NPP has demonstrated prudent management of expenditure than NDC – DI’s Dr Frank Banor

The Director of Research at the Danquah Institute, Dr Frank Bannor, has said that the discourse surrounding Ghana’s debt profile from 2009 to 2023 is both multifaceted and pivotal.

He said the available facts show significant trends in Ghana’s debt trajectory, notably the substantial increase from $8.07 billion in 2008 to $29.2 billion by the close of 2016.

This stark rate of debt accumulation reveals that, on average, the National Democratic Congress (NDC) government added 32.75% to Ghana’s debt stock each year between 2009 and 2016.

In contrast, the trajectory under the NPP government, from 2017 to the present, has seen a far more modest addition to Ghana’s debt stock, averaging about10.68% annually.

This rate, he said significantly lower than the previous administration, suggests superior economic management by the NPP, even amidst global economic challenges.

“Furthermore, our discussion delved into fiscal deficits as a pivotal measure of government financial management.

Regrettably, Ghana grappled with prolonged repercussions from this fiscal imbalance, enduring consecutive years of doubledigit deficits from 2013 to 2014.

The persistent fiscal challenges ultimatelycompelled the government to seek assistance through an IMF extended creditprogram in 2015.

“In contrast, when assessing the NPP’s performance, it’s noteworthy that doubledigit deficits were rare occurrences, with only one instance recorded in 2020 amidthe global upheaval caused by the Covid-19 pandemic.

More so, the analysis delves into the use of borrowed funds by the  NPP government, making clear its expenditure trends from 2017 to 2023.