₦airaland Forum

I only use repetition as pedagogical aid when dealing with stubborn Ghanians. You need to almost sing a song for them to get it. If they admit that Ghana economic ship has hit an iceberg - we could move on to discussing how it can emerge from there.

But these Ghanians - very stubborn dunderheads.

We can have some feel good comparison but I dont think we will get much value of ; criticism as long as it's constructive is best way to learn

IGpro1:
you're clearly not comparing but criticising.
Why are you about the Ghana Economy like it's your daily hustle.

The beauty of this thread is the pics and not some ' comparison '

Ruto already the most influential twitter africa leader....a brilliant workhorse....things are starting to get done in kenya at very fast rate.

Everday Ruto is up by 4am - some event start before even 7 am - and works till late.

Kenya has just entered a stage of RAPID DEVELOPMENT with leader to match it's ambition

Give it to President William Ruto. As others are idling and busy talking at #Kamukunji, he is on his fourth major event of the day - and still counting - for the early riser and workaholic. He is set to launch the first phase of Nairobi Railway City shortly

Ruto now ground braking of Railway City - Phase 1. Funded by UK for nearly 300m dollars.

Nairobi will finally get a railway station it's deserves

Phase 1

https://www.youtube.com/watch?v=Y5vqRrU4WO8

The rest

https://www.youtube.com/watch?v=935Y-PMNlQ8

Another Affordable Housing in nairobi metro - The launch of more than 5,000 housing units in Mavoko Constituency confirms the Government’s strategic focus on expanding access to quality, spacious, clean, safe and secure dwelling places at affordable cost in our country.

Ruto is racing to build two million affordable housing units in 5yrs;

This one alone would dwarf Ghana Central Business district

Nonsense. Just allow MTN and other telcomes to roll out mobile money. Enaira wont help

GeneralDae:
Exactly the group the CBN is after. They would adopt Enaira and other simple fintech platforms. The CBN is modifying the enaira everyday making it suitable to use for even these guys.
Also much of the banditry and insecurity in those borders with Niger and Chad can be attributed to this large informal trade you speak of. They say follow the money and you would follow the crime.

Kenya trailblazed with M-pesa - and related products. Ghana has done well to follow the path. Nigeria continue to mess around by not allowing telcoms who have far wider coverage than useless Nigeria Banks to lead in mobile money.

vaxx:
what do you think?I think govt want to have the foreknowledge of the transaction going on so that they can apply taxes . Digitizing the economy. The first timecGhana digitized her football ticket, she made four fold of the money she would have recorded on a manual ticketing.

But how will they expect a normedic cattlemen to come formalized their trade, for example, . This guy's walk with all sort of currency , dollars , CFA , naira and cedis in just their crossing bag . They buy and sell cows along the bush part , that is how they live from walking from northern Nigeria to northern Ghana . Or even more kilometers .

jl115:
Usually I'd day Google is your friend, however for you it isn't, mining only consumes 14% of the electricity in South Africa... Pretty consistent with its gdp contribution.... Manufacturing make up 46% of the electricity consumption, residential 17% and commercial 13%...... Just our residential power usage is 4 times your entire grid

We don't have rationing...we have more than we need..deal with Eskom blackouts without dragging other countries.If you're manufacturing then have electricity .Fact is Nigeria,south Africa, Tanzania, Zimbabwe and Zambia have blackouts now. Kenya we are enjoying power 24hrs a day

All kenyan banks J am aware of have A+ rating.

vaxx:
I don't know what you mean by bigger , but if it is about asset , GCB actually have the highest asset among Ghana bank not second slowpoke.


Just like how kenya is not spare of downgrading , the stanbic kenya and co. Whatever financial mess that is happening here , it is triple in kenya .


You can't run but can hide

Ghana's second biggest bank, GCB Bank, has been downgraded by international rating agency, Moody to Ca...JUNK

The next drama is on your banking industry

vaxx:
it is more to do with cash at hand than demand . Country with more high financial backup even have a limit on cash withdrawal daily . If you must go above their set standard . Be prepared to come up with more documents .


