• Contact US
  • Advertise With US
  • Privacy & Policy
  • Submit Station
Thursday, October 23, 2025
Kumasi Mail
Advertisement
  • Home
  • News
    • All
    • Education
    • Health
    • Manhyia
    Woman, 24, found dead In boyfriend’s room

    One person shot dead during Odwira rituals , 3 injured, 34 arrested by Police

    Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

    Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

    Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

    Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

    Ghana’s 9th Parliament officially inaugurated

    Parliament halts reintroduction of Anti-Gay Bill after advertisement error

    Abdul-Wahab Hanan denies corruption allegations mentioned by Attorney General

    Abdul-Wahab Hanan denies corruption allegations mentioned by Attorney General

    AG charges former Buffer Stock CEO and wife over GHS78m theft, money laundering

    AG charges former Buffer Stock CEO and wife over GHS78m theft, money laundering

    Chairman Wontumi granted GH¢1m bail ahead of trial over illegal mining

    Attorney-General Dr. Dominic Ayine rejects plea deal in Wontumi case

    Krofrom Market files sealed- KMA promises revelation “in due course”

    Krofrom Market files sealed- KMA promises revelation “in due course”

    Richard Ofori Agyeman Boadi, KMA BOSS

    KMA orders removal of unauthorized structures and billboards ahead of road project

    • Health
    • Education
  • Election 2024
  • Politics
  • Business
  • Showbiz
  • Opinion
  • Sports
  • World
  • Media
  • Manhyia
  • History
No Result
View All Result
  • Home
  • News
    • All
    • Education
    • Health
    • Manhyia
    Woman, 24, found dead In boyfriend’s room

    One person shot dead during Odwira rituals , 3 injured, 34 arrested by Police

    Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

    Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

    Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

    Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

    Ghana’s 9th Parliament officially inaugurated

    Parliament halts reintroduction of Anti-Gay Bill after advertisement error

    Abdul-Wahab Hanan denies corruption allegations mentioned by Attorney General

    Abdul-Wahab Hanan denies corruption allegations mentioned by Attorney General

    AG charges former Buffer Stock CEO and wife over GHS78m theft, money laundering

    AG charges former Buffer Stock CEO and wife over GHS78m theft, money laundering

    Chairman Wontumi granted GH¢1m bail ahead of trial over illegal mining

    Attorney-General Dr. Dominic Ayine rejects plea deal in Wontumi case

    Krofrom Market files sealed- KMA promises revelation “in due course”

    Krofrom Market files sealed- KMA promises revelation “in due course”

    Richard Ofori Agyeman Boadi, KMA BOSS

    KMA orders removal of unauthorized structures and billboards ahead of road project

    • Health
    • Education
  • Election 2024
  • Politics
  • Business
  • Showbiz
  • Opinion
  • Sports
  • World
  • Media
  • Manhyia
  • History
No Result
View All Result
Kumasi Mail
No Result
View All Result
  • Home
  • News
  • Election 2024
  • Politics
  • Business
  • Showbiz
  • Opinion
  • Sports
  • World
  • Media
  • Manhyia
  • History
Home Business

Dr. Kwabena Duffuor criticizes borrowing practices and fiscal management by government

Kumasi Mail by Kumasi Mail
November 27, 2024
in Business
0
Dr. Kwabena Duffuor criticizes borrowing practices and fiscal management by government
Share on FacebookShare on Twitter

Former Finance Minister Dr. Kwabena Duffuor has expressed strong reservations about the country’s current borrowing practices and fiscal management, calling for greater focus on the sources of debt accumulation and efficient use of borrowed funds.

Speaking on Ultimate FM in Kumasi, Dr. Duffuor analyzed the country’s economic trajectory, comparing the fiscal discipline of previous administrations to the current state of affairs.

According to the former Bank of Ghana governor, the debt crisis stemmed from a lack of attention to sustainable borrowing practices.

He criticized the issuance of commercial bonds by the government, stating that insufficient understanding of the terms and potential risks associated with such financial instruments has plunged the country into unnecessary fiscal stress.

“The debt issue came about because we did not focus on the source,” Dr. Duffuor stated. “We went deep into borrowing without fully understanding the implications. Instead of managing our national budget responsibly, we rushed to the commercial markets.”

Dr. Duffuor highlighted that the National Democratic Congress (NDC) administration, under which he served as Finance Minister, approached borrowing differently.

He said that borrowed funds were strategically invested in high-return projects that could generate revenue to service the debts. Citing examples, he noted that funds acquired during his tenure were used for initiatives that delivered measurable economic benefits, ensuring the sustainability of such loans.

He pointed out that, under the previous National Democratic Congress (NDC) administration, the debt-to-GDP ratio stood at 11% when the NDC took office. Over four years, the economy experienced significant growth, reaching a 15.5% annual growth rate—the highest ever recorded. This performance, according to him, demonstrated the careful balancing act between borrowing and economic productivity.

However, Dr. Duffuor lamented the current state of affairs, claiming that debt levels have skyrocketed without tangible returns on investment. “When the NDC left office, the debt-to-GDP ratio was around 11%. Now, we are looking at levels close to 22%,” he said, comparing the performance of successive administrations.

Dr. Duffuor also criticized the current government for prioritizing Eurobond borrowings, which he described as short-sighted. “Eurobond money is good, but it comes with significant pressure,” he noted.

He argued that the loans should have been channeled into projects that could generate revenue to service the debt.

 Instead, funds were used in ways that did not yield adequate returns, creating additional fiscal burdens for future administrations.

