Audio By Carbonatix
Former Finance Minister, Seth Terkper has advised government to learn to put international support to good use and reap its full benefits while it lasts.
According to him, a seeming failure of the usurped Afghanistan government to use the international support they received to build strong structures resulted in them being found wanting when the United States and its allies departed the country.
Terkper, speaking on JoyNews’ Upfront, stated that Ghana could find itself in a similar situation should international support finally be fully withdrawn.
He explained that with Ghana recently declared a middle-income country, international aid funds and grants have been dwindling sharply, leaving the country to borrow more.
“We have become a middle-income country; for example, we see our reliefs, we see grants and others dwindling. And that is because we have now gotten into a certain global definition of a middle-income country, and that is how you will be treated.
“If you continue to think that these resources will continue flowing – and it was JoyFM that said this morning that by 2024 government does not see much of the resources coming, which is what happened when I, as Minister of Finance on behalf of his excellency the President, Mahama brought HIPC to a close because the funds from HIPC were no longer coming. There was room to borrow,” he said.
He, however, expressed concern that should the country continue to borrow at the rate it is doing now, it would result in dire consequences.
He stated that, with the country now considered a middle-income country, it would no longer be treated with baby hands when it becomes heavily indebted.
“And so if you continue to borrow today, we’re not borrowing to fill a space that was left by debt forgiveness, and that was why we seem to be moving back to a HIPC status.
“But remember this time around, we’re no longer a fragile state, we’re no longer a developing country, we’re a middle-income country, and the world will be looking at us as such,” he said.
Latest Stories
-
Motorists and pedestrians decry worsening encroachment on roads and pavements in Avenor
2 hours -
Mexico beat South Africa in dramatic World Cup opener as three players sent off
2 hours -
Gov’t releases GH¢537m to cover tuition fees of 159,750 students under No Fees Stress Policy
2 hours -
Twice in a year, Chairman Wontumi’s lead lawyer has walked away
4 hours -
CSOs mount strong defence of OSP ahead of Supreme Court verdict
4 hours -
Telecel launches Ashanti Codes to equip youth with digital and AI skills
4 hours -
Cash for awards controversy: Minority demands parliamentary inquiry
4 hours -
Abronye DC granted permission to travel to UK for master’s programme
4 hours -
Government has stabilised economy, jobs will follow — Ricketts-Hagan
4 hours -
World Cup ticket allocations for Ghanaian diaspora not yet received -UN Mission
4 hours -
PURC, ECG and GRIDCo align plans to ensure stable power supply during 2026 FIFA World Cup
5 hours -
Ghana launches National Shea Commodity Platform to commercialise shea production
5 hours -
Bawumia holds talks with British High Commissioner in Accra
6 hours -
AFF study documents 115 edible forest species and indigenous knowledge in biodiversity hotspot
6 hours -
Fortune names Yellow Card among top global crypto innovators
6 hours