People & Lifestyle

OPINION: The world must not sleep-walk into another debt crisis

Published

5 years ago

October 17, 2019

By Patricia Scotland, Commonwealth Secretary-General

Trade wars, protectionism, and nationalist rhetoric are combining to weave the possibility of a nightmare debt crisis that could be worse than any previously experienced. Global borrowing is now at the highest levels since the 1950s – and history suggests we should take this as a warning that a debt crisis could be looming.

Were one to materialise, it could inflict greater dislocation on international financial systems and national economic stability than ever previously witnessed, especially in this highly uncertain environment characterised by the trade war and regional disintegration.

This would be particularly tragic in view of the extraordinary global commitment to delivering Sustainable Development Goals, and as so many nations seem finally to be in earnest about tackling the causes and impact of the climate crisis.

The impact of a parallel crisis in global debt would derail this and could make much needed international cooperation on poverty and progress impossible. Governments would be diverted by the need to stabilise local economies devastated by unmanageable debt. Yet such a scenario can be averted.

Haunting memories of the economic chaos, poverty and suffering caused by previous debt crises are the reason that the finance ministers of Commonwealth are working together to prevent the needless recurrence of an avoidable crisis.

The breadth and inclusiveness of the Commonwealth mean that when our member countries meet, many perspectives are brought to the table. These can be shared to decisive effect when Commonwealth countries work together to ensure the voices and views of all are taken into account at forums such as the G20 and other international and regional gatherings.

It is no longer feasible for policies on debt, trade and other economic matters to be considered in isolation from the increasingly extensive impacts of climate change, which are becoming more frequent and more stark.

Small island states tend to be the most vulnerable to extreme weather and natural disasters, and also to have the least resilience or resources with which to recover from the damage to their infrastructures and economies.

With interest rates at historically low levels, borrowing becomes an attractive proposition yet heightens the concomitant risk of debt ballooning to levels which are unsustainable over the longer term. This raises the possibility that countries which have ‘borrowed their way out of trouble’ following a setback will eventually face very severe debt distress. Preventing such eventualities is a global challenge which requires collective and coordinated responses.

The Commonwealth is particularly and perhaps uniquely well-placed to ensure that the perspectives and needs of developing nations are fully considered in multilateral discussions on policy for tackling future debt crises. This is the purpose of our Commonwealth Finance Ministers Meeting taking place in Washington DC alongside the annual meetings of the World Bank and International Monetary Fund.

The ministers of our 53 diverse and widely distributed yet closely connected nations will this year examine proposals designed to improve debt transparency. They will consider ways in which debt contracts can be specially amended to provide relief during disasters. Such initiatives will be supported by collating the perspectives of ministers from developing countries so that their Commonwealth counterparts from countries with advanced economies can carry them forward for the attention of the G20.

The way to a stable and sustainable economic future is for developing and developed countries to work together inclusively on shaping the global debt rules which affect them all. So our Commonwealth approach is to focus on the roles of creditor and indebted countries.

There have been instances of hidden national debt burdens, and this places responsibility on creditors as well as debtors. In countries where fiscal regulation is weak, debt may be acquired or accumulated in ways which are not transparent, and very seriously to the detriment of citizens. Those who provide credit in such circumstances are also culpable, and they too must be scrutinised and be made to bear responsibility – particularly as those who suffer the most pain from unsustainable debt and carry the greatest burden at times of crisis tend to be the poor and marginalised – those least able to cope.

Among topics and actions being considered at our 2019 Commonwealth Finance Ministers meeting are:

Debt Relief – with an agreement to be sought for debt contracts with vulnerable countries to include provision for relief if a severe natural disaster strikes.
Transparency in debt through innovation – encouragement to use the Commonwealth Meridian debt management system which helps to improve the accuracy with which government debt is recorded.
Dialogue on debt – the relaunch of the Commonwealth debt management forum to encourage international dialogue on the consequences of over-indebtedness so that sounder debt policies are adopted in order to prevent crises.
Easier access to financing to reduce debt burdens – through mechanisms and facilities such as the Commonwealth Climate Finance Access Hub and Commonwealth Disaster Finance Portal which offer added capacity for developing countries to access to affordable debt financing.

