British economist and Jubilee 2000 co-founder, Ms. Ann Pettifor, has called on African governments, including Ghana, to rethink their reliance on foreign creditors and prioritize the use of domestic resources to drive economic growth and address pressing social challenges, particularly youth unemployment.
Speaking at the sidelines of the Ghana International Trade and Finance Conference (GITFiC) 9th meeting on the 2nd Global Debt Initiative, Ms. Pettifor emphasized that the current international financial system disproportionately favors creditors, often at the expense of debtor nations. “Creditors dominate and can easily extract resources from debtors. We need a system that is more balanced between the two,” she said.
Ms. Pettifor urged governments to feel empowered to determine policies that maximize internal revenue for investments in health, education, and welfare rather than diverting all resources to service foreign debt. “Ghana should channel its internal income, supported by the central bank and public savings, into building the capacities of young people to meet future challenges,” she said.
Highlighting the paradox of global finance, she noted that while international systems hold vast amounts of money, much of it is tied up in lending rather than being invested in the next generation. “Youth unemployment remains Africa’s biggest crisis, yet governments continue to prioritize repayment over investment in the youth,” she added.
Ms. Pettifor commended the Ghanaian government, particularly the Minister of Finance, for the transparency and diligence demonstrated in its debt restructuring efforts, suggesting that other nations could learn from Ghana’s approach.
The economist’s call underscores a growing conversation about economic sovereignty, urging nations to leverage internal resources to achieve sustainable development rather than remain dependent on foreign debt.
