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Bawumia attributes country’s financial crisis to Covid-19, Ukraine Russia war, and banking reforms.

The government has attributed the nation’s economic difficulties to the impact of the banking reforms, COVID-19, and the conflict between Ukraine and Russia.

Speaking on Wednesday, Vice President Dr. Mahamudu Bawumia noted that the country spent $7 billion on the banking reforms.

He claimed the money could have been used to boost the economy of the nation if the previous administration hadn’t been so careless.

“We had to undertake a major banking crisis reform. At that time, 2018/2019, it cost almost $7 billion in order to save the banking system. Now the choice that was available was that either you let the banking system collapse or you save there was really no middle way.

“So we had to save the banking system and the deposits of 4.6 million people [were safe],” he said.

On Tuesday in Accra, he was a speaker at the Internal Audit Conference for this year.

According to the Vice President, during Covid-19, the government prioritized saving lives over maintaining fiscal restraint in the nation.

This, he said, cost the country a great deal of money.

“We had the worst economic depression since the 1930s in the global economy. Of course from the President’s point of view at the time of Covid-19, the emphasis was on saving lives and not on fiscal discipline.

“So yes, we focused on saving lives at great fiscal cost,” he noted.

Dr. Bawumia went on to say that when the administration was planning to revive the economy, the Ukraine-Russia war broke out, which caused progress to be chalked up as a failure.

Dr. Bawumia told the populace that there is yet hope.

He claims that the Akufo-Addo government is dedicated to reviving the faltering economy.

He had high hopes that Ghana’s currency would strengthen and the economy would recover as a result of the numerous initiatives being put into place.

Disclaimer: The opinions expressed in this publication do not in anyway reflect the opinions of State News Ghana

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