You really learn foolishly

No limit if you walk to the bank. Limit on ATM.

vaxx:
Your mumu no too much . Even in Europe , there is limit to cash withdrawal, how much more feable africa .

Nakuru city - 150kms from Nairobi towards the west.

Nakuru city

We know the drill.
We saw in Lebanon, Sri Lanka, Argentina, Greece, Zim, Zambia.
The next thing within a month is bank restricting how much you can withdraw
Next will be Ghanians wailing infront of banks

The domino effect is not started.

vaxx:
Your prediction has no economical backup , so it is illogical. The bank has been strengthen to withstand the mess that may arise .


Dollar account is separate issue in banking system. . No country will allow a multiplier effect on her economy when it can easily be curb.

In a month I can predict a bank run on Ghana banks and their collapse.
Banks operate on trust.
On trust that your money is safe and you can take it anytime.
That is CARDINAL

What has happened - your banks bought shietloads of gov bonds - with people money.

They knew they would redeem those bonds and satifsy any liquidity or withdraw calls.

Now they are in a fix. Banks dont have any money. They operate on trust. I deposit my money. They lend it to peter. They make profit.
If peter refuse to pay - they cant pay me. I become extremely mad because this is my money they played games with.

Ghana gov has basically sunk you banks - they invested depositors money in bonds that are now making serious loss.

What is important now is to avoid any PANIC withdrawal. People are on their edge - they will want to withdrawl their savings as soon as possible. Before you know - you have a bank run.

How do Ghana stop a bank run - Liquidity - make sure banks have LIQUID cash....nobody should ever walk out crying like that woman that she cant withdraw her money.....banks should have 50% liquidity (Cash Ratio)...meaning if half customers come for their money...the banks should have it. That will build confidence and trust.

vaxx:
You like baseless argument . Try it I dare you .

Basic tenet of banking is against what you're saying.
What people are struggling is buying dollars.
Why people with dollars are sitting on them.

No sane country or bank will allow the nonsense you're saying.

What people are struggling with is BUYING dollars from THOSE WHO HAVE DOLLARS.

The day a bank start limiting what people can withdraw from their OWN fukcing acount they are FINISHED

vaxx:
it is because you are lazy to understand what is happening in financial institution of africa country right now .

I repeat no bank will allowed you to release 50, thousand dollars of your own money in her account currently without having your proper documentation , though , they may give you the local equivalent. I have dare you to let anyone you to try it and come and show us evidence here.


There is too much mess in kenya financial crisis . You should worry more on that .

Morroco look legit contender.

The mad cow is wasting his time and energy fighting FACTS.
Those are incredibly stubborn things.
Their own gov admitted they a f.cuked until 2037.
The loss of trust is biggest problem - both domestically and internationally - and locks out Ghana from borrowing without security.
They will only have access to AID money - World Bank and such "loan" as AID.
Once IMF get done - maybe in 5-10yrs - they might get access to bilateral lending from friendly countries.
It will be a decade before someone can buy ghana treasury bonds or Eurobonds.
And they will demand crazy interest to take care of their risks of another default.

It's easy to default but it's incredibly hard to come out of it.

Ask Argentina. Zimbwabwe and others.

Argentina started in 2001 - now we are going 30yrs - they have yet to recover.

popizaino:
Trust the mad cow to come here and deflect to Kenya topics. This is a Nigerian saying the same thing you have been telling the mad cow but like the typical timid Ghanaian he is,he will never own up to this obvious hopeless situation Ghana is currently in, but keep clutching at every straw available. Since he has sworn never to agree with you,i will keep posting screenshot that agrees with you to keep exposing his foolishness.

Digital Economy

Kenya meanwhile to lay 100,000 kms of Fiber along all power transmission line connecting 8.5m homes to fiber, 29,000 shopping center with fiber and free hotspot, and 27,000 public primary schoos.

Pres William Ruto: We want to make sure every shopping centre will be on internet and will have a hotspot. We also want to lay our fibre network on the Kenya Power transmission lines so that 8.5 million homes that are connected to electricity are equally connected to the internet.

