Economist and Senior Fellow at IMANI Africa, Dr. Theo Acheampong says the two major political parties in the country, NPP and NDC are responsible for the consistent increase in the national debt.
Speaking to Samson Lardy Anyenini on Newsfile, Dr. Acheampong said both parties while in government have increased the debt-to-GDP ratio by an average of 32%.
"As far back as President John Evans Atta Mills, President Mahama and most recently President Akufo-Addo, the debt numbers have always increased and they have all on average added around 32% to the national debt.
"Right about 2007, the level of debt in the country has been growing astronomically, even far more than the revenue we are mobilising and far bigger than the GDP growth rate," he said.
The years 2011, 2017 are exemptions because the GDP growth rate in these years exceeded the public debt growth recorded in the country.
According to Dr. Acheampong, the controversial debate between the NPP and NDC on whether the country is categorized as HIPC or not is as a result of political campaigns ahead of the general election.
"Anytime one is in government and the other is in opposition, the issue of public debt and related matrix always become the issue for discussion.
"The reality has been that both parties actively use public debt as one of the political campaigning tools.
He, however, stated that Ghana has not attained the HIPC status, but is currently a highly indebted country which has high-interest payments and low revenue mobilisation.
Meanwhile, from the year 2009, external debt, domestic debt and interest payments have consistently increased over the years and are expected to be on the rise amidst high government expenditure during the Covid-19 pandemic.
Latest Stories
-
I was suspended in SHS after making a dance video with my uniform – Lisa Quama
15 mins -
GTA gears up for National Tourism Awards 2024
18 mins -
Prof. Gyampo criticises vacating of MP seats due to cross-carpeting
3 hours -
A critical examination of Speaker Alban Bagbin’s ruling on potential breaches of Article 97(1)(G) and (H)
4 hours -
Trump calls 6 January ‘day of love’ when asked about Capitol riot
4 hours -
UTAG calls for immediate prosecution of persons arrested for engaging in galamsey
4 hours -
Prof Ransford Gyampo: And Speaker Bagbin declared 4 seats vacant…
5 hours -
Secret Service has ‘deep flaws’ and must overhaul leadership, report says
5 hours -
Kenya’s deputy president sacked while in hospital
5 hours -
One Direction ‘devastated’ at Liam Payne’s death
5 hours -
Ghana’s debt to ease to 70% of GDP in 2024; another debt default unlikely – Fitch
6 hours -
Meta fires staff for buying toothpaste, not lunch
6 hours -
U-20 AFCON 2025Q: Afriyie’s brace earns Ghana draw against Benin
6 hours -
US ‘click to cancel’ rule to ban subscription traps
6 hours -
Speaker is completely out of order; he is wrong on this ruling – K.T Hammond
6 hours