Debt Stock Debacle

The country's debt stock is still a conundrum. The real position of Ghana's debt remains a subject of controversy as economists on one hand and spin doctors on the payroll of government disagree on the reality.

We wonder whether government is oblivious of the true situation of our debt or is just spinning the subject.

We have advisedly taken the higher figure of $27 billion because we are dealing with a government notorious for posting erroneous figures to achieve short term gains.

The dangling of a figure of $17 billion as the country's debt stock, for us suggests a government which is still on the track of spewing lies about the economy, having learnt nothing from history.

We recall with regrets the erroneous figures presented to a Brettonwood Institution for which we were penalized as a nation.

Very soon, whoever spins economic figures will be exposed, the fallouts from which are image-denting. It is surprising that the country's debt stock is being treated in a manner which has left many Ghanaians staring in bewilderment.

A couple of days ago the Institute of Economic Affairs (IEA) expressed concern about the country's dwindling economic status, pointing for instance, at the debt stock.

Dr. Mahamudu Bawumia, a frontline economist, had cause to question the integrity of the government-posted debt stock of $17 billion. We could not agree more with his position, considering the tendentious management of our debt stock by government spin doctors over the past years. The engagement of propagandists to deal with the delicate subject of fiscal matters is an indicator of the level of desperation of government.

When we live in denial of our real debt stock we would not be able to service our indebtedness and a country which finds itself in this situation will soon be rendered unworthy of further credit lines.

A country overwhelmed by debt such as we are beginning to see in the economic horizon, the servicing of which becomes almost impossible, is definitely teetering towards a failed state status. Whether we are headed for this direction or not is a subject worth exploring at this stage.

Why is it difficult for government to be sincere about this subject by coming out with the truth?

We do not expect the managers of our economy to drive us to this smelly status of a failed state which is why we are worried that disagreement exists about the stock of our debt. Our debt to GDP ratio – a major determinant of our economic health – is not heartwarming. We have been told by economists that the situation is not wholesome even as the spin doctors claim otherwise.

We have witnessed a continual diversion of money to unidentifiable projects at a time when we are worried about the rising level of debt. Painfully, government does not exhibit any sign of regrets.

It is indubitable that government has something to hide which is why the debt stock of a country such as ours is still a subject on the bosom of spin doctors.