Renowned US economist, Professor Steve Hanke, has criticized president Akufo-Addo’s continuous reliance on borrowing from international communities rather than implementing sustainable economic reforms to salvage the economy.
Taking to the X platform, he argued that such agreements only deepen Ghana’s debt burden and fail to address fundamental economic challenges.
“#SaveGhanaNow: Ghana recently secured a $2bn framework agreement with South Korea. Pres. Akufo-Addo passes Ghana’s BEGGING BOWL – ONCE AGAIN,” he wrote.
His comment comes after Ghana recently secured a significant boost for its developmental initiatives through the signing of a $2 billion framework arrangement with South Korea’s Economic Development Cooperation Fund (EDCF).
The agreement, formalized on the sidelines of the 2024 Korea-Africa Summit, is set to boost the implementation of Ghana’s key priority programs spanning various sectors such as infrastructure, agriculture, health, education, energy, roads and transport, as well as ICT over the next five years.
This milestone signing ceremony marks a reaffirmation of the enduring bilateral economic development partnership between the two nations.
The Minister for Finance, Dr. Mohammed Amin Adam, represented the government, while Mr. Cho Tae-yeol, the Foreign Minister for Korea, signed on behalf of the Government of the Republic of Korea.
The event was attended by Ghana’s Foreign Minister, Shirley Ayorkor Botchwey, alongside other dignitaries from both countries.
Meanwhile, on Friday, February 3, 2023, President Akufo-Addo urged Germany to play a facilitating role in encouraging China, an ad hoc member of the Paris Club, to support Ghana’s debt restructuring efforts.
During a meeting with the visiting German Finance Minister, Christian Lindner, at the Jubilee House in Accra, Akufo-Addo emphasized the importance of the Paris Club swiftly establishing a creditors committee, with the participation of other official creditors, to assist Ghana in its efforts to restore economic growth.
Mr Lindner, leading a delegation from Germany, engaged in bilateral discussions with President Akufo-Addo aimed at enhancing relations and economic cooperation between the two countries.
President Akufo-Addo expressed his government’s primary focus on concluding negotiations with the International Monetary Fund (IMF), particularly at the Board Level, and finalizing a deal with the Bretton Woods institution by mid-March of the same year.
#SaveGhanaNow: Ghana recently secured a $2bn framework agreement with South Korea.
— Steve Hanke (@steve_hanke) June 10, 2024
Pres. Akufo-Addo passes Ghana's BEGGING BOWL – ONCE AGAIN. pic.twitter.com/B5nRTXTpZN