According to economist Stephen Adei, one of the major causes of the nation’s economic unrest is unrelenting borrowing without the ability to repay.
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This situation, according to the former chairman of the board of the Ghana Revenue Authority (GRA), has grown into an albatross around President Akufo-neck. Addo’s
The biggest error they made, in his opinion, was borrowing more than we could afford to pay back.
The Kwame Nkrumah University of Science and Technology’s Signature Market Pre-launch campaign was where he made these remarks (KNUST).
Even while exogenous causes like the coronavirus pandemic and the conflict between Ukraine and Russia had an impact, overborrowing was the final piece that knocked everything out of whack, according to Prof. Adei.
“If you borrow more than you can afford to pay back, as a country, you will get into difficulty, as COVID-19 and the Russia-Ukraine [conflict] showed. Yet they must acknowledge that these fundamental errors they made led to the worsening of the situation, according to Prof. Adei.
If this wasn’t the case, he informed the reporters, “they won’t be going the IMF.”
He advised the administration, “We have to learn and not repeat our mistakes by going on a borrowing spree.