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Behind the Money

Is Africa’s debt cycle unbreakable?

Behind the Money

Topher Forhecz

Markets, Investing, News, Banking, Finance, Business, Business News, Crypto

4.4350 Ratings

🗓️ 14 June 2023

⏱️ 19 minutes

🧾️ Download transcript

Summary

Ghana was once considered a success story and a model for African development. But after suffering several economic shocks, the west African country is now struggling to pay off its debts. The FT’s west Africa correspondent Aanu Adeoye and Africa editor David Pilling explain how Ghana exemplifies the debt cycle that many African countries find themselves stuck in, and what has to change to break it. 


Clip from GhanaWeb TV

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For further reading:

How Ghana’s economy became a cautionary tale for Africa

Africa needs international help to avoid a lost decade

Ghana default puts domestic debt ‘can of worms’ in the spotlight

Ghana secures $3bn IMF deal after creditors agree to debt restructuring

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On Twitter, follow Aanu Adeoye (@aanuadeoye), David Pilling (@davidpilling) and Michela Tindera (@mtindera07)


Read a transcript of this episode on FT.com



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Transcript

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Back in 2018, the president of Ghana announced plans to build a huge cathedral,

0:38.0

something that could rival Westminster Abbey or the Abu Dhabi Grand Mosque.

0:43.6

About 70% of Ghanaians are Christian, right?

0:47.0

So it's a very religious country.

0:49.0

Although it's a secular state, like constitutionally,

0:52.0

there's a huge Christian population. That's the

0:54.8

Fte's West Africa correspondent Anu Adoie. He says that when construction on the

0:59.9

cathedral broke ground officials estimated it would cost $100 million to build.

1:05.3

But more recently, that number has ballooned to $400 million.

...

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