Monies borrowed were used to settle debts from Mahama’s administration- John Kumah

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The government has defended its borrowing over the years saying the monies are to settle debts incurred by the erstwhile Mahama administration.

According to government, borrowing in the covid era is being done by many countries across the world and it is only in Ghana that borrowing has been made a political matter.

He added that “it’s only Ghana that we are making borrowing in the covid era a political matter.”

Ghana’s current debt stock stands at over GHC300 billion, with the IMF warning the country to put measures in place to reduce the debts.

Mr Mahama during an economic forum organized by the opposition Monday, September 7 said the NPP must be voted out to protect the public purse.

“When I called for a change in government in 2024 as the first step towards halting this hemorrhage of badly needed resources through corruption and holding offending officials to account, our friends in government took offense but it remains the only viable way to save the public purse in the face of abundant evidence that nothing will be done about the situation,” Mr Mahama said.

In an interview, Finance minister John Kumah said “…if he talks about increases in borrowing, yes we have seen that but much of this borrowing went to address the debts he [John Mahama] left behind, the take or pay contracts he signed in the energy sector and the billions that we have paid. We spent about 25 billion cedis trying to save the banks.”

“So, if we have borrowed, we have borrowed because he plunged this country into a very difficult situation that we needed to redeem. And that we have done and have shown competence in the management of this country.”

Source: Ghana/Starrfm.com.gh/103.5fm
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