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The Promise made by the President Nana Akufo Addo at his last state of the nation’s address that customers of the collapsed service and loan companies would be has sparked controversy with sceptics wondering which money the government intends to use for the purpose.
President Akufo Addo promised that stranded customers will start receiving their locked funds 24th February, 2020.
The latest to raise flags is the former Finance Minister, Seth Terkper, who has queried how the government intends to come by the money when there is no provision for that expenditure in the 2020 budget.
Speaking to Accra based Joy FM today, Mr. Terkper pointed out that however the government intends to raise the money, it will take nothing short of magic to produce it as such payments would be extra-budgetary.
“Why is the provision for bailout cost zero in the 2020 budget? Where is the money going to come from? Outside the budget?” He asked.
Mr. Terkper’s question follows President Akufo-Addo’s assurance, during the presentation of the 2020 State of the Nation Address that all customers of collapsed savings and loans companies whose capital have been locked up will be paid before the end of 2020.
“…including customers of DKM which collapsed in 2015 will receive a 100 per cent of their deposits too once the validation exercise is concluded,” the President had said.
According to the President, a whopping GHC 5 billion has been allocated for the purpose.
It is not lost on observers that the government’s decision to pay the customers of these companies, which were private companies, is timed for a time close to the 2020 election in what is being viewed as a political gimmick.