A Deputy Minister of Finance, John Kumah has refuted claims by former President John Dramani Mahama that the Ghanaian economy is in crisis.
To him, the economy is performing better than when former President Mahama led the country in 2012, expressing surprise that the country’s economy is in crisis.
He said the economy has rebounded while in the second quarter of the year, there is over 8 percent growth.
Mr. Kumah insists the Akufo-Addo led government is doing its best with lost of interventions to cushion the citizens.
The comments come on the back of the economic forum organized by the NDC on Monday. The forum addressed by former President John Mahama and former Finance Minister Seth Terkper criticised the handling of the economy under President Akufo-Addo.
Mr. Mahama said the NPP government must accept that the mismanagement of the economy and the desire to spend beyond the means of the government in order to win elections has plunged the country into the current crisis.
“Yes, COVID-19 affected the economy, and no one can dispute that. It is however not the main reason why we are in the current hole we find ourselves. COVID19 only became a pretext for reckless election-related spending, which produced the largest-ever budget deficit in the recent economic history of Ghana last year.”
Speaking on Joy FM, the Deputy Finance Minister criticized Mr. Mahama for saddling the country with a double digit inflation during his tenure.
“In terms of inflation they left it at 15.5 per recent, it’s now a single digit of 7.5 percent, we have a able exchange rate, government is recruiting in all the agencies and creating jobs for all young people.”
Touching on the sloganeering claim, Mr. Kumah stated that Ghanaians in Mahama’s time heard about Woyome, Isofoton and all those things.
Under president Akufo-Addo, the Deputy Finance Minister noted “we have slogans but these are deliverable slogans 1D1F, the president at the moment is touring the entire country, factories are being opened everywhere, every district he goes he is commissioning a rice factory, rubber factor whatever factory there is in the district.”
He added: “We spoke about free education, Ghanaians are enjoying free education across the country, we spoke about creating jobs through NABCO, Ghanaians can attest to that.”
Admitting that it is not all rosy for the economy Mr. Kumah stressed “we are not in crisis as he wants to put it. In a COVID economy like Ghana every country across the world spends beyond its limits…”
In 2020 we all know that we had a shortfall in revenue of about 11 billion and we had to spend extra 13 bullion giving the deficit of about 25 billion that we have to raise in revenue so clearly, 2020 was exceptional, it’s not just for Ghana.
“Even if Ghana has borrowed, we are not seeing the impact of excess borrowing because of the prudent management of the economy…” he said.