Financial Sector risks massive layout- Ato Forson alleges
Following the ongoing debt restructuring by the government of Ghana, the Ranking Member of the Finance Committee of Parliament has alleged major shshake-upsn the financial sector and trickling down to to others.
Prosper Kwaku Selassy Agbitor 
Prior to Ghana's move to the International Monetary Fund(IMF) for a bailout, many predicted the impact will be hard felt on the economy. Financial sector will be one of the hard hit and expected to trickle down to other sectors. It is in the light of this, the Ranking Member on the Finance Committee of Parliament, Dr. Cassiel Ato Forson has indicated that there would be mass layoffs from the financial sector due to the impact of the ongoing debt restructuring.
In a Facebook post, the Ajumako lawmaker revealed that the expected layoffs would also affect foreign-financed projects among others.
He said the ongoing debt restructuring would freeze employment amidst poor business climate and massive austerity.
“Unemployment will worsen due to the freeze on employment, debt restructuring, poor business climate, and massive austerity,” Dr. Cassiel Ato Forson explained.
He also predicted that Ghana’s economy will record one of the worst non-oil GDP growths due to the impact of the debt restructuring and a plethora of extremely tough fiscal and monetary policies.
“The haircut on domestic bonds and Eurobond is expected to adversely impact the health of the banking sector, local businesses, and individuals! Also, Bilateral debt restructuring will lead to government’s foreign financed projects being abandoned,” he mentioned.
The MP further noted that the cedi, will inevitably depreciate further, from January to June before a possible IMF board approval in the Q2(second quarter) of 2023.
“Inflation is expected to be above 30% for the most part of 2023", he said. “Government’s gold for oil policy will not make any major impact on the price of petroleum products", he stressed.
