A Ghanaian lawyer, Jonathan Amable, has petitioned the Supreme Court to immediately halt the government’s treasury bill borrowing activities, challenging its legality under the country’s constitution.

Amable’s application claims that the government is issuing treasury bills without the necessary parliamentary approval, a violation, he argues, of the 1992 Constitution. The injunction request, seen by Citi Business News, calls for an end to these borrowings by the Ministry of Finance and the Bank of Ghana, with Ghana’s Attorney General listed as the case’s primary defendant.

According to Amable, the government’s actions could have significant economic consequences, posing risks to the entire financial sector. He argues that the debt instruments issued without proper oversight are held by numerous stakeholders, including banks, insurance companies, pension funds, and ordinary citizens, putting their savings at potential risk.

The case centres on alleged breaches of Section 30 of the Bank of Ghana Act, 2002 (Act 612), and Section 61 of the Public Financial Management Act, which mandate parliamentary approval for government borrowing activities, including treasury bill issuance.

Amable’s filing clarifies that he is only seeking to halt new borrowing transactions, allowing the government to continue honouring its commitments under existing contracts. If successful, the injunction could have sweeping implications for government borrowing practices in Ghana.

Source:TheDotNews