Accra: Minister of Finance, Dr. Cassiel Ato Forson, has expressed concern over the allocation of borrowed public funds towards non-essential government expenditures. He emphasized that state-contracted loans should be utilized for projects that bring tangible benefits to the citizens of Ghana.
According to Ghana Web, Dr. Forson shared his disappointment during an interview on Citi FM, stating that upon assuming office, he discovered that some loans approved by Parliament had been misappropriated for expenditures like vehicle purchases, conferences, and foreign travel, instead of their intended developmental projects. He emphasized that government borrowing should be focused on productive investments that aid national development, rather than recurrent expenses that unduly burden taxpayers.
Dr. Forson reiterated the government's commitment to financing priority projects responsibly, cautioning against using borrowed funds for unnecessary expenditures. He highlighted that borrowing should never support activities such as consultancy services and overseas conferences, as these loans must eventually be repaid by the Ghanaian taxpayer. Comparing it to personal financial responsibility, Dr. Forson suggested that individuals would not typically borrow money for lavish lifestyles, and urged the government to exhibit similar discipline in managing public finances.
Additionally, Dr. Forson disclosed that the Ministry of Finance has enhanced its oversight role to prevent ministries, departments, and agencies from committing the government to debt without proper approval. He stated that the ministry is committed to safeguarding public finances by thoroughly scrutinizing borrowing decisions and ensuring that loans are strictly used for their intended developmental purposes.