She emphasised that Ghana’s SMEs continue to adapt, innovate, and maintain their competitiveness, underscoring their importance in national economic growth and job creation.

“In Ghana, our SMEs continue to demonstrate resilience and competitiveness even under challenging conditions,” she said when delivering an address during the 2026 Africa Prosperity Dialogue in Accra while speaking on the state of SMEs in Africa.

The Vice President noted that these businesses play a crucial role in driving employment and contributing to the continent’s GDP.

“Within this market (the Africa Free Trade Continental Area), SMEs are central. Africans SMEs are often cited as generating over 80% of employment and a significant share of GDP,” she said.

The Vice President called for continued support and policies that strengthen the SME sector to ensure sustainable development and inclusive economic progress.

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Speaking on Asempa FM’s Ekosii Sen show, Dr. Opoku Prempeh explained that while Dr. Bawumia was deeply involved in economic issues during the government’s first four years, his shift towards digitalisation in the second term was a deliberate strategy to support the economy through alternative means.

According to him, Dr. Bawumia did not shy away from economic responsibility but rather adapted to circumstances where direct control over economic management may no longer have been within his remit.

“Even during COVID-19, Ghana’s economy was one of the best managed. So what went wrong? Perhaps the economic challenges were not directly attributed to Bawumia during President Akufo-Addo’s second term,” he stated.

Dr. Opoku Prempeh further referenced the period when 88 NPP Members of Parliament publicly raised concerns about the state of the economy and called for the dismissal of some government officials.

“When the 88 MPs from the NPP said the economy was not performing well and called for dismissals, Bawumia was present, yet they mentioned someone else’s name instead of his. If he was directly responsible for the economic situation, why wasn’t his name mentioned?” he asked.

He added that while he did not oppose the public nature of the MPs’ action, he would have supported the dismissal of the individual named if the decision had been subjected to a private vote.

“The fact that 88 MPs made that statement should tell us something important. Bawumia spoke extensively about the economy in the first four years, but in the last four years, he focused mainly on digitalisation. It was not an attempt to evade responsibility; perhaps economic management was no longer within his direct control, so he explored other avenues to support economic growth,” he concluded.

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Speaking at the First Sky Group’s thanksgiving service in the Northern Region on Sunday, January 25, the President said the pace of improvement has exceeded both local and international expectations, attracting commendation from institutions such as the International Monetary Fund (IMF) and the World Bank.

President Mahama explained that the economic conditions inherited by his government were so dire that he expected it would take at least two years before clear signs of recovery would begin to emerge. However, recent developments, he noted, have defied those projections.

He pointed to improvements in key macroeconomic indicators, including a sharp decline in inflation and the strong performance of the Ghanaian cedi, as evidence that the economy is rebounding faster than expected.

The President attributed the gains to prudent economic management, fiscal discipline and what he described as divine intervention.

“I have done this job before, and the crisis we faced was extremely difficult. In my own estimation, I thought it would take about two years to see an economic turnaround. But this is how far God has brought us,” he said.

“We are all surprised and shocked at the speed of the recovery. Whenever I meet IMF and World Bank officials, they are amazed at what has happened in Ghana. Today, Ghana has become something of a poster child for the IMF and the World Bank. Bringing inflation down from 23.8 per cent to 5.4 per cent within a year, and seeing the cedi appreciate by 37 per cent in the same period, can only be attributed to the grace of God,” President Mahama added.

Speaking on Ghana’s improving economic fortunes at the 23rd anniversary and thanksgiving service of First Sky Construction Company on Sunday, January 25, President Mahama said he was convinced the world would rise in a standing ovation as evidence of recovery and growth becomes more visible.

“I am sure by the end of 2026, the whole world will stand and be clapping for Ghana,” he said.

“In my own imagination, I thought that we would need about two years to begin to see a turnaround… but Ebenezer, this is how far God has brought us,” he added.

President Mahama highlighted the stability of the cedi and other macroeconomic fundamentals as proof of Ghana’s strengthening economic outlook.

“To bring inflation from 23.8 per cent to 5.4 per cent in one year—how did we manage that? For the first time, to see our long-suffering Ghanaian currency, the cedi, appreciate by 37 per cent in one year—it is only God, by His grace,” he stated.

He attributed the country’s rapid progress to divine intervention and effective leadership, noting that his government remains committed to sustaining the current momentum.

President Mahama also announced that his administration will continue to organise a national thanksgiving to honour God for the achievements recorded under his leadership and the nation’s development.

The IEA said the result is not surprising, considering the macroeconomic gains recorded in 2025.

