Former Finance Minister Dr. Mohammed Amin Adam has stated that history will favourably assess the Akufo-Addo administration’s fiscal management, particularly its approach to debt sustainability.
He dismissed attempts by the new government to downplay the NPP’s financial achievements, warning that misrepresenting fiscal data could harm Ghana’s international credibility.
Speaking at a Minority conference in Parliament on Thursday regarding the 2025 budget, Dr. Amin Adam contrasted the NPP’s debt management record (2017-2024) with the previous NDC government’s borrowing trends.
Fiscal prudence
He stressed that Ghana’s public debt surged from $8.07 billion in 2008 to $29.2 billion by 2016—a 261.83% increase—averaging an annual debt growth of 32.75% under the Mahama-led administration.
In contrast, he noted that under the NPP, Ghana’s debt grew from $29.2 billion in 2016 to $52.3 billion by the end of 2023, before reducing to $49.3 billion after the successful implementation of a debt restructuring program.
This represented a significantly lower increase of 68.83% over the period, with an average annual debt growth of 8.6%.
“This data alone proves the superior economic management under the NPP,” he emphasized.
Dr. Amin Adam also criticized the high-interest Eurobonds issued under the first Mahama government, citing a 10.75% coupon rate on a 2015 Eurobond—one of the highest among African nations between 2007 and 2020.
He explained that the NPP government successfully refinanced multiple loan agreements and repaid two of the four Eurobonds issued by the NDC in 2013 and 2016, significantly reducing Ghana’s debt burden.
He stressed that despite global economic challenges the Akufo-Addo-led administration managed to bring Ghana’s Debt-to-GDP ratio down to 61.8% by 2024, a notable reduction from the 73% recorded in 2016 under the NDC.
“This was not by accident; it was due to skilled negotiations and a well-executed debt strategy,” he asserted.
The former Minister cautioned against distorting Ghana’s financial data to international institutions like the IMF as this could have severe consequences.
“If we continue down this path, Ghana, not just its politicians, will be the ultimate loser,” he warned, urging the government to be transparent about the economic progress achieved under the NPP.
By Osumanu Al-Hassan/thenewsbulletin24.com