Mahama promises fiscal discipline in NDC's economic agenda

Accra, Ghana - Opposition leader, John Dramani Mahama has unveiled plans to revamp Ghana's debt management strategy, pledging greater transparency and fiscal discipline.

Addressing supporters in the Shai-Osudoku constituency, Mahama vowed to introduce sweeping reforms aimed at reining in excessive borrowing. A key component of this plan involves granting autonomy to the debt management department within the Finance Ministry.

This move would enable the department to operate independently, publishing quarterly reports on Ghana's debt-to-GDP ratio. Mahama believes this increased transparency will foster accountability and ensure responsible financial decision-making.

“There is no transparency in our debt management. The only time we hear how much we owe as Ghanaians is when the Minister of Finance is reading the budget and tells us what our debt-to-GDP is. NDC is going to change that," he said.

“We are going to make the debt management department of the Finance Ministry a separate autonomous department. It will be a Debt Management Authority and it will have a head who will be autonomous and he will publish every quarter what our debt-to-GDP numbers are.

“Aside from that, we will change parts of the Public Financial Management Act and put a clause there on how much money a Finance Minister can borrow. So, if we agree that we should not borrow more than 60% of GDP, then we will put it in the Public Financial Management Act so that no finance minister can come in future and borrow money as badly as he wants and leave a debt for the young people who are sitting here,” he stated.

Additionally, Mahama's proposed legislative amendments seek to impose stricter borrowing limits, curbing the Finance Minister's discretion. This measure aims to safeguard Ghana's economic stability and prevent future generations from shouldering an unsustainable debt burden.

Source: Lead News Online