The Ghana Medical Association (GMA) has rejected the debt exchange programme announced by the government.
The GMA in a statement on December 6 said the debt restructuring will have a negative impact on its members’ pensions funds and healthcare delivery in the country.
“The GMA is also concerned about the negative effect of the debt exchange programme on Private Health facilities, private health insurance and mutual schemes that have invested heavily with Government of Ghana bonds. This we believe will impact negatively on patient care, medication supply and claims management,” the statement said.
Government in announcing the programme said it is part of a key requirement to obtain an economic programme from the International Monetary Fund.
As part of the debt restructuring process, government said there will be a cut in bond interest with no coupon payment for 2023.
But GMA believes such measures will “result in a significant loss in value of our pensions in real terms over the next 5-15 years and beyond.”
It added that the government’s maximum bond interest of 10% will lead to a negative real return for investments every time inflation rises above 10%.
“All these, we believe, will further worsen the already dire situation workers and pensioners will face, especially when their meagre pensions have lost significant value owing to the depreciation of the cedi, high inflation amongst others,” GMA noted.
The Association wants government to immediately exempt pensions and other related investment funds completely from the debt restructuring process.
They say failure to do so may result in “actions that will disrupt the industrial harmony in the country.”
Already, other labour unions such as NAGRAT and TUC have kicked against the debt restructuring measure. They have urged the government not to touch workers’ funds.
The Chamber of Corporate Trustees has also rejected the debt exchange programme proposed by the Ministry of Finance.
“We have carefully analysed the announcement by the Minister of Finance on the Debt Exchange Programme and are of the opinion that it is injurious to the interest of contributors to pension schemes”, the Chamber said in a statement.
- Akufo-Addo reshuffles ministers
- Turkey earthquakes: Ghana star Christian Atsu found after 26 hours under rubble
- Businessman Ibrahim Mahama to fund treatment, education of former NSMQ ‘Shark’
- He said just the ‘tip’, but now I’m pregnant; the story of a university fresher
- DDEP: We’ll continue to converge there until we’re exempted – Dr. Anane Antwi
- 40 Ejuraman students injured in dining structure collapse
- Accra-Tema Motorway no longer fits definition of motorway – NRSA
- Full text: Finance Minister’s speech on DDEP deadline eve
- Turkey earthquake: Ghanaian students recount horror
- College head found dead with husband and daughter
- Economist advises individual bondholders not to invest in DDEP
- My dad, Culture, never died on stage in Germany – Kenyatta Hill
- 3 persons remanded over alleged kidnapping
- 28 of 47 students of Ejuraman Anglican SHS discharged from Hospital
- I’m your biggest fan – DJ Khaled tells Tems
- Akufo-Addo nominates Abetifi MP for Agric Ministry
- Bole: Family of murdered herdsman demand justice, appeals to CJ
- Death in a military operation is not unexpected – Security Analyst on Bawku killings
- Tems speaks on Grammy win, working with Future, Drake, others
- Bank manager arrested for ‘hoarding’ new Nigerian notes
- GES, Education Ministry to release academic calendar for SHS
- Kenyan school shaves off female students’ long hair
- Assayer in court over $18m gold scam
- #6thSenseonJoyPrime: Economic situation cause of Ghana’s moral bankruptcy – Angela Bamford
- Cocoa Abrabopa Association, Alfred Ritter and Ascot to tackle poverty in cocoa growing communities in Ghana