Accra: The former Minister of Finance, Dr. Mohammed Amin Adam, has criticised the government's economic management, arguing that key fiscal and monetary objectives have not been achieved despite claims of macroeconomic stability.
According to Ghana Web, Dr. Amin Adam, speaking in Parliament, highlighted that the government had failed to meet crucial revenue mobilisation targets under the IMF-supported programme. He pointed out that the anticipated revenue to GDP target was significantly lowered to 13%, which the government did not achieve.
Dr. Amin Adam further questioned the government's assertions of economic stability, emphasizing that the decline in inflation has not led to reduced borrowing costs. He argued that true stability should result in decreased lending rates, which has not occurred. Despite inflation dropping to nearly 4%, the real lending rate has increased to over 10%, compared to 6.5% when inflation was at 23%. This discrepancy, he asserted, indicates that the claimed stability is not reflective of the reality experienced by businesses and individuals.
The former finance minister stressed that economic stability should be assessed by improvements in access to affordable credit and stronger fiscal outcomes, not just by headline indicators. He called on the government to prioritize achieving concrete economic benefits rather than relying on political narratives of economic recovery.