“The cedi appreciated by about 32% against the U.S. dollar between 2024 and 2025. The strengthening of the cedi, together with broader macroeconomic improvements, have helped ease inflationary pressures, which is reflected in the decrease in the price of fuel at the pump and in the cost of some imported consumer goods. Hence, inflation declined sharply from 23.8% in 2024 to 5.4% in 2025”, it disclosed in a statement.

Other positive developments that may have influenced people’s perception of the direction of the country in the survey include

The significant decline in the debt-to-GDP ratio from 61.8% at the end of December 2024 to 45% by the end of October 2025.

The reduction in the average lending rate (cost of borrowing) from 30.2% to 22.2% over the same period, and the gradual recovery from the effects of the Domestic Debt Exchange Programme on citizens.

The survey stated that as a result, confidence is gradually returning to, and many Ghanaians are increasingly hopeful for a better tomorrow under the new government.

Notwithstanding the positives, the report pointed out that the proportion of people (34%) who indicated they are not happy with the way things are going in Ghana shows that a sizeable minority of the population remains discontented about national progress. This highlights the fragility of public optimism and underscores the importance of addressing issues that directly affect everyday life.

The nationwide public opinion poll was conducted across all 16 regions of Ghana between 20th and 28th December 2025. This was based on responses from 1,022 respondents.

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The latest data point to a year-on-year expansion in economic output, signalling a stronger overall performance compared to October 2024, largely driven by sustained activity in the services and industry sectors.

The Services sector remained the main growth driver, expanding by 5.5% in October 2025, marginally lower than the 5.6% recorded a year earlier. Despite the slight slowdown, the sector accounted for a dominant 74.7% of total economic growth, supported mainly by communication, wholesale and retail trade subsectors.

The industry sector posted a notable improvement, recording growth of 3.0%, a sharp rise from 0.4% in October 2024. This stronger performance reflects a broader expansion in industrial activity and contributed 28.7% to the overall growth rate for the month.

In contrast, Agriculture growth slowed significantly to 0.9%, compared to 2.1% in the same period last year. The data suggest that the pace of economic activity within the agriculture sector was less pronounced, contributing just 1.3% to the overall growth recorded in October.

Overall, the October 2025 MIEG figures indicate a steady recovery in economic momentum, underpinned by resilient services activity and improving industrial performance, even as agriculture continues to lag behind other sectors. The GSS notes that the MIEG provides a timely snapshot of short-term economic trends, complementing quarterly and annual GDP estimates used for broader policy analysis.

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Speaking at the People’s Forum, an event assessing the government’s first year in office, Mr. Aboagye argued that while inflation has declined and the cedi has shown signs of appreciation against the US dollar, household expenses continue to rise faster than incomes.

“If this is a reset, then we are in trouble,” he said. “The views from the People’s Forum show that we are not experiencing a reset but a reverse, and the people are upset.”

He highlighted a growing disconnect between the government’s economic indicators and the realities faced by ordinary Ghanaians.

“They are upset because inflation and the dollar are dropping, yet the cost of living keeps rising. There is a disconnect between the policies the government is touting and the evidence we experience,” he noted, citing rising utility tariffs and education-related costs as examples.

“If I am a teacher coming from Dodowa and you give me a 9% increase, but today I am spending more on electricity, water, school fees and hostel fees, then it becomes a problem,” he added.

Questioning the relevance of lower inflation in the face of steep utility hikes, Mr. Aboagye said: “When electricity tariffs go up by 28%, it makes nonsense of inflation coming down from 23% to 15%.”

He urged the government to pay closer attention to feedback from ordinary citizens, including market women and commercial drivers, stressing that economic progress must be felt at the household level.

“The indicators may be true, but they are not reflecting in our lives,” he concluded.

He told Nhyria FM’s “Kro Yi Mu Nsɛm” show, hosted by Barima Kofi Dawson, the government is on track and is working to ensure the policy is properly integrated into the system.

The minister acknowledged that overhauling a structure that has run on an eight‑hour work model for decades is not easy and will take more than a year.

“Changing the whole structure of an economy that has been granted for years from 8‑hour to 24‑hour cannot be done in less than 12 months. You need legislative measures and directives, and those processes have been completed,” he explained.

He added that all necessary steps have been taken, including the submission of the policy bill to parliament.

He noted that some state organizations have already begun operating around the clock, showing the direction the country is heading.

“Everyone who is honest will see that the work is meeting expectations and we are on track,” Opare‑Addo said.

He expressed confidence that, all things being equal, the policy will be fully implemented by year‑end.

He urged Ghanaians to remain patient as the initiative moves forward.