Pres Ruto: I deliberately decided that this year’s Jamhuri Day is going to be profiled properly and themed as the innovation Jamhuri Day. Instead of inviting the usual people who we invite, I have decided to invite our technology leaders worldwide from Facebook and from Google

Pres Ruto: In the next 6 months we want to have digitized all government services (about 5,000 government services -only 15% now digitized). I am very confident that this is going to happen because the digital economy has the potential to enhance productivity, expand incomes and improve the socio-economic well-being of all our people

Pres William Ruto: We want to make sure every shopping centre will be on internet and will have a hotspot. We also want to lay our fibre network on the Kenya Power transmission lines so that 8.5 million homes that are connected to electricity are equally connected to the internet pic.twitter.com/ZcDk5GdzSI

— Citizen TV Kenya (@citizentvkenya) December 6, 2022

If this is done - this would put kenya above many developed countries - on digital connectivity. At least 1 million young folks can then find online gigs from their homes.

Ghana. Banking crisis starts. Sobbing Women here claims to have gone to withdraw 2,500 cedis...her bank only allowed her 250 cedis.
https://twitter.com/GhanaSocialU/status/1599709957003235329

And it get interesting - the pensions, AG of Ghana and pretty much reject the unilateral decision to force them to take losses

Why would I cry yet I have never and will never invest in Ghana gov bonds?

You should cry because your own pension, insurance and investment is going to be affected.

""After destroying the economy through reckless borrowing and corruption, the Akufo-Addo government is refusing to pay people who have put their lifetime savings into buying government bonds."
https://www.msn.com/en-xl/africa/other/economic-hardship-to-eat-away-pensions-bonds-and-insurance-finance-minister-bog-governor-tells-heads-of-financial-institutions-in-secret-meeting/ar-AA14UKRG

And you think this is a joke!!!!!!!! default is big big mess - your own gov confess this hole will be filled up in 2037

They confessed on a secret meeting to the Financial Institutions that the country’s debt crisis will last till 2037 with lots of unintended consequences on every facet of national and individual lives.

Just40:
cry me a river, cry blood, still we are not joining Kenya there.
Education is free

Mad cow
Your gov twisted like you're doing until it accepted fate
https://www.reuters.com/article/ghana-economy-debt-idUSL1N32V0IE

ACCRA, Dec 5 (Reuters) - Ghana plans to reduce its debt-to-GDP ratio to 50% by 2028 from more than 100% currently, Finance Minister Ken Ofori-Atta said on Monday, adding that interest payments were absorbing between 70% and 100% of government revenues.

Mad cow.
Today your own gov admitted that debt has long passed 100% gdp to debt.
They hired 5 different intl consultancies - plus IMF technical team - all came to conclusion - Ghana economy is gone - debt is now 120% to gdp
Stop talking about GDP
That one will crash!!!

Just40:
Buy one for you and your family in Kenya as you'll need it when everything comes to a head next year in Kenya.


Ghana GDP is 80 billion dollars and it total debt is 48 billion dollars, a reduction from 54 billion dollars early this year.
Spending 35% of revenue to service it debt and 30% on compensation leaving 30% to 35% for other govt activities.
With a petroleum fund and a minerals fund to carry out big budget infrastructure funding

You think they are mad people willing to throw their money away.

1982 - this was the story - prepare to head to Burkina Faso

I dont see Nigeria helping - so learn some French - Ivory coast sounds like a good idea

Just40:
Ghana will be back on the international bond market in 2 to 3 years time

Everyone knows that Ghana has swapped it domestic debt.

Next excuse for why Kenya keep defaulting

You think a sovereign default is a school yard prank - where you shout kenya too

This very serious stuff. Ask you parents how 1982 was - they had to run to Nigeria . This time you might have nowhere to run because Nigeria is also economically in ICU.

Bright Simons
@BBSimons
The deed is done.
Ghana has unilaterally announced a default. First time since 1982. In certain like-for-like respects though it is the 1st time since the 1972 commercial loan default. The question on everyone's mind is: would things be smooth or rough with the other steps ahead?

This Bloomerg - mad cow.

By the time Ghana gov regain the trust of both domestic and international investors - you'll probably be too old to remember this conversation.

