani Mahama, can consider reducing taxes and introduce discipline in budgeting and government spending to create surplus for economic freedom for the people.

The country’s tax was high under President John Evans Atta Mills government but it got worst since President John Dramani Mahama took over as a result of over spending and indiscipline economic management.

If the economists around the president will tell him the facts, then he will learn that, “budgets don’t balance themselves as some NDC spin doctors may think they do but they don’t as they require a plan and discipline to follow it”.

Ghanaians are not calling for draconian cuts but fiscal responsibility is what they are calling for as the government would not be able to retire its debts if it continues to overspend, borrow unnecessarily to keep the debt growing”.

President John Mahama’s government would be worst if it does not redefine its fiscal policies and programmes for the next two years.

President John Dramani Mahama, needs to sit down with his economists to analyze the fiscal policies and programmes it claims to be running for the country or risk running a country of bankruptcy soon.

“When that happens, Ghanaians would not be able to live responsible lives because state funds would be used to service debt instead of building schools, hospitals, constructing roads and paying salaries of civil servants.

CONTACT:

STEPHEN A. QUAYE,

SIGNED

E-mail: teemagi2003@yahoo.com

Columnist: Quaye, Stephen A.