Source: Francis Mensah

Speaking on Asempa FM’s Ekosii Sen show, Dr. Amoah said it would be dishonest to blame the New Patriotic Party’s loss and economic challenges solely on Dr. Bawumia.

He described such claims as political propaganda.

He noted that broader economic dynamics, rather than one individual, contributed to the situation.

He believes that the party’s focus should be on selecting a candidate who best represents its future and enhances its chances of regaining power.

“Bawumia is not responsible for destroying the economy of Ghana. It would be misleading to blame the decline of the NPP solely on him. Having studied economics, I understand the complexities involved. This narrative is just political propaganda that unfairly holds Bawumia accountable.

“We need to focus on the dynamics at play and what the people truly want for the future of our country. The NPP has contributed significantly to Ghana, so our primary goal should be to regain power. The public does not despise the NPP, but timing is crucial; the right representation is what matters,” Dr. Stephen Amoah added.

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In an exclusive, wide-ranging interview with the China Global Television Network (CGTN), the President outlined a vision for a manufacturing-focused partnership, moving beyond traditional resource extraction and infrastructure funding.

President Mahama stated that Ghana’s goal is to transition from merely exporting raw commodities—such as cocoa, timber, and mineral ores—to exporting higher value-added, finished, or semi-finished products.

He emphasised that this strategy is vital for job creation, technology transfer, and stabilising Ghana’s economy by reducing its reliance on volatile global commodity prices.

President Mahama says Ghana wants Chinese industries to partner with Ghanaian businesses to process raw materials for export back to the Chinese market.

This shift aligns with Ghana’s long-term industrialisation agenda, which seeks to boost the manufacturing sector’s contribution to the national Gross Domestic Product (GDP).

During the interview, President Mahama took time to commend Beijing for its central role in driving development across the African continent, particularly through major infrastructure projects.

China has financed and executed numerous large-scale projects in Ghana, including hydroelectric dams, road networks, and port expansions, often through concessional loans and government-to-government agreements.

President Mahama described China as a true friend, emphasising that the partnership has enabled African countries to invest in important infrastructure and advance their development goals.

This partnership is seen by many African leaders as a necessary alternative to traditional Western development models, offering faster delivery of essential projects.

The interview also covered historical and international topics, including the lasting effects of slavery and colonialism.

The President used the platform to reiterate Ghana’s firm stance on recognising the transatlantic slave trade as the ultimate historical transgression.

He confirmed a major diplomatic effort planned for the next year:

He reiterated that Ghana will next year move a motion at the United Nations General Assembly asking the world to recognise the slave trade as the greatest crime against humanity.

This planned motion underscores Ghana’s historical importance as the “Gateway to Africa” and its role as a moral leader in seeking global acknowledgment and restorative justice for the horrors of the slave trade.

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Contributing to the debate on the 2026 Budget, he argued that the economic conditions left behind by the previous administration were unprecedentedly poor.

“Mr Speaker, that the economy we inherited from them was in shambles is a matter of public record and is not in doubt,” he declared.

According to him, economic performance should be judged using objective criteria, not partisan interpretation.

He said the evidence clearly shows that the previous government plunged the country into deep economic distress.

“As it has always been said, economic analysis is done based on specific indices. There are metrics you use to measure performance which are not subject to opinion,” he emphasised.

Mr Kwakye Ofosu asserted that Ghana entered its first-ever sovereign default under the previous administration, a situation he described as historically damaging.

He stressed that the government’s credit rating sank to its lowest point, compelling international agencies to classify Ghana as a high-risk country.

“For the first time in the history of Ghana, a government defaulted on our debts, and our credit rating was at junk status,” he stated.

The Minister said this level of deterioration earned the outgoing administration a “Borla economy,” borrowing from local slang meaning rubbish.

“In the local parlance, we call it ‘Borla,’ to wit, rubbish — that was the state of our ratings,” he remarked, insisting that the economic fundamentals were already broken long before the new administration took office.

He urged the Minority to acknowledge the severity of the economic decline they presided over instead of attempting to blame the current government for challenges rooted in past mismanagement.

He stressed that truthful reflection was necessary for constructive debate and national progress.

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Presenting the 2026 Budget Statement to Parliament on Thursday, November 13, Dr. Forson said the administration has restored fiscal discipline, curbed inflation, stabilised the cedi, and renewed investor confidence.

He described the government’s economic strategy as more than a recovery, calling it a “reset” and a “rebuilding process” following the challenges inherited from the previous administration.

“We have restored fiscal discipline, brought inflation under control, stabilised the cedi, and rekindled investors’ confidence. This is not just a recovery, it’s a reset. It is a rebuilding from the ashes of a daunting inheritance, a heavy burden laid on us by the previous administration,” Dr. Forson stated.

