A financial analyst, Samuel Ampah, has advised the government to raise money by using municipal and district bonds since our current economic state is not that prudent.
He said all government subventions should be cut so that these assemblies work efficiently for their revenue. In addition, the MMCEs and DCEs should be elected for them to be accountable to the masses.
Ghana could not sign on to the Eurobond because the rate is very high and doing so would have adverse effects on our already stretched economy, he explained.
He said there is the need to focus on the domestic market to generate revenue and as well prioritize its projects to avoid overspending.
He gave the advice on Atinka FM’s political show “Simpieso” Tuesday night during an interview with Kaakyire Ofori Ayim.
Mr. Ampah further disclosed that even though one surest way for government to raise funds is to raise money through bond, private credit facilities would be affected.
He added that inflation would go high and certain monetary policies of Bank of Ghana would be stretched, however, government has no choice since it needs money.
Speaking on Ghana’s Foreign Direct Investment (FDI), the economist remarked that investor confidence is dwindling simply because our macro-economic indicators like high interest rates, and inflation
As a result of this phenomenon foreign investors are looking elsewhere within the sub-region