Government spokesperson Felix Kwakye Ofosu has assured Ghanaians that the government remains firmly committed to maintaining fiscal discipline even as it resumes borrowing from the domestic market to support economic recovery and meet critical financing needs.
According to Mr. Kwakye Ofosu, the decision to return to domestic borrowing is part of a carefully managed strategy aimed at sustaining government operations while ensuring that the country’s fiscal consolidation efforts remain on track. He explained that the move should not be interpreted as a reversal of the government’s commitment to prudent financial management.
Speaking on the issue, Mr. Kwakye Ofosu emphasized that the administration is determined to avoid the excessive and unsustainable borrowing practices that contributed to Ghana’s recent economic difficulties. He noted that government borrowing going forward will be guided by strict fiscal controls and clear economic priorities.
“The government remains committed to fiscal discipline,” he stated, adding that any domestic borrowing undertaken will be done responsibly and within clearly defined limits.
Mr. Kwakye Ofosu said the government is mindful of the impact that excessive borrowing can have on inflation, interest rates, and the private sector’s ability to access credit. As such, authorities will ensure that borrowing decisions do not undermine broader economic stability.
He also highlighted that the government is pursuing a broader strategy to strengthen public finances, which includes improving domestic revenue mobilisation, reducing wasteful expenditure, and enhancing transparency in the management of public funds.
According to him, these measures are part of ongoing reforms designed to restore confidence in Ghana’s economy and put the country on a path of sustainable growth.
Mr. Kwakye Ofosu further stressed that the government is working closely with key economic stakeholders to ensure that the domestic borrowing programme does not crowd out private sector investment, which is essential for job creation and economic expansion.
He reiterated that Ghana’s economic recovery agenda requires a careful balance between raising necessary funds for development and maintaining strict fiscal discipline.
The government spokesperson expressed confidence that with prudent management and responsible economic policies, Ghana will be able to stabilise its finances, rebuild investor confidence, and create a more resilient economy in the years ahead.
