A Senior Research Fellow at the Institute of Economic Research and Public Policy, Dr. Frank Bannor, has chided the Mahama government for running the economy with propaganda instead of pragmatic policies capable of addressing the challenges the economy faces.
In a letter addressed to the Finance Minister, Dr. Cassiel Ato Forson, the Development Economist has advised him to focus on policies and programs that would boost investor confidence.
“The markets will always expose you when you do propaganda with the economy. How can treasury bills sell between 15-20 percent when inflation is still high at 23%?” he asked.
“Monetary policy has just seen a spike of 28%! Mr Minister, which rational investor would invest in such useless instruments?!” he asked.
To ensure equilibrium, the Senior Research Fellow at IERPP implored the Finance Minister to take steps to, ‘as a matter of urgency, align treasury bills rates with the prevailing inflation rate and macroeconomic conditions’.
He warned that failure to do that would have severe consequences on the economy.
“Any failure to do so would have dire consequences on the economy” he cautioned.
He further advised the Finance Minister to pay more attention to measures that can affect the economy positively instead of rhetorics and propaganda.
About The Author
