Former Finance Minister Mohammed Amin Adams has defended the economic decisions made during his tenure, arguing that, despite the challenges faced by Ghanaians, his government took necessary steps to stabilize the economy before leaving office.
In an interview on Good Evening Ghana with Paul Adom-Otchere, he clarified that the reduction in Treasury bill rates was not a result of any extraordinary measures taken by the current administration, but rather the natural result of policies his government had already implemented.
Amin Adam also addressed the delayed payments to government bondholders, acknowledging that while the two-year delay was regrettable, it was a necessary sacrifice to stabilize the economy.
He praised Ghanaians for their patience and financial sacrifices, saying, “We have to clap for those who sacrificed, because their efforts helped to save the economy.”
Regarding the payment of domestic bondholder coupons, he emphasized that his government had already made significant payments before leaving office.
He added that President Mahama’s recent directive to continue these payments was simply a continuation of the original schedule, not a new initiative, despite how it was presented.
On the issue of Treasury bills, Amin Adam explained that the current government’s rejection of certain bids was not part of a deliberate financial strategy but rather due to an excess of money in the system.
He speculated that non-resident investors were likely using domestic institutions to funnel funds into the market, which increased demand for Treasury bills and led to lower rates.
While he welcomed the decline in rates, he raised concerns about the long-term sustainability of this approach, asking, “What is the strategy?”