He detailed the pitfalls of the current borrowing strategy, emphasizing that many of the loans have been structured in ways that defer principal payments while accumulating interest over time.

“We now face situations where we pay huge sums in interest, yet the borrowed money has not been invested in ways that pay for themselves,” he lamented.

He warned that the long-term effects of such fiscal mismanagement would weigh heavily on the country’s economy.

Dr. Duffuor concluded by calling on policymakers to adopt more prudent borrowing practices, stressing the need for transparency, accountability, and a commitment to investing borrowed funds in projects that can generate sustainable economic growth.

This discussion comes at a time when the government faces increased scrutiny over its fiscal policies, with many Ghanaians demanding accountability for the rising debt levels and their impact on living standards.

Dr. Duffuor’s remarks are likely to fuel the ongoing debate over the effectiveness of the government’s economic management strategies.

The former Bank of Ghana governor Dr. Kwabena Duffour who is in Kumasi to campaign for the NDC called on Ghanians to vote for the National Democratitic Congress (NDC) Flagbearer John Dramani Mahama to reset the country’s economic to create financial independent for the citizenly.

Source: www.kumasimail.com

ShareTweetSend
Previous Post

Ghanaians can’t afford another NPP gov’t; let’s kick them out – Afriyie Ankrah

Next Post

I encourage you to vote for Dr. Bawumia as the next President  – Akufo-Addo to Ghanaians

YOU MAY LIKE

COCOBOD launches strategic board sub-committees to advance financial accountability and education in the Cocoa industry
Business

COCOBOD launches strategic board sub-committees to advance financial accountability and education in the Cocoa industry

Hermas Sibeko honoured for transformative leadership in Agribusiness
Business

Hermas Sibeko honoured for transformative leadership in Agribusiness

Ghana to create 500,000 jobs through expansion of economic crops
Business

Ghana to create 500,000 jobs through expansion of economic crops

GCAA Ag. DG brokers internship deal with Qatar Civil Aviation Authority
Business

GCAA Ag. DG brokers internship deal with Qatar Civil Aviation Authority

Sangu Delle urges intra-African trade, simpler rules and local capital to scale companies
Business

Sangu Delle urges intra-African trade, simpler rules and local capital to scale companies

Next Post
I encourage you to vote for Dr. Bawumia as the next President  – Akufo-Addo to Ghanaians

I encourage you to vote for Dr. Bawumia as the next President  – Akufo-Addo to Ghanaians

Dr. Bawumia, Bank of Ghana Face Accusations of Blocking Free Zone Export Earnings from Entering Ghana

GHc2.5 billion wasted on NABCO could have created 482,000 sustainable jobs and generated billions of cedis for the nation- Awuah Darko

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

LATEST NEWS

Woman, 24, found dead In boyfriend’s room

One person shot dead during Odwira rituals , 3 injured, 34 arrested by Police

Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

Ghana’s 9th Parliament officially inaugurated

Parliament halts reintroduction of Anti-Gay Bill after advertisement error

Abdul-Wahab Hanan denies corruption allegations mentioned by Attorney General

Abdul-Wahab Hanan denies corruption allegations mentioned by Attorney General

AG charges former Buffer Stock CEO and wife over GHS78m theft, money laundering

AG charges former Buffer Stock CEO and wife over GHS78m theft, money laundering

Chairman Wontumi granted GH¢1m bail ahead of trial over illegal mining

Attorney-General Dr. Dominic Ayine rejects plea deal in Wontumi case

Krofrom Market files sealed- KMA promises revelation “in due course”

Krofrom Market files sealed- KMA promises revelation “in due course”

Richard Ofori Agyeman Boadi, KMA BOSS

KMA orders removal of unauthorized structures and billboards ahead of road project

Ghana’s Future at Risk: Poisoned lands, sick children, and a booming illegal gold economy- Minority raises alarm

Ghana’s Future at Risk: Poisoned lands, sick children, and a booming illegal gold economy- Minority raises alarm

  • Trending
  • Comments
  • Latest
52-Year-old man arrested in Nsawam for possessing suspected EC Biometric Device

52-Year-old man arrested in Nsawam for possessing suspected EC Biometric Device

Ghana Airforce Z-9 Helicopter Goes Missing en Route to Obuasi, Rescue Efforts Underway

Ghana Airforce Z-9 Helicopter Goes Missing en Route to Obuasi, Rescue Efforts Underway

Asokore Mamponhene Nana Boakye Ansah passes away

Asokore Mamponhene Nana Boakye Ansah passes away

EPA CEO calls for Immediate action to restore polluted water bodies in Ashanti region

EPA CEO calls for Immediate action to restore polluted water bodies in Ashanti region

Hello world!

1
NCA promises lower data prices by year-end

NCA promises lower data prices by year-end

1
COVID-19: Information Ministry justifies GHC150K spent on staff

COVID-19: Information Ministry justifies GHC150K spent on staff

1
EC to conduct mop-up registration August 1-3

EC to conduct mop-up registration August 1-3

1
Woman, 24, found dead In boyfriend’s room

One person shot dead during Odwira rituals , 3 injured, 34 arrested by Police

Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

Ministry of Education challenges Akrofuom MP, other to prove claims amid explosive School Placement corruption claims

Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

Sesi Technologies unveils groundbreaking FarmSense soil intelligence system at KNUST

Ghana’s 9th Parliament officially inaugurated

Parliament halts reintroduction of Anti-Gay Bill after advertisement error

Facebook Twitter Youtube Instagram
Kumasi Mail

About US

Advertise With US

Submit Station

© 2024 KumasiMail.com