- Government’s Borrowing from T-Bill Market Expected to Reach GH₵72bn by March 2025
- Concerns Raised Over Unsustainable Borrowing Practices
- Call for Shift to Long-Term Debt Management
Gideon Boako, the Member of Parliament for Tano North Constituency, has revealed that the government’s total borrowing from the Treasury bill market is expected to reach GH₵72 billion by March 7, 2025. Speaking in Parliament on Tuesday, March 4, during the debate on President Mahama’s State of the Nation Address (SONA), Dr. Boako expressed concern about the increasing reliance on short-term borrowing.
He pointed out that the growing dependence on T-bills could have significant economic repercussions.
“This level of borrowing from the T-bill market is unsustainable and raises serious concerns about the government’s fiscal management. We need to ask—how does the government plan to service this escalating debt without imposing further burdens on taxpayers?” he questioned.
Dr. Boako also noted that this borrowing trend was restricting private sector access to credit, leading to a crowding-out effect that could hinder economic growth. “When the government dominates the T-bill market, it limits the funds available for businesses to borrow at competitive rates. This will inevitably slow private sector growth and job creation,” he explained.
Dr. Boako, therefore, called on the government to adopt a more strategic approach to debt management.
“We cannot continue down this path. The government must reconsider its fiscal strategy and focus on securing long-term, lower-interest financing options. Over-reliance on short-term instruments like T-bills is not a sustainable way to manage an economy,” he concluded.
