Features
Any justificationfor Ghana’s rising public debt?
One of the countries in the world that owes a lot in terms of public debt is the United States of America which is about the richest and the most powerful country occupying the surface of the earth.
Even though the United States owes a huge debt to many countries in the world, it cannot be said that it is threatening the existence of its citizens because it uses the money in a manner that helps to cater for the interest of the American people. In other words, as long as a country that owes huge public debt is able to invest its resources wisely and undertake productive ventures with the money borrowed, it will go a long way to solidify the lifestyle and standard of living of its people.
It is only when money that should be well invested is wasted that we can say the future will become bleak for the country concerned. If money is borrowed in huge quantities but utilised to undertake tremendous development projects which go to enhance the productive capacity of the economy, it will not be seen as waste, but a form of investment that will ultimately influence the country’s direction of growth in a positive manner.
Developmental government programmes
If this is the case, then we need to be careful about how we crucify certain governments for going in for money for developmental purposes. If a country, like Ghana, borrows so much money without a corresponding record of investment, then people must begin to show concern about this trend. But, if on the other hand, what is borrowed, even if high, is used to undertake programmes that will be in the interest of the country, then we need not be worried over such a situation.
Due to the over-politicisation of issues in this country, matters concerning borrowing have always been overstretched beyond reasonable limits of analysis such that sometimes, we wonder whether to sit and fold our arms while we could have gone in to borrow money to stimulate growth in certain parts of the economy. There is no doubt that we need to be careful about borrowing but if it is used to resuscitate and strengthen the economy for a more positive productive growth, we need to embrace it.
Free SHS and TVET
If more debts are contracted to add to our total debt stock but there is no basis for such a development, then we all have to show concern about it, but if the debt stock is going up because of investment in areas such as road construction, strengthening of the health sector, building of educational infrastructure, especially the free SHS and TVET, then we need to put aside all jokes and analyse issues in the right way so that we would all come to the right and acceptable conclusion.
Current debate
A current debate ongoing among certain individuals and groups of people in the country is the rising public debt which has hit a high level of GH¢286.9 billion. This figure appears to be very high but did not come out by chance. Rather, it is the result of a combination of factors which have brought about this huge public debt.
A number of reasons can account for rising public debt. One such factor is that if in the past things were not managed well, the result will be a rapid rise in the debts facing the nation. Debts may be accrued in form of investment or rapid construction of infrastructure to facilitate socio-economic development.
When this happens, the development that has taken place can help to generate extra incomes which in turn may cover the debts previously incurred. On the other hand, if previous accumulated debts are not put to good use in form of investment the result will be escalating the level of public debt. Again, some of the debts came about as a result of judgement debts and unreasonable interest rates incurred in connection with some deals connected with some of the power agreements contracted in the past.
Current public debt
Ghana’s current debt of GH¢286.9 billion represents 74.4 per cent of the country’s gross domestic product. On the face of it the debt looks too high but did it just rise like that? Certainly, no.
Available records show that the country’s public debt more than tripled between 2012 and 2016. It will, therefore, stand to reason that the numerous debts that were incurred between 2012 and 2016 could not be invested well as a result of which the public debt level kept getting higher and higher.
In a way, this unfavourable economic situation greatly impacted on the lifestyle of the people in the country and this together with non-availability of adequate electricity made economic life unbearable, hence the massive votes against the then NDC led government in December ,2016.
Surviving economically
The people in this country must continue to survive economically and live well. For this reason, the Akufo-Addo administration has negotiated for more loans to help construct more roads and other forms of infrastructure in form of schools, hospitals and other development projects.
The implementation of the free secondary school system which is good for the country has also affected the debt stock of the country. The free SHS, free Technical schools and free Vocational schools have led to the accumulation of some billions of Ghana Cedis.
Some of these covered water and electricity extension projects in various parts of the country. For example, for the first time Tamale in the Northern Region can now boast of a beautiful interchange. Such interchange projects have been duplicated in places such as Tema, Obetsebi-Lamptey Circle in Accra and Nsawam area.
COVID-19 pandemic
Just as things were moving on well under the Akufo-Addo administration, the pandemic known as COVID-19 hit the world including Ghana, throwing out of gear all infrastructure programmes that had been planned for the country.
The COVID-19 further affected the revenue base of the country and increased expenditures to further higher levels. This is what has led to the debt to GDP ratio of 74.4 per cent as of November 2020.
These and many other challenges have contributed to the economic problems facing the country. For many countries in the world, including France, Britain, USA, Germany and others, economic conditions have not been easy. What this means is that things are not easy. Thus, the situation calls for prudent economic management and implementation of programmes.
In spite of all these, Ghana as a country has done well in managing its economy, especially in the light of the COVID-19 pandemic which has led to the collapse of many economic and business activities in the country. Small businesses for example are being supported by the National Board for Small Scale Industries (NBSSI).
Mobilisation of resources to carry out development projects in the country has not been easy but with great determination and commitment, irrespective of the challenges, the Akufo-Addo administration is likely to make it to the admiration of all Ghanaians.
Dr. Kofi Amponsah-Bediako
Features
The Prophet part 2
“I can see in the spirit, that some of you have been trading for years without seeing any meaningful profits, some young women have been disappointed by men who have either abandoned them and left for foreign lands and forgotten about them, or stopped sending money for the upkeep of their wives and children.
