If you want our assistance, reduce your budget. Ambassador of Germany to Ghana.
Daniel Krull, the German Ambassador to Ghana, has advised the Akufo-Addo administration to cut its spending and shrink the size of government if it truly needs Germany to persuade China and the international community to agree to a debt relief package.
In the last month, Ghana has been pleading with Germany to persuade China to agree to a creditors meeting to agree on a debt relief package for the country.
Mr Krull told the press on Friday that it is strange for Ghana to be pleading with the international community for assistance while maintaining a government larger than that of Germany.
"I only can compare with other countries like my own and I can just come to the conclusion that the number is much higher than in my country. As a result, I might conclude that there is room for improvement."
"Of course, it depends on the type of expenditures you're considering... I'm convinced this is true for if I look at the budget of the German Foreign Ministry of the German government, I'm convinced there are important tasks that can be cut without hurting economic development. And I'm convinced, without going into specifics, that this is also true for Ghana. Certain expenditures can be significantly reduced while still having a significant impact, and they must be included.
"I mean, I can't go to the international community and say I need help, but I'm not willing to cut my own budget expenditures. I must be careful not to cut social spending that is destroying lives and families. I must exercise extreme caution in order to avoid taking actions that could harm economic growth.
"But I'm convinced there are many expenditures that could be carefully examined and significantly reduced," he said.
Mr Krull also warned that if China does not agree to a debt relief package, the $3 billion bailout sought from the International Monetary Fund may not be approved.
He stated that China has so far rejected attempts by Ghanaian officials to persuade them to commit to the formation of a creditors' committee in order to reach an agreement on a debt package.
"We are ready to take our part when others are ready to do that, so all major creditors must be ready to help Ghana. China is the big elephant in the room. China is Ghana's largest creditor, and so far [China] is opposed to the formation of a creditors' committee, where creditors will sit down and agree on an aid package for Ghana."
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