By working together in such practical ways, and on programmes that draw together a broad and inclusive array of nations, crises can be averted. It is essential for there, to be honest, and open collaboration between creditors and debtors in a spirit of trust and goodwill. This the Commonwealth can offer, building on the depth of our connection and the basis of equality on which our family of nations comes together.

Rather than sleep-walking towards yet another debt crisis, and the misery such nightmare reality would bring, the Commonwealth can open up pathways toward horizons of hope, with rich and poor walking in harmony towards a fairer, more secure, more sustainable and more prosperous future in which all can share.

By Patricia Scotland, Commonwealth Secretary-General

People & Lifestyle

Ghana Welcomes Starlink: Revolutionizing Connectivity

Published

4 hours ago

April 27, 2024

Ameyaw Debrah

The National Communications Authority (NCA) in Ghana has recently approved the satellite broadband application of Starlink, a service by Elon Musk’s SpaceX, making Ghana the eighth African country to welcome this revolutionary internet service.

This development is set to challenge existing internet providers in the region, offering multi-gigabit speeds and lower latency through satellite technology.

Ghana to become eighth African country to approve Elon Musk's Starlink.
It is currently available in seven African countries: Mozambique, Eswatini, Zambia, Malawi, Kenya, Rwanda, and Nigeria. pic.twitter.com/OpJ0dI1WsW
— Clovis T (@clovist237) April 27, 2024

Users have expressed satisfaction with Starlink’s service, citing significant improvements in speed and reliability compared to traditional providers. The service is currently available in seven African countries: Mozambique, Eswatini, Zambia, Malawi, Kenya, Rwanda, and Nigeria.

Recently got Starlink, and so far better than any residential internet provider I’ve used in this country tbh
— remi (@alo_aderemi) April 27, 2024

This expansion is expected to foster healthy competition and better offers, breaking the monopoly enjoyed by some internet providers. As Starlink continues to expand, it promises to revolutionize network access and connectivity in Africa, providing a much-needed boost to internet access across the continent.

People & Lifestyle

#AOTY2023: King Promise vs. Stonebwoy

Published

5 hours ago

April 27, 2024

Ameyaw Debrah

The debate over King Promise’s candidacy for Artist of the Year has sparked a lively discussion among social media users, with arguments both for and against his potential win.

Those saying King Promise should rather win song of the year and not Artiste of the year cuz Patapaa too had one big song, did Patapaa do all this? Greg is winning this, forget the Stonebwoy shouts pic.twitter.com/ICfLI1nBaf
— Twilight (@the_marcoli_boy) April 27, 2024

Supporters highlight his sold-out shows in Asia and the impact of his music, while critics point to other artists like Stonebwoy and Black Sherif, questioning the fairness of the awards process.

You are telling me King Promise isn't Artiste of the Year? let's be serious 😂pic.twitter.com/k8KDiilWsP
— Twilight (@the_marcoli_boy) April 26, 2024
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The discussion showcases the diverse opinions and passion surrounding the music industry in Ghana and beyond, with users engaging in playful banter and humorous remarks while presenting their arguments.

Ur artist of the year our artist of the year my artist of the year their artist of the year @stonebwoy #StonebwoyForAOTY 🔥🔥🔥🔥all this history was made just last year December @GHMusicAwards pic.twitter.com/R0biHkhdEx
— Hernandez Gh✊🏾🔥 (@HernandezGh35) April 27, 2024

People & Lifestyle

‘Dubai in Accra’ set to thrill Ghanaians on Sunday, April 28

Published

20 hours ago

April 27, 2024

VJ Scaro

In the heart of Accra, excitement buzzes as the city eagerly anticipates the grand spectacle known as “Dubai in Accra,” set to take place this Sunday 28th April 2024 at the prestigious Stanbic Heights, Icon House Airport. (more…)

People & Lifestyle

Celebrating 25 Years: Otumfuo Osei Tutu II’s Reign

Published

1 day ago

April 26, 2024

Ameyaw Debrah

Celebrating 25 Years: Otumfuo Osei Tutu II's Reign

Today marks the 25th anniversary of Otumfuo Osei Tutu II’s reign as the Asantehene, the King of the Ashanti Kingdom.

