Abdul Kabiru Tiah Mahama, the Member of Parliament for Walewale, has questioned the government's fiscal management and its approach to borrowing from domestic markets, raising concerns over the sustainability of its financial policies.
Speaking on Metro TV's Good Morning Ghana monitored by MyNewsGH, Mahama noted discrepancies in the government's borrowing patterns and the rates at which it secures funds. "At this rate, every single day, the government borrows over a billion cedis.
Imagine how much they will have borrowed from the domestic market by the end of the year," he stated.
He pointed out a mismatch between the rates at which the government borrows and key economic indicators such as inflation and the monetary policy rate. "If your treasury bill rate is 19% and your inflation rate is 23%, which commercial bank will give you money when the value of your returns is far less than the price of goods and services?
