Monah jabs Mahama over Eurobond comment

PNC General Secretary, Bernard Monah says he disagrees with the assertion by President John Mahama that the oversubscription of Ghana’s third Eurobond is an indication of investor confidence in the economy.

According to him, the development rather reflects a "fall in value of the Ghanaian brand".

Mr Mahama in an address at the 69TH UN General Assembly said investor confidence in the West African country is bouncing back as reflected in the oversubscription of its third floatation in the international market.

“Only this month, Ghana surprised even its most ardent critics when it launched its third Eurobond for an amount of $1 billion. This successful flotation represents a return of investor confidence in the prospects of the Ghanaian economy”, the ECOWAS Chair told the Assembly.

“This confidence is apparent in the recent rebound of our domestic currency the Cedi” the president stated.

But speaking to Radio Gold, Friday, Monah said the president’s claim cannot be true.

“I agree with the President on many of the things he said at the UN but I disagree when he says the oversubscription of the Eurobond means investor confidence in Ghana is rising.

“Indeed for me, the development rather shows that the Ghanaian economy has become cheaper for investors” he noted.