Now, the facts are becoming evident as the government discusses with the IMF. The end of mission Press Release of the IMF confirms that the economy is in a state of decline marked by currency depreciation, high interest rates, decline in bank lending to the private sector, higher expenditure on imports, rise in prices and higher expenditure for public enterprises. Hence the government needs rapid credit facilities to cushion the strenuous impact on the balance of payment of the country which makes it possible to take external debts and import goods on a sustainable basis. Policy slippages is always followed by conditionality which is likely to control domestic borrowing, raise taxes , cut down on public expenditure. Instead of an economic superpower status we are heading towards greater economic dependency and control because of policy slippages. We must therefore look inwards to find the basic causes of our economic woes. Outsiders may contribute to our economic woes, but the main cause is internal. Foroyaa would monitor the content of the agreement with the IMF and accordingly inform our readers.]]>
