With Ghana’s successful negotiation of critical debt restructuring agreements with official creditors and a substantial portion of its Eurobond holders, the government has been urged to effectively utilize the resulting concessions.
Under the agreement, Ghana’s bondholders will waive approximately $4.7 billion of loans and provide cash flow relief of about $4.4 billion until 2026, when the country’s current International Monetary Fund (IMF) program ends.
Development Economist and a Senior Research Fellow at the Centre for Social Policy Studies (CSPS) of the University of Ghana, Dr. George Domfe in an interview with Citi Business News, said the government must leverage these gains to safeguard against future financial instability.
“Are we learning from this? We need to learn a lot, we need to find a better way to make sure we generate more revenue.
“Otherwise the space has been granted, and if we don’t learn we will seize the opportunity to borrow more. And go around politicising projects they embarked on. We need to go beyond all these things.”
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