By Issah Mohammed
Accra, July 15, GNA – Madam Abena Osei-Asare, the Minister of State at the Finance Ministry, has launched the African Peer Review Commission (APRM) report on Ghana’s engagement with international credit rating agencies.
The report which highlights sovereign credit risk analysis, findings and recommendations to improve the country’s engagement with Credit Rating Agencies (CRA) was based on outcome of a Technical Support Mission that took place from March 11, 2024 to March 15, 2024.
The document was launched during the closing ceremony of a three-day Sovereign Credit Ratings Methodology Transparency workshop organised by the APRM, an autonomous entity of the African Union (AU) to serve as a self monitoring tool for governments based on the 2063 Agenda.
In her remarks, Madam Osei Asare said she was hopeful that the findings and recommendations captured in the report would serve as lesson notes for other African countries to improve their engagements.
“If all African economies are going to embrace the content of the report, we will be in a better position to engage the credit agencies in a more coherent manner that would result in a win-win situation for all of us.
“I also look forward to the realisation of an African Credit Rating Agency, a goal that remains firmly within our sight,” she said.
Sharing key findings of the Mission, Dr. Misheck Mutize, Lead Expert on CRA, APRM, said Ghana lacked a national strategy and a national framework to guide engagement with credit rating agencies.
He identified other factors weighing in on Ghana’s rating as inadequate preparation to engage CRA, non-involvement of key stakeholders in meetings of government with rating agencies and the non-regulation of activities of rating agencies.
He highlighted the need for coordination of stakeholders, the provision of timely and accurate data and proactive engagements with CRA.
Mr Laud Mansfield Badoo, Governing Council member of the National African Peer Review Mechanism (NAPRM), said the proper regulation of credit ratings on the continent could help countries legitimise the use of such ratings to attract investors.
He said it was important for governments to strictly adhere to good governance practices to do away with conflict of interest and corruption and improve efficiencies, the commercial viability and competitiveness of State-Owned Enterprises (SOEs).
GNA