Ghana Debt: Minority Blocks $500 Million Loan Facilities And Vows To Reject More

• The Minority in parliament has vowed to block further loan agreements from the Akufo-Addo-led government
• The NDC MPs say Ghana's worsening debt situation has made them take that posture
• MP for Asuogyaman, Thomas Ampem Nyarko, made this known after the opposition MPs blocked two loan agreements

Members of the Minority caucus have served notice of their intention to block additional loan agreements from the Akufo-Addo-led government.

This comes after the NDC MPs blocked loan agreements to the tune of $500 million that were before the Finance Committee of the house for consideration.

Ghana's Debt: Minority Warns It Will Reject Future Loan Agreements From Akufo-Addo Government

The opposition MPs say their reason for blocking such agreements stems from Ghana's worsening debt situation.

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Speaking to the parliamentary press corps on Tuesday, November 22, 2022, MP for Asuogyaman, Thomas Ampem Nyarko, said they won't approve additional loan agreements.

"We have taken a very simple decision that looking at our debt situation we are unable to support further approvals for further loans because believe that if you are in a hole you don't continue to dig further," he said.

Ghana's Debt: Minority Calls On Government To Provide Clear Path On Taking Government Out Of Current Debt Situation

He, however, called on the embattled Minister of Finance to present a clear path to take the country out of the debt quagmire.

The current economic crisis has been attributed to the Akufo-Addo-led government's excessive borrowing, which has taken Ghana's total debt stock to GH¢450 billion in 2022 from GH¢120 billion in 2017.

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Ghana's Public Debt To GDP Is About 100%; It Is Simply Unsustainable – Ato Forson Sounds The Alarm Bells

Earlier, YEN.com.gh reported that the Ranking Member of Parliament's Finance Committee, Dr Cassiel Ato Forson, had sounded the alarm bells on the country's debt-to-GDP ratio.

According to him, Ghana's public debt is about 100% of its GDP, which makes it highly unsustainable and scary.

Sounding the alarm bells in a Twitter post on Monday, September 26, 2022, the Ajumako-Enyan-Essiam MP said the country's debt situation is simply unsustainable, making debt restructuring unavoidable.

Source: YEN.com.gh