Minority Accuses Govt of Borrowing GH¢7bn from T-Bills to Settle Contractors

The Minority faction in Parliament has leveled allegations against the government, asserting that it borrowed GH¢7 billion from the treasury bills market to remunerate contractors, a move undertaken outside of its designated budget allocations.

Expressing their concerns, the Minority argues that such actions, aimed at fulfilling political objectives, are intensifying the depreciation of the Cedi against the US dollar.

During a press briefing held on Wednesday, May 15, Dr. Cassiel Ato Forson, the Minority Leader, vehemently criticized the government’s spending habits and emphasized the necessity for stringent fiscal management.

He remarked, “The government appears to be on an unrestrained spending spree, displaying a disregard for fiscal prudence. It has recently disbursed approximately GH¢7 billion to contractors, funds which were not earmarked within the budget. These off-budget expenditures were financed by borrowing from the T-Bill market, effectively indebting ordinary Ghanaians. Furthermore, the contractors, apprehensive of economic stability, have resorted to converting their payments into US dollars, contributing to currency substitution dynamics.”