Finance expert Michael Nii Yarboi Annan says the only reason Ghana has not collapsed yet is because its sovereignty as a state.
Unlike banks whose depositors and creditors can demand their funds when they lose trust in them, States according to Mr. Annan cannot suffer same fate, the reason Ghana is still a surviving state.
He told Captain Smart on Maakye Tuesday, March 27, 2023, that should Ghana’s creditors demand their interest from the state as would have been required to pay ordinarily, the country wouldn’t survive.
READ ALSO: IMF Boss begs G20 credi tors to speed up Ghana’s creditor committee formation
The only hope without any domestic approach to get out of the economic quagmire per the finance analyst’s opinion is the bailout from the Bretton Woods institution which he says may never arrive.
Speaking further, he said the 2023 Budget Statement and Economic Policy will become a useless document if the $3 billion fails to come.
“We should throw the 2023 budget into a dustbin if the IMF [money] doesn’t come. We are surviving because nobody is asking us to pay our interest. A sovereign country cannot be run on like a bank so if everyone was on us to pay our interest, this country would have collpased,” he maintained.
Mr. Yarboi Annan also said an immense catastrophe awaits the country if the IMF bailout fails, unless China makes a sacrificial effort.
“I don’t see it coming at all unless the Chinese enter into a chamber of mercy to see us through,” he reiterated.
Meanwhile, he suggested a way out should the funds fail to hit Ghana’s account considering the requirements and how things are faring.
READ ALSO: Minority foils government’s attempt to amend portions of Finance Committee’s report on $750m loan
He stated “the problem is solvable. Let’s return to prudence. If you want 100 billion, cut your budget below 100 billon. We won’t die if we cut the reckless spending, reduce salaries of civil servants at the higher enclave and stop all capital expenditures.”
By Felix Anim-Appau|Onuaonline.com