I can see young men who are desperate for visas to travel abroad but have either been duped by visa contractors or refused at the embassies. From tomorrow, I assure you, the visas will be given.
Young women, I have news for you. You will receive telephone calls, and you will hear very good news. Handsome young men with money in their pockets will come and marry you, and take care of you. Traders, you will get big business and big profits from today. From today, you will see that I am a true prophet who has come to deliver you.”
Shouts of “Amen,” “thank you Prophet” and “I receive it” greeted his sermon. After a final prayer, he asked the congregation to come early the following day, and bring others, because there would be many testimonies.
There would also be “special anointing” for great miracles. Although he did not ask for an offering, most of the people came and dropped notes, and coins at the “pulpit.” When they left, Antobam counted the money.
“GH¢900!” he almost shouted, ‘and I did not even ask for an offering. This is fantabulous!’ Going to the Nana Kofi Broni shrine, he told himself, was a very wise move.
He started making plans……He had to choose a few assistants who would carry out his orders……. He had to hire some chairs as soon as possible……He had to find a suitable piece of land and, if possible, build his own church……. He had to start looking for a nice car, befitting the status of a popular preacher …… And, most importantly, he had to select two, three or four nice, young women to take care of his needs, apart from the servants who would cook, wash, iron and do other errands for him.
Abruptly, he told himself, this hungry, scruffy Kukurantumi boy was being transformed into a man of power and money, with some of the most beautiful women in town at his beck and call. Wow!
After a shower and supper, he shut the door to the very small room that served as his bedroom and dropped on the bed. Almost immediately, the shrill sounds, like whispers, began.
This time he did not express any fears. He realised to his great surprise that even though the sounds were not in the form of any language, he could understand them.
Tomorrow there will be testimonies……they will give money……. some rich people are being prepared …….they will bring big money ………. we will give them what they want, and they will bring money ……. big money …….big, big money……the women will also come, a number of them. ‘
He went to sleep smiling and whispering to himself, ‘big, big money, and women!’
He woke up at 5 and took a shower. After a breakfast of tea and several slices of bread he set off. On reaching the venue he saw to his great surprise that the place was full.
Very full, and quite a number of people rushed to embrace him and give him the wonderful news. The excited people narrated the testimonies about big sales, telephone calls from relatives directing them to go to Western Union, and impotent husbands who had miraculously rediscovered their magic powers.
He was truly glad that Nana Kofi Broni’s magic had already started working, but most of his attention was focused on the ladies in the congregation. He noticed to his great delight that some of them were really nice. I must start making my selection, he told himself. Today!
“Give a mighty clap offering to the great, mighty one for his wonders among us!” he started, and the response was very big.
“I said yesterday that you were going to see signs and wonders, and I am very happy that my word has been fulfilled. Even though we have taken allowed one hour for testimonies, many more of you would like to testify.
Tomorrow, I promise you that there will be ample time. I will only preach a short sermon. The rest of the time will be taken up by consultations, after which I will give directions on what to do to ensure that you defeat your enemies, secure your marriage and, most importantly, continue increasing your profits in your business.” His sermon was interspersed with ecstatic shouts of “Amen,” “it is true,” “God bless you” and “I receive it.”
His final word was emphatic; “Big miracles are coming your way. Keep attending church, and don’t forget to give thanks to God.”
By Ekow de Heer
Features
Full Gospel Businessmen Fellowship launches project to transform young lives
The Full Gospel Businessmen’s Fellowship International (FGBMFI) Ghana has launched the Senior High Schools and Colleges Project (SCP) aimed at empowering and transforming the lives of young people.
Speaking at the launch, Professor Mike Ocquaye, the former Speaker of Parliament, emphasised the need to catch them young and train them as the current times were challenging.
He lauded the project, calling on all to support it, saying “In fact, it’s very important to catch them young, train them, lead them, guide them, and mentor them because the times are indeed rough,” Prof. Ocquaye said.
Mr Ekow Egyir Dadson, the Director, Schools and Colleges Directorate, stated that since its inception in 2018, the SCP had reached over 70 educational institutions with countless testimonies of transformation.
“We began with the Presbyterian Boys Secondary School (PRESEC) Legon, and now in 2024, we have visited 74 schools and impacted the lives of over 100,000 students, some of whom were personally mentored and now have graduated from the universities.”
He explained that the SCP, a vision by FGBMFI Ghana, was a bold outreach programme designed to call young people to Christ, train and equip them for the future.
He cited testimony-sharing, mentorship, career guidance, entrepreneurship and counseling as some of the unique approaches to be used in reaching out to the targeted students.
Mr Emmanuel Baba Mahama, the National President of the FGBMFI Ghana, launched the SCP Manual, which would help the FGBMFI Zonal Family Chapters across Ghana in order to adopt schools and colleges within their catchment areas.
The Schools and Colleges project is making a great impact; we have had first-hand testimonies from school heads, teachers, and students (mentees) about the SCP. This project has come to stay, Mr Baba Mahama assured.
He, therefore, called for more volunteers and partners to help the SCP shape the next generation of leaders and citizens.
Findings by the FGBMFI revealed that Ghana’s senior high schools, colleges, and university students face growing challenges like addictions, indiscipline, poor academic performance, pornography, homosexuality, broken homes, and a lack of godly guidance.
That had been a concern to many parents and society, “but the FGBMFI believes there is hope to rescue and restore these young students,” Mr Mahama said. –GNA