He assured Parliament that the government remains committed to prudent fiscal management and to safeguarding the gains achieved so far.

According to Dr. Forson, confidence in Ghana’s economy is steadily returning, with clear signs of renewed strength and optimism.

“Confidence is returning, the Black Star is rising once more. Ghana is back, strong and full of hope. The tide has finally turned, and Ghana’s economy has now recovered, marked by renewed investor confidence. Our economy has regained its rhythm,” he told Parliament.

“This budget is about building on the foundation we have laid,” he added.

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Addressing members of the diplomatic corps and a visiting German delegation led by President Frank-Walter Steinmeier, who is on a three-day state visit to Ghana on Tuesday, November 3, 2025, President Mahama highlighted the strides made in stabilising the economy and boosting investor confidence.

He noted that his administration’s ongoing economic and structural reforms have created a stronger foundation for investment and growth.

“At the domestic level, Ghana has made remarkable progress in economic stabilisation and structural reforms,” President Mahama said.

“Through fiscal discipline, energy sector reforms, industrial modernisation, and agricultural transformation, we have restored confidence in our economy and built the base for inclusive, sustainable growth.”

The President revealed that the Ghanaian cedi is now among the best-performing currencies worldwide, signalling renewed investor confidence and sound monetary management. He further noted that inflation has dropped significantly from 23% in December 2024 to about 9% as of September 2025.

“Over the same period, GDP growth has risen from 5.1% in the first half of 2025 to 7.3% in the second quarter. These figures demonstrate that Ghana is once again ready and open for business,” he said.

President Mahama reaffirmed that his administration remains committed to building a resilient, diversified, and transparent economy that fosters long-term investment and generates employment opportunities for Ghanaians.

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For a nation that imports everything from animal stomachs to basic foodstuffs while exporting raw materials, this comprehensive strategy could finally break the cycle of dependency. But that depends almost entirely on execution.

The programme’s strength lies in its integrated approach—linking agriculture, manufacturing, infrastructure, and human capital development into a cohesive system.

Rather than piecemeal reforms, 24H+ promises to transform Ghana from a trading economy, dependent on imports into a productive, export-driven powerhouse.

The real test

But vision alone won’t suffice. As someone who has spent years building businesses in the face of our nation’s challenges, Ghana does not lack ideas.

Ghana has seen grand economic plans before even if not elaborate, detailed and deliberately integrated as the 24H+ programme.

That is why the difference this time must be in execution. History has shown that Ghana’s previous grandiose programmes, though often poorly thought through and conceptualised have always suffered from a lack of willpower, passion and sustained commitment to roll out these intensions in a manner that matters, not just excites a few foreign firms and entrepreneurs with tax rebates and other juicy incentives.

Consequently, the 24H+ programme’s success hinges on whether the government can resist the temptation to favour quick-win foreign investments over the harder work of building local capacity.

Broadly, the real test will be implementation. Can Ghana create the Volta Economic Corridor’s promised agroecological parks? Will the industrial zones actually materialise with reliable infrastructure? Most critically, will the Value Chain Financing Strategy deliver affordable credit to local entrepreneurs at the promised 12 percent rates?

If executed properly, 24H+ could be President Mahama’s defining legacy—transforming Ghana into a self-reliant economy that works for its people.

If implementation falters, it risks joining the graveyard of well-intentioned but poorly executed development plans.

The stakes couldn’t be higher. With hundreds of thousands of youngsters outside the labour bracket and disheartened by the quality of political governance in recent years, Ghana’s economic future depends not just on the brilliance of this vision, but on the government’s ability to deliver on its ambitious promises of sustainable jobs that give the youth the impetus to believe that good old democracy is worthy of pursuit.

What’s in the vision?

The 24H+ programme is not just about keeping businesses open around the clock. It is a comprehensive strategy that addresses the fundamental structural weaknesses that have kept Ghana dependent on imports while our talented entrepreneurs struggle to scale their operations.

With eight integrated sub-programmes—from Grow24’s agricultural transformation to Make24’s industrial renaissance—this initiative promises to create an economy that works for everyone, every hour of the day.

The statistics are sobering: Trade in imported goods now dominates our economy, overtaking agriculture as the biggest contributor to growth, while manufacturing has slipped from third to fourth place.

It is no longer news that we import almost everything we consume, including animal stomachs as our second-largest food import. This is unsustainable for a nation blessed with abundant natural resources and entrepreneurial talent.

Local must lead

While we await the implementation, the brilliance of the 24H+ programme lies in its recognition that sustainable economic growth must be anchored by local enterprises.