Otumfuo Osei Tutu II: Celebrating 25 Years of Local and Global Impact.
Showing on @GTV_Ghana and streaming on all our social media platforms on Sunday, April 28, at 8:30PM.#Asanteman #OurCultureOurHeritage pic.twitter.com/g3u0Ql5q6i
— GTV Ghana (@GTV_Ghana) April 26, 2024

The celebrations, which began with spectacular fireworks witnessed by Otumfuo himself, will culminate in the Silver Jubilee anniversary on Akwasidaekese on June 12 at Dwabrem, Manhyia Palace.

This milestone is a testament to Otumfuo’s impactful leadership, dedication to the Asante people, and contributions to education and research as the Chancellor of KNUST.

❤️ @AkwaboahMusic meets The King of Ashanti Kingdom Otumfoc Osei Tutu II. pic.twitter.com/wdvlulV7Ez
— FELICIA OSEI (@Osei_Feliciaa) April 26, 2024

The event is being celebrated across Ghana, with well-wishes and congratulations pouring in from various quarters, highlighting the significance of this occasion for Asanteman and Ghana as a whole.

People & Lifestyle

Mr. Beast in Ghana: Surprising Visit Sparks Excitement

Published

1 day ago

April 26, 2024

Ameyaw Debrah

World-renowned YouTuber Mr. Beast, known for his philanthropic acts, has been spotted in Ghana, specifically in Accra and Tema, sparking excitement among locals.

Wow, Mr Beast is in Ghana! Look at how boys are gathering to take pictures with him. pic.twitter.com/46gawXYWnJ
— Big Kay🇬🇭 (@OfficialBigkay) April 26, 2024

His visit has led to discussions about his choice of Ghana over other African countries, with some suggesting that the country’s popularity as a tourist destination played a role.

MrBeast is in Ghana and no one is talking about it? Make I step out more times I go get new phone or car saf pic.twitter.com/AUP9CSoDoV
— Kofi Ntim (@NtimBarima) April 26, 2024
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Mr. Beast’s presence in Ghana is part of his global outreach, as he recently gifted a Ghanaian $25,000 as part of his X (Twitter) giveaway.

The YouTuber has been seen exploring the country and interacting with locals, with many expressing their desire to meet him and participate in his charitable endeavors.

People & Lifestyle

Stephen Appiah to contest John Dumelo and Lydia Alhassan in MP race for Ayawaso West Wuogon

Published

1 day ago

April 26, 2024

Ameyaw Debrah

Stephen Appiah to contest John Dumelo and Lydia Alhassan

Former Black Stars captain Stephen Appiah is set to enter the political fray by rubbing shoulders with notable personalities in the upcoming general elections.

The former Juventus midfielder is believed to be lacing his boots to face the likes of John Dumelo and the incumbent member of Parliament for the Ayawaso West Wuogon Constituency Lydia Alhassan.

While Dumelo and Alhassan represents the NDC and NPP respectively, Appiah is expected feature in the elections as an independent candidate.

This was revealed by the Spokesperson of the Ayew family Fiifi Tackie via X on Friday afternoon.

“Stephen Appiah to contest Ayawaso West Wuogon constituency as an independent Parliamentary candidate,” he wrote.

If Stephen Appiah affirms the reported news, he will be following in the footsteps of other renowned figures in Ghana football who have indulged in politics recently.

Earlier this year, all-time top scorer of the Black Stars Asamoah Gyan was appointed as the sub-committee chair of Youth and Sports in the campaign committee of Dr Bawumia, the flagbearer of the ruling New Patriotic Party.

In acceptance of the appointment, Gyan emphasised the need to share hos ideas garnered through experience in the game.

Anas took $100,000 to stop documentary release – Kwesi Nyantakyi
‘I have enough experience to contribute to sports – Asamoah Gyan reacts to political appointment
“I always ask myself, how do we create change if we don’t want to change? How do we spectate without being on the bench, and how do we score without being on the field?… All I know and will ever know, all I love and will ever love is SPORTS.” he stated.

Another figure in Ghana football who recently announced his intention to engage in partisan politics is Kwesi Nyantakyi, former Ghana Football Association (GFA).

The former football administrator showed up as one of the candidates to contest in the NPP primaries for the Ejisu constituency following the demise of incumbent John Kumah.

However, it didn’t pan out well for the former Wa All Stars owner as he lost disappointingly.

He garnered a paltry 35 votes after close to 1,081 delegates had cast their votes in the parliamentary primary of the New Patriotic Party (NPP) held in the Ejisu Constituency on April 13.