Now is the time to spend, and pay your debts – Analyst

Nelson Cudjoe Kuagbedzi, Head of Finance at Merban Capital, urges the Ghanaian government to settle its debts. He believes the current economic situation is a key opportunity for action.

His comments follow President John Dramani Mahama's recent projection. Mahama predicted that the Cedi would stabilize between GH¢10 and GH¢12 against the US dollar. He described this range as fair and sustainable for exporters and importers.

On June 5, 2025, Kuagbedzi spoke on the Citi Breakfast Show. He stated, “This is the time for the government to start paying its debt.” He emphasized uncertainty about future economic conditions.

Kuagbedzi noted that exchange rate stability now relies more on domestic policies than global factors. “The argument has shifted from external factors to internal ones,” he said.

He reflected on past discussions about the Cedi’s performance. When it appreciated, many attributed it to external issues like tariffs. Now, he argues that government initiatives are stabilizing the Cedi.

Meanwhile, Finance Minister Dr. Cassiel Ato Forson rejected claims about reduced government spending. On June 3, he addressed Parliament and defended fiscal discipline.

Dr. Forson assured that responsible spending continues under his leadership. “It is not true that the government is not spending,” he stated. He emphasized prudent spending practices moving forward.

The ideal value of the Cedi should remain between GH¢10 and GH¢12 against the US dollar.