While foreign investments often come with strings attached and profits that flow back overseas, indigenous businesses reinvest locally, create lasting employment, and build generational wealth within our communities.

Ghana’s small scale enterprises (SMEs) currently face insurmountable challenges: limited access to finance, inadequate infrastructure, poor supply chains, and competition from cheap imports.

The 24H+ programme directly addresses these bottlenecks through its Value Chain Financing Strategy, which promises concessional loans at 12 percent interest rates, infrastructure tax credits, and performance-based incentives for companies that achieve export targets while supplying local markets.

Agbleduwo Revolution and industrial parks

Perhaps the most exciting component is the Agbleduwo network—modern agroecological parks that will transform how Ghana farms.

These integrated zones combine irrigation, renewable energy, processing centres, and mechanisation services, offering farmers and cooperatives a fully serviced environment to farm efficiently and profitably.

The Eden Volta initiative alone promises to unlock tens of thousands of hectares for farming, positioning the Volta Basin as West Africa’s breadbasket.

For local agribusiness entrepreneurs, this represents unprecedented opportunities to build processing facilities, supply chains, and export operations that can compete globally.

The Make24 sub-programme also envisions 50 industrial parks nationwide, but unlike previous attempts, these will be supported by reliable infrastructure, logistics, and utilities.

The Akosombo-Juapong Textiles and Garments Park, Legon Pharmaceutical Innovation Park, and Kumasi Machinery & Technology Park are designed as ecosystems where local manufacturers can access shared services, training, and export markets.

For Ghanaian entrepreneurs in pharmaceuticals, textiles, and machinery, these parks offer the scale and support needed to compete with international players while serving both domestic and regional markets.

Goosie Tanoh factor

Presidential Advisor Augustus Goosie Tanoh and his team at the secretariat deserve credit for conceptualising this integrated approach that moves Ghana ‘from fragmentation to integration; from dependency to self-reliance.’

Their diverse ideas reflect deep understanding of our economic challenges. However, and for the avoidance of sounding repetitive, the true test lies in implementation.

Legacy opportunity

Many people across the world, including me, have said that President Mahama has the best opportunity to regain public trust in Ghana’s democratic journey and leave a legacy that transcends political cycles.

With this well conceptualised 24H+ programme, President Mahama has a foot forward in actualising that. Unlike infrastructure projects that can be abandoned or policies that can be reversed, the 24H+ programme aims to fundamentally restructure Ghana’s economy. When local businesses become globally competitive, when farmers can feed the nation and export surpluses, when young people, majority of who are currently idling or labouring in menial jobs, find meaningful employment in thriving industries—these changes become irreversible.

For someone who creates employment, the programme’s promise to create 1.7 million quality jobs over four years is not just about employment; it’s about building a generation of economically empowered Ghanaians who can create decent lives for their families and drive continued growth.

The path forward

In conclusion, the 24-Hour Readiness Programme, which will prepare over 5,000 businesses across all the 16 regions to operate around the clock, must prioritise local SMEs.

These businesses understand our markets, employ our people, and reinvest their profits locally. They are the foundation upon which sustainable economic transformation must be built.

Ghana’s future lies not in hoping for foreign saviours, but in unleashing the potential of our own entrepreneurs. The 24H+ programme provides that framework. Now, we need the political will to make it work for Ghanaians first and having interacted with President Mahama and Mr Tanoh, I am more than convinced that execution will be flawless.

Indeed, this is our moment. Let us seize it!

The writer, Seidu Agongo, is a businessman and philanthropist.

The non-oil GDP growth rate stood at 6.8%, reflecting stronger performance in sectors outside the oil industry.

According to the Ghana Statistical Service (GSS), the growth was largely driven by robust activity in the Services sector and a rebound in the Agricultural sector.

However, the Industry sector experienced slower growth of 3.4%, mainly due to subdued performance in the oil and gas subsector.

Speaking to journalists in Accra, the Government Statistician, Dr. Alhassan Iddrisu, described the data as an indication of a positive economic trend.

“All sectors recorded growth except the Industry sector, which saw a contraction. This was driven by oil and gas. Growth in the Services sector was led by the ICT sector, followed by the Financial and Insurance sub-sectors,” he explained.

The top five expanding sub-sectors of the economy were Fishing, ICT, Finance and Insurance, Transport and Storage, as well as Health and Social Work.

Speaking on Joy FM’s Super Morning Show on Tuesday, May 27, Professor Bokpin expressed concerns about Ghana’s readiness for a full exit once the final review is completed around mid-2026.

“Given our current progress, if we essentially exit by December 2025 when reviews are complete around mid-2026, I