The pending debt operation by the Government is set to worsen the plight of the local private sector. While details have not been made known, Government’s unilateral offer to pay zero interest in 2023 and a suppressed interest of between 5 and 10 percent will further worsen the situation of the private sector.

A worst-case scenario is the contemplated compulsory extension of maturities on Government bonds and the haircut investors will have to take if they decide to cash out because they can’t wait that long. People have lost value on their investments and could potentially lose even more.

~ 13th Graduation Ceremony of the Accra Business School. 03/12/22.