Prof. Quartey calls for independent fiscal council, debt ceiling for stability

Professor Peter Quartey, Director of ISSER, has called for an independent fiscal responsibility council with real enforcement power and a legislated debt ceiling of 60% of GDP to ensure prudent economic management.

He warns that Ghana’s borrowing has been unsustainable, with funds mainly spent on recurrent expenditure and interest payments rather than productive investments.

Poor procurement practices and lack of competitive bidding have further weakened investment efficiency. While ECOWAS suggests a 70% debt-to-GDP ceiling, Quartey argues this is too high, as exceeding it could lead to debt restructuring.

He stresses the need for stricter fiscal discipline and an independent oversight body to prevent further economic vulnerabilities. His remarks were made during his inaugural lecture at the Ghana Academy of Arts and Sciences on the theme “Debt, Investment, and Growth in Ghana: Did We Borrow to Consume?”