Former Minister of Finance Seth Emmanuel Terkper says the previous government was on course to solving the banking crisis without the collapse of banks and the loss of jobs.
He said about GH¢250 million was paid to the banks with anticipated flow to refinance about 11 banks.
Mr Terkper insisted that the Mahama-led administration started a process to solve the crisis but unfortunately did not stay in power to see to the total solution of the crisis.
He was speaking on Monday, August 31 on 100 Degrees on Onua TV.
The clean-up of the banking sector, which began in 2017 and ended in 2019, led to the takeover of some indigenous banks by GCB Bank and the newly established Consolidated Bank-Ghana (CBG).
Mr Terkper blamed the inability of government at that time to solve the crisis immediately on programmes such as the Single Spine Pay Policy (SSPP).
“There is a reason why the banking sector was weak. Remember there was the Single Spine. It isn’t true that we didn’t do anything,” he told host Bright Kwasi Asempa.
He indicated the Energy Sector Levy Act (ESLA) was expected to generate about GH¢28 billion by 2022 to recapitalise the banks and amortise the country’s debt.
For him, the previous government did not leave a weak economy contrary to assertions by some elements in the current government.
He concludes that the current government has rather performed “below par”, way below expectations.
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