Ghana’s borrowing spree would at least be controlled for now following a restriction placed on the West African country by the International Monetary Fund (IMF).
The once rising star of Africa, according to President John Dramani Mahama, can no longer borrow above a certain amount after the Bretton Woods Institution requested the country to submit its public debt management plan for study.
The situation, according to the President, is affecting major developmental projects tailored to improve the lives of the citizenry across the country.
In an interview on Twin City Radio on Monday, President Mahama said one of his priority projects as part of the transport sector expansion plan had been delayed due to the IMF restrictions.
“That has delayed the Western Railway line project. It was supposed to have been on the CBD but as you know there had been some problems with it and so we moved it to the Brazilian funding but the IMF clause came in. So we are looking at how we will be able to resolve it,” he noted.
Nonetheless, he said there have been some major works on the Sekondi-Takoradi-Kojokrom rail line to help facilitate the conveying of bauxite and manganese to the Takoradi Harbour.
“Once that line comes into operation, it will increase the revenue the railways gets to enable them meet their wage demands.”