Kwaku Kwarteng, MP for Obuasi West and former chairman of Parliament’s Finance Committee, has criticized Ghana’s economic management, describing it as a Ponzi scheme due to decades of poor political and economic decisions by successive governments.
In a statement titled “To break the eight, we must first break the norm,” Mr. Kwarteng argued that the nation’s economic problems result from long-term mismanagement. He noted that Ghana has consistently overspent and borrowed heavily, leading to economic instability. “We borrow more, repay old debts, and fund current overspending, similar to a Ponzi scheme,” he explained.
Adding to the economic concerns, Finance Minister Dr. Mohammed Amin Adam revealed during the recent mid-year budget review that as of June 2024, Ghana’s public debt had reached GH¢742.0 billion (US$50.9 billion), equivalent to 70.6 percent of the country’s GDP. The debt comprises GH¢452.0 billion in external debt (60.9 percent) and GH¢290.0 billion in domestic debt (39.1 percent). The rise in debt, by 22.0 percent, is attributed to the cedi’s depreciation and continuous disbursements from creditors.
Mr. Kwarteng called on the New Patriotic Party (NPP) to offer visionary leadership to address these challenges. He emphasized the need for the party to acknowledge past failures and implement comprehensive reforms to tackle poor governance and economic mismanagement.
He also urged transparency in political spending and an overhaul of the corrupt public procurement system. The former Finance Committee Chair believes that if the NPP leads by example and commits to meaningful changes, they can gain public trust and break the eight-year electoral cycle.
