Government has run out of ideas on how to run economy – Alex Mould

A former Chief Executive Officer of the Ghana National Petroleum Corporation (GNPC), Alex Mould, has stated that the government has run out of ideas on how to run the affairs of the economy. According to him, the country’s situation might get worse even as the year progresses. According to the myjoyonline.com report, Alex Mould, "The government is in a pickle and I think they have run out of ideas and I think they really need help.” According to him, reducing government expenditure and investing in key sectors of the economy would be beneficial to the growth of the economy. “They (government) should have cut their expenditure, especially on discretionary spending, their landmark policy programmes that do not add anything to our GDP, they should have looked at the sectors that we should have invested in (agriculture) so that we do not have the kind of inflation we are having now,” he is quoted by myjoyonline.com. On debt restructuring indications, the former GNPC boss opined that this would affect businesses and cause further contractions in the banking sector. ” Any government that does a haircut to individuals will stifle savings. If you stifle savings, people are not going to put their monies in banks and that’s going to have a ripple effect on the economy, because the banks are the intermediaries for loans to these companies that need working capital and if there are no funds, these companies are going to also fold up, there’s going to be job losses,” he cautioned. Watch the latest episode of BizTech below: SSD/BOG