Ghana facing restricted access to external markets for financing – Terkper

0
202

Seth Terkper, former Finance Minister Seth Terkper, former Finance Minister

Ghana, Nigeria and Ivory Coast register highest public debts in West Africa

Investors exit Ghana’s bonds on international capital market

Seth Terkper calls for pragmatic measures to keep interest rates favourable

Former minister of Finance, Seth Terkper has expressed concern that Ghana is at the moment facing restricted access to external markets for financing, a Joy Business report has said.

According to him, this is attributed to the current of level public debt which remains high, risk of debt distress amongst other factors.

Giving his view on the ongoing debate between the Bank of Ghana and Investment banker and Chief, Togbe Afede XIV with regard to increasing interest rates, Seth Terkper believes it will be difficult for the country to raise enough funds at a much suitable interest rate.

“Ghana is facing restricted access to external markets, given current level of public debt, risk of debt distress and ratings agencies’ downgrades. Hence, the question is whether the limited domestic market can accommodate most of this financing without private sector “crowding” and, yes, higher interest rates,” Seth Terkper is quoted have said according to Joy Business.

The former finance minister under the erstwhile Mahama administration called for pragmatic measures to be set in order to keep interest rates favourable especially for the private sector and businesses.

Meanwhile, government has earlier expressed concern over ‘heightened sell-off’ of Ghana’s bonds and exit by some investors on the international market.