Togbe Afede XIV backs calls to exclude individual bondholders from Domestic Debt Exchange
The Agbogbomefia of the Asogli State, Togbe Afede XIV has supported calls of individual bondholders who are rallying for an exclusion from the Domestic Debt Exchange programme.
According to him, the Individual Bondholders Forum’s (IBF) proposal of some fiscal measures to help government save ¢83.5 billion is in the right direction.
The Individual Bondholders Forum (IBF) on January 26 proposed some fiscal measures it say can help government save ¢83.5 billion, insisting the Ministry of Finance must not touch their funds.
According to the group, government can save ¢20 billion from privatizing selected State Owned Enterprises to Tier-2 pension funds to drive efficiency and productivity.
“The measures proposed, per the estimation of the IBF yield net savings of ¢83.5 billion. The IBF holds the position that the recommendations are competent enough to urgently address the fiscal challenges and enable us to reach the desired 55% debt-to-GDP target proposed to the IMF”, a statement signed by Senyo Hosi, Convener of the IBF, and Samuel Arkhurst, Director at the Ministry of Finance said.
Togbe Afede XIV has backed this move expressing the belief that cutting costs to some expenditure projects will help save revenue for the economy.
“There is so much room, I believe, for cutting expenditure. And that is where I think we should be looking at first of all,” he explained.
He added his voice when the Individual Bondholders’ Forum led by convener, Senyo Hosi, petitioned him in his office on Thursday, January 26.
During the courtesy call, Senyo Hosi expressed that “Togbe the matter is an eye red matter and for someone who has led the capital market and being one of the players who birthed the capital market, besides your royal place as the Agbogbomefia of the Asogli State, you are a pioneer in this industry, I do not want to believe this is your voice and the destination you assured us when your voice was heard back then.
“So we are here to petition your office, to petition you as an individual and the state of Asogli not to sit by and watch the lives of 6.5 million people devastated and subjected to shackles of penury. So our plea here is very simple, the steps being taken by the government are unsustainable and very unnecessary,” Mr Hosi lamented.