Consider using bilateral partners to solve debt problems – Economist advises government
An economist and lecturer with the University of Ghana, Dr Adu Sarkodie has advised the government to consider bilateral partners when it commences restructuring works on the country’s debt.
Making his submission during a discussion on Citi TV on 28th September 2022, he said “Left to me alone, I think the first people we should deal with are the bilateral loans because it is quite easy”.
“They understand issues. That is why it was easy for us to get the HIPC [Highly Indebted Poor Country] relief because once you talk to them, these countries are likely to forgive our debt or give us a haircut or understand our situation.”
He anticipates that a good deal for Ghana and its bilateral partners will see the country solve 30% of its debt.
Dr Sarkodie expressed optimism about the International Monetary Fund backing Ghana despite the anticipation of mixed results.
“As a whole, I think the government will be able [to restructure our debts], especially with the backing of the IMF.”
He reiterated that there is an urgent need for Ghana to buy –into bilateral partners else trouble looms.
