The recent affirmation of the Government of Ghana's issuer and senior unsecured rating at B3 and change in the country's economic outlook to stable from negative by international rating agency, Moody's, is, indeed, an upgrade worth celebrating by the managers of the economy, Economist Dr John Gatsi has said.
"The fact is that you were having a negative outlook, now it is positive, it's an improvement; that's all Ghanaians want and that is OK by me," the lecturer at the University of Cape Coast told Prince Minkah on the Executive Breakfast Show on Monday, 10 October in response to an assertion by the vice-presidential nominee of the main opposition New Patriotic Party (NPP), Dr Mahamudu Bawumia during the launch of the party's manifesto at the International Trade Fair Centre on Sunday, 9 October in Accra that Moody's has not upgraded Ghana's credit rating contrary to assertions by the Mahama administration to that effect.
According to Dr Gatsi, "[With] that kind of improvement … somebody can say it's an upgrade, but the most important thing is that some challenges still remain within the Ghanaian economy that all people who are in charge of managing the economy should pledge themselves the more to work harder to ensure that greater improvement is achieved, but as it is now, Moody's has actually indicated an improvement in the outlook of the Ghanaian economy and those who are managing the economy have the right to actually assign credit to themselves that they are doing well, but the fact remains that more needs to be done."
Pressed by Prince Minkah about whether it was really an upgrade, Dr Gatsi said: "Of course, if you are negative and you are moved to positive, have you not been upgraded in the scheme of things?"
According to Dr Bawumia's argument, Ghana's credit rating got downgraded to (B-) under President Mahama despite having oil revenue at his disposal, from (B) positive (without oil under the NPP). He said nothing had changed per the recent rating except the revised outlook, adding that: "In fact, international rating agencies like Moody's, Fitch, and Standard & Poor’s now have basically the same credit rating for Ghana."
"The recent revision of Ghana's outlook from (B-) negative to (B-) stable, that is the equivalent of B3," he explained, with the revision of the outlook from negative to stable, "has resulted in a misinterpretation by this NDC government and President Mahama that Ghana's credit rating has been upgraded".
He continued: "This is in fact not the case. Moody's did not upgrade Ghana. Ghana's rating under Moody's is still B-. It is only the outlook that has been revised and that is not equivalent to a change in rating or a rating upgrade."
"Sometimes, one wonders whether they don't read or they don't understand. So, let me give Mr President a free piece of advice: Mr President, please desist from embarrassing yourself by stating that Moody's has upgraded Ghana. Your economic management team should explain that difference to you.
"The Mo Ibrahim 2016 report on governance shows that on virtually all key development indicators such as safety, rule of law, human rights, economic opportunities, infrastructure, business environment, human development, health and public management, Ghana is worse off today than it was 10 years ago."
Mr Mahama recently said the review of Ghana's economic outlook from negative to stable is proof that "we're doing something right".
Source: classfmonline.com
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IS IT THE SAME DR GATSI WHOSE PHD CAME INTO QUESTION RECENTLY. ? IS HE NOT THE SAME MAN WHO IS MARRIED TO THE EASTERN REGIONAL MINISTER AMA FRIMPONG. ? THE MAN IS A DYE IN THE WOOL NDC MAN AND HE CONTRIBUTES TO DISCUSSIONS AS AN NDC MAN. B- POSITIVE OULOOK AND B- NEGATIVELY OUTLOOK IS THE SAME B-. WHEN YOU ARE MAKING ATTEMPTS TO PAY THE DEBTS THE MULTILATERAL DONORS OWE YOU, THEY BRAND YOU POSITIVE OUTLOOK TO MSKE IT EASIER THE EUROBOND TO PAY THEM, AFTER YOU HAVE PAID THEM THEY REVERT YOU TO NEGATIVE OUTLOOK.
DR GATSI WHO IS PAYING YOU TO DO THIS DISSERVICES TO MOTHER GHANA, YOU JUST ATTAINED YOUR DOCTORATE DEGREE, ALL GHANAIANS ARE WAITING WHEN YOU WILL PUBLISH AN ATICLE IN THE DAILIES. TRUTH IS ONE AND CAN NEVER BE CHANGED TO TWO. BUT IF ALL IS NOT WELL AND YOU CLAIM IT'S WELL NO WAHALA
Ndc people just lack basic understanding. The rating is B-. It is still B-. NO CHANGE. The outlook may be positive, but the rating is still B-. Bawumia is too clever.
BAWUMIAH HIMSELF IS ALREADY NEGATIVE SO HE IS IN THE NAGATIVE PAPRTY. SO IF HE IS IN DARKNESS, HOW IS HE SUPPOSE TO SEE CLEARLY. HE WILL SEE THE FLICK OF THE BEAM ALRIGHT, BUT HE WONT FIND HIS WAY INTO THE LIGHT. HIS ASSESSMENT OF THE MOODY REPORT IS ONLY UNDERSTOOD BY MEMBERS OF HIS NEGATIVE PARTY. OTHERWISE HOW WILL ANYONE THINK, THAT MOVING FROM NEGATIVE NUMBER TO A RELATIVELY POSITIVE IS NOT A LEAP FROM PHANTASY TO REALITY. WHAT KIND OF STATISTICIAN IS HE THEN. IF NOT MISCHIEF, THEN HE MAY THINK THAT THEIR COMMUNIST TACTICS WILL WORK THIS TIME ROUND.
dr i dont respect myself bawumia mr i know everything has guff big time i always say dat dr bawumia i suffering from insumia because he has use all his resources for politics as a young man and he finds it difficult to sleep over it i want to assure him dat he cannot become vice president on dis land da
If you are given ten mangoes and you eat 7 out of it. you are left with 3. when you go up the mango tree you can find only 2 ripe mangoes that you pluck to add to the 3. you now have 5. although you have increased the quantity it is still not up to the 10 you had before therefore it is still a loss. Now lets ask how did we get to the negative. was it always negative or it was positive before moving to negative and has now become stable