TSA POLITICS.... 1

D-one Ayekooto

Straight economic survival fight between Elephant APC and Elephant PDP on top of Grass Commercial Bankers.
Since 1999, the PDP politicians have been enjoying illegal interests placed on government deposits in various commercial banks. Bankers have this habit of meeting big politicians to get referrals in form of introduction to several MDAs in order to get deposit to meet their various nasty targets. At times, the referral could also be the political head or one the heads of such MDA. While the bankers are meeting their targets, the banks are also increasing their balance sheet, having more cheap funds to round trip, and having reasons to do away with retail banking.
However, the bankers and their banks must show appreciation to the politicians or whoever whose influence they used in getting the funds out from MDAs...

This is what they do:

They will either put the deposits in current accounts and pay informal, kangaroo interest on them to be shared between the banker and his link or to be wholly delivered to the link depending on the amount of greed involved. Secondly, they can place the funds in Bankers Acceptance and put ridiculously low interest on them so as to create chance for another kangaroo interest to be delivered as said above.

For most politicians since 1999, this is a good source of easy money in a 'gbelepawo'(stay at home and make money) style... All those board members, heads of parastatals, top civil servants and godfathers have their monthly interest returns delivered to them in Ghana must go bags or changed to dollars for portability.

If the link or godfather is politically influential, such funds can not be easily withdrawn by government. If the government needs them, and write their bankers, the latter will rush to his/her link who will then place a call to someone and the whole process will be stopped. If government is so stressed financially, it will go and borrow even from the banks that are holding its funds or outside at a neck breaking interest rates....
The same thing happens to our money in foreign banks too, there is always a benefitting link.!

Although, the PDP had lost power since June 2015, yet the godfathers of the party nationwide and their collaborating bankers still enjoy this month largeese (of at least 10 p.a on N2.3tr for local funds only) running into several billions of naira monthly, while government continue to borrow, cannot pay salaries and contractors!!! Yeepa!!!..

Of course, it will be suicidal for the APC government to allow the PDP arming itself from these holes and eventually use the fund(N230b annually... about N1tr in 4 years) to wrestle power from it come 2019!
Buhari has done well by collecting all government duplicated idle funds in various commercial banks to enable it ascertain what he has, what is needed and what should be done and added.

The PDP, bankers and civil servants are also right for wailing and screaming, objecting TSA because for the bankers and civil servants, they may have to forget their flashy lives and revert to the factory settings of living within your salaries, for the bankers, it is worse, they may lose their jobs too.
For the PDP, if blockages like this continues unabated, it will come to a time that PDP will not be able to raise even 100k to fund its elections!!!