Economic Crises: ‘Inept’ Ken Ofori-Atta Wouldn’t Last In Any Serious Gov’t – Kwame Pianim
Renowned Economist Mr. Kwame Pianim has described the current Finance Minister, Ken Ofori-Atta as the country’s worst performing Minister.
According to him, his style of managing the country’s economic issues has been poor since day one and wouldn’t have stayed in office this long in any serious government.
Speaking on Okay FM’s ‘Ade Akye Abia’ programme, the revered Economist stated that Ghana has experienced the leadership skills of other Finance Ministers who have managed the country so well even in worst conditions like this.
“When the late Kwadwo Baah Wiredu took over as the country’s Finance Minister, the country’s economy was down on its knees to the extent that the Agyekum Kufuor government had to declare the country HIPC, but due to the financial intelligence and economic prowess of the late Baah Wiredu, the country’s economy received a major turn around.
“It however, enabled their government to implement major policies to mitigate the then hardships Ghanaians were going through.
“But this Finance Minister who is only good at borrowing has borrowed to the extent that the country has been written off by foreign investors,” he told Kwame Nkrumah.
“How do you lead a once thriving economy into such an economic mess?” he quizzed.
He argued that some of the policies of the government especially the Finance ministry are not thought through policies which will help the ordinary Ghanaian.
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Bondholders to lose 88.2% of investments at current inflation rate – Ghana Individual Bondholders Forum
The Ghana Individual Bondholders Forum has hinted that bondholders will lose about 88.2% of their investments at the current inflation rate if the government goes ahead and include individuals in the Domestic Debt Exchange programme.
According to the Forum, the bondholders will however lose 71% of their investments when discounted at current Treasury bill rates and 50% when the coupon rates face ‘haircut’.
In a statement, it said, President Akufo-Addo’s promise of no loss or haircut has not in any form been honoured, adding “great will be lost, too much is missing, everything is broken, you will not recover, your livelihoods shall be destroyed”.
It mentioned that the President was explicit that there will be no haircuts in his public address on the December 5, 2022, quoting 1 Samuel 30:19 saying “nothing was missing, small or great. I say to you, nothing will be lost, nothing will be missing, and nothing will be broken. We will, together, recover all.”
But the Forum added “this was the case for us before your information memorandum on the December 24, 2022. But today, our coupons face absolute haircuts and when we discount your proposed benchmark bonds at the coupon rates of the original bonds, we are losing effectively 50% of our investments. When discounted at current T-bill rates, we are losing 71% of our investments, and at prevailing inflation, we face an 88.2% loss”.