Minority MPs Scold Akufo-Addo For Criticizing Rating Agencies

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The Minority in Parliament has strongly criticized President Nana Addo Dankwa Akufo-Addo for his recent remarks attacking international rating agencies.

The Minority argues that his comments overlook the significance of rating agencies and their role in assessing a country’s financial status.

During the 30th-anniversary celebration of the African Export-Import Bank, President Akufo-Addo voiced his dissatisfaction with the actions of rating agencies, stating that their reckless downgrades have been detrimental to developing countries like Ghana.

He claimed that such actions have contributed to the current economic challenges faced by the nation.

President Akufo-Addo emphasized the profound impact of these ratings, stating, “Being the AU champion for African financial institutions and leading a country that recently faced one of the most difficult periods in its post-independent history, difficulties that were exacerbated by the reckless behavior of rating agencies, we were shut out of the capital market and turned a liquidity crisis into a solvency crisis.”

In response to the President’s comments, Isaac Adongo, Deputy Ranking Member on the Finance Committee of Parliament, criticized Akufo-Addo’s remarks as dishonest and misguided. Adongo asserted that ratings agencies form an integral part of the accepted global financial system.
He pointed out that in the past, when the rating agencies had assigned high ratings to Ghana, the country had successfully accessed the capital markets and secured significant investments as a result.

Adongo questioned the President’s inconsistency, stating, “You see the dishonesty when the rating agencies were rating us high, and we were going to the capital markets and showing them the rating of Ghana and collecting the $3 billion, were we in bed with them to deceive the investors? What have the rating agencies said that is not true?”

Adongo further emphasized that ratings are not a diplomatic maneuver and urged President Akufo-Addo to acknowledge the longstanding presence of rating agencies and their significance in the global financial system.
He highlighted that Akufo-Addo himself has previously benefitted from the ratings system.

The criticism from the Minority highlights a divide within Parliament regarding the President’s stance on rating agencies. As Ghana continues to navigate economic challenges, the role and impact of rating agencies remain subject to ongoing discussion and scrutiny.

As the nation moves forward, it remains to be seen whether President Akufo-Addo’s remarks will spark further debate and ultimately lead to a reevaluation of Ghana’s relationship with international rating agencies.