What is critical now is to fire Nana and hire someone who can try to restore stability and in a decade win back investors.


Bloomberg Africa
@BloombergAfrica
·
21h

Official
Ghana is asking local bondholders to accept losses on interest payments as it restructures its debt to qualify for a loan from the IMF

Just40:
How is that me projecting
These figures are not from me, they are from Bloomberg
Are they also projecting?


Are you ashamed of your country own mess ?

I already know that my country is in a far better condition because while Kenya has defaulted and been doing so for 2 years already (Sri Lanka like situation).. Ghana has not gotten closed to that yet.

There's no end in site for Kenya.

Ghana's total debt is now 48 billion dollars

Mad cow - trying to project their economic mess around - it's just getting started

It's going to be 10yrs of a mess.

Just40:
I know you're a lunatic but at least be factual..

Your 2022/2023 budget is reported at 26 billion..

That's not how debt works, lunatic..

There's no money left to finance capital and recurrent expenditure..
Even debt service and wages , your government can't pay because it stands at 140% of revenue, so which one is left that you're referring to ?

When you say development all over, you mean one road in Kenya and one uncompleted interchange in Mombasa

I like the way you guys claim development all over meanwhile your country look like pig pen with an infrastructure gap twice that of Ghana.

Kenya budget is 36 billion mad cow.
We normal borrow what we repay - 10 billion borrow - 10 billion repay
Leaving rest of money to finance recurrent plus development.
That is why you see development projects all over

Just40:
lunatic...
Debt servicing is 1.47 trillion (12 billion)
Wages, compensation already takes more than half of your 26 billion budget ...

You can't even finance capital and recurrent expenditure.
The funny thing is that the IMF bailout program you're in will not solve Kenya's problem and cutting down expenditure does not even start to solve the major because it will only reduce your govt debt addition which seek to reduce it budget deficit.
Real problem is how to. Cut Kenya debt servicing cost and wage bill to managed levels in order to have liquidity to avoid further default.

That's what poor finance management looks like

Kenya is not Ghana or Nigeria - which dont know how to manage their finances.

Ordinary taxes - KRA collected KShs. 2.031 Trillion during the Financial Year 2021/2022 then add another A-I-A - another 230B kshs.

So average debt repayment (interest+principal) of 1.1 trillions against total revenues of 2.2 trillion kshs - that 50% debt servicing ratio.

This year projected is 1.4 trillion public debt repayment - against 2.4 trillion Kshs revenues

https://www2.deloitte.com/content/dam/Deloitte/ke/Documents/tax/Deloitte%20Kenya%20Budget%20Highlights%202022-23%20.pdf

GeneralDae2:
As at October, I knew Kenyan debt servicing had skyrocketed to around 1 trillion shillings. Dunno about now.

I expect to see upgrade on our soverign ratings.

obaaderemi:
With your B+ negative outlook rating?

Very useful because that was 2020 - and kenya was struggling
Now in 2022 - it's Nigeria
If you behave like Ghana mad gov - you're going down.
Reform

Do you see Kenya here

You dont because we fix problems;

obaaderemi:
Thank you, Gallipig for sharing this. For once, you are useful.

Try that madness in Makola market.
Maybe they will even give you goat meat fried on used tires.
For all that effort.

Just40:
debt swap does not mean failure to pay .. it means creating more liquidity room by extending your spread.

As you can see in the budget, all domestic debt due has been budgeted for.

The facts says otherwise... I only spend 35% of revenue on debt servicing


On the other hand Kenya is completely broke Compensation item and debt service is taking 130 of Kenya revenue
I remember when you were busy virtue signaling to the Nigerians that wages and debt servicing took 90% of their revenue and not knowing Kenya was worse

Yes John Mahama is very smart - and this Nana fool has finished Ghana.
I didnt like him from get go - he talks but never does anything

popizaino:
Financial prudence is not a thing for this present gov. Everything you saw was predictable and warned by the former president and to my amazement this man wasn't using teleprompter when he was churning out raw statistics of the state of things and bad they were cooking stats off his head but idiots here thought dismissed his claims as mere political campaign. They should enjoy the moment while it last.