Sunday, 25 February

'I left Akufo-Addo 57% debt-to-GDP, 6.6% deficit, 15.5% inflation, 960k metric tonnes of cocoa but today's debt-to-GDP 100+%, deficit 15% & 54% inflation only now easing, as cocoa fell to 500k metric tonnes'

Politics
Former President John D. Mahama

Former President John Mahama has debunked repetitive claims by the Akufo-Addo government that he left behind a "messy" economy.

In a comparative analysis, however, the flagbearer of the main opposition National Democratic Congress has said President Akufo-Addo and the governing New Patriotic Party have rather destroyed the good economy he left for them.

Addressing the issue in Tamale, Northern Region during his 'Building Ghana Tour', Mr Mahama said: "Let me put this thing to rest once and for all". 

"They always talk about, 'the mess John Mahama left us', 'the exonomic mess he left us'. Let's just go down a comparison lane: when I left office, the debt-to-GDP was 57 per cent. Today, the debt-to-GDP is more than 100 per cent". 

"It means if you take all of Ghana’s GDP and you turn it into money, you use it to pay all our debt, and you'll still owe 3 per cent" he explained. 

"Our debt-to-GDP was 57 per cent, and the optimum debt-to-GDP for middle-income countries that is recommended by the IMF is 60 per cent. So, we were even under the recommended debt-to-GDP", Mr Mahama noted. 

Again, he contrasted, "When we left office, the budget deficit was 6.6 per cent. Today, the budget deficit even went to 15 per cent and has now started dropping". 

He continued: "When we left office, inflation was 15.5 per cent. Inflation under this government went to 54 per cent, and it's only now dropping. It's about 30 per cent."

"When we left office, cocoa production was 960,000 metric tonnes, and we went for a syndication loan of abou $1.8 billion, we brought $1.8 billion into this country". 

"Today, cocoa production is under 500,000 metric tonnes, and when they went for syndication, they got only $800 million at 8 per cent. We got $1.8 billion at 2 per cent", Mr Mahama noted.

Source: classfmonline.com