Ghanaian economist Professor Stephen Adei has criticised former President John Mahama's announcement of his intention to renegotiate the International Monetary Fund (IMF) deal if he's re-elected.
Prof Adei expressed concerns that Mr Mahama's comments could undermine ongoing negotiations with external creditors.
In an interview with Reuters, Mr Mahama stated that he intends to renegotiate the terms of the IMF bailout and increase local ownership of future oil and mining projects if he wins the December election.
- Read also: Explainer: Can an IMF deal be renegotiated?
However, Prof Adei accused Mr Mahama of pandering to public sentiments without considering the detrimental effects such a decision could have on current agreements with external creditors and the broader economic implications for the country.
"During an election year, politicians will say anything they think will make people like them… what he is saying is of little relevance because the IMF – the money they are giving us is very little. The essence of the IMF is that its position influences what the bilateral and multilateral creditors will do.
"So if there is any negotiation, it is not with the IMF. It is going to the creditors – both bilateral and multilateral – to negotiate the money," Prof Adei explained.
He noted that the IMF is not responsible for the hardship in Ghana, stating, "The hardship was caused by the fact that we have literally become a bankrupt country."
According to Prof Adei, Mr Mahama should focus on addressing the existing debt crisis rather than renegotiating with the IMF.
"When he becomes president, he will inherit the debt crisis, and the solution is not renegotiating with the IMF," he added.
The former Board Chairman of the Ghana Revenue Authority (GRA) also cautioned Mr Mahama against jeopardising the deal, emphasising that if it is not signed, the country's problems would be compounded.
Latest Stories
-
Beating Messi’s Inter Miami to MLS Cup is feels amazing – Joseph Paintsil
38 seconds -
NDC administration will reverse all ‘last-minute’ gov’t employee promotions – Asiedu Nketiah
12 minutes -
Kudus sights ‘authority and kingship’ for elephant stool celebration
13 minutes -
We’ll embrace cutting-edge technologies to address emerging healthcare needs – Prof. Antwi-Kusi
46 minutes -
Nana Aba Anamoah, Cwesi Oteng to attend Philip Nai and Friends’ charity event
51 minutes -
Environmental protection officers receive training on how to tackle climate change
54 minutes -
CLOGSAG vows to resist partisan appointments in Civil, Local Government Service
2 hours -
Peasant Farmers Association welcomes Mahama’s move to rename Agric Ministry
2 hours -
NDC grateful to chiefs, people of Bono Region -Asiedu Nketia
2 hours -
Ban on smoking in public: FDA engages food service establishments on compliance
2 hours -
Mahama’s administration to consider opening Ghana’s Mission in Budapest
2 hours -
GEPA commits to building robust systems that empower MSMEs
2 hours -
Twifo Atti-Morkwa poultry farmers in distress due to high cost of feed
2 hours -
Central Region PURC assures residents of constant water, power supply during yuletide
2 hours -
Election victory not licence to misbehave – Police to youth
2 hours