Audio By Carbonatix
Ghanaian economist Professor Stephen Adei has criticised former President John Mahama's announcement of his intention to renegotiate the International Monetary Fund (IMF) deal if he's re-elected.
Prof Adei expressed concerns that Mr Mahama's comments could undermine ongoing negotiations with external creditors.
In an interview with Reuters, Mr Mahama stated that he intends to renegotiate the terms of the IMF bailout and increase local ownership of future oil and mining projects if he wins the December election.
- Read also: Explainer: Can an IMF deal be renegotiated?
However, Prof Adei accused Mr Mahama of pandering to public sentiments without considering the detrimental effects such a decision could have on current agreements with external creditors and the broader economic implications for the country.
"During an election year, politicians will say anything they think will make people like them… what he is saying is of little relevance because the IMF – the money they are giving us is very little. The essence of the IMF is that its position influences what the bilateral and multilateral creditors will do.
"So if there is any negotiation, it is not with the IMF. It is going to the creditors – both bilateral and multilateral – to negotiate the money," Prof Adei explained.
He noted that the IMF is not responsible for the hardship in Ghana, stating, "The hardship was caused by the fact that we have literally become a bankrupt country."
According to Prof Adei, Mr Mahama should focus on addressing the existing debt crisis rather than renegotiating with the IMF.
"When he becomes president, he will inherit the debt crisis, and the solution is not renegotiating with the IMF," he added.
The former Board Chairman of the Ghana Revenue Authority (GRA) also cautioned Mr Mahama against jeopardising the deal, emphasising that if it is not signed, the country's problems would be compounded.
Latest Stories
-
Semenyo to undergo Man City medical after agreement with BournemouthÂ
43 seconds -
Car giant Hyundai to use human-like robots in factories
28 minutes -
Nestle issues global recall of some baby formula products over toxin fears
43 minutes -
Central African Republic president wins third term by landslide
52 minutes -
Israel’s foreign minister on historic visit to Somaliland
1 hour -
Government can pay – Austin Gamey backs nurses and midwives’ salary claims
1 hour -
Protests won’t fix pay crisis – Austin Gamey urges patience for unpaid nurses and midwives
2 hours -
‘You’re invisible, you don’t exist’ – life without a birth certificate
2 hours -
At least 22 Ethiopian migrants killed in ‘horrific’ road crash
2 hours -
Uganda denies plans to block internet during election
2 hours -
Amad stars as AFCON holders Ivory Coast ease into last eight
3 hours -
Swiss ski bar not inspected for five years before deadly fire, mayor says
3 hours -
Wiyaala to be enskinned paramount queenmother of Funsi as Pulung Festival debuts
3 hours -
US discussing options to acquire Greenland, including use of military, says White House
3 hours -
GJA urges journalists to uphold ethics, pledges support for professional development
3 hours
