Bank of Ghana not printing new notes – John Kumah insists

A deputy Finance Minister, Dr. John Kumah insists the Bank of Ghana’s capital support to government does not amount to the printing of money.

The Bank of Ghana, after its Monetary Policy Committee emergency meeting, resolved to cap overdrafts to government as a result of the absence of access to international capital.

The Minority in Parliament, however, believes the move, which is without legislative approval, is a form of printing money.

But the Deputy Minister, in an interview on Eyewitness News, described the claims as unfounded.

“The minority does not understand the entire transaction, so their conclusion cannot be right. There is no fiscal dominance in this arrangement. If the Bank of Ghana gives out a loan to government to be paid within a period, I don’t see any fiscal dominance here.”

“Bank overdraft is a normal transaction that happens in every economy. It is different from printing and pushing money into the economy. These are two different things. The Minority’s premise and conclusions are wrong. I do not think we need to give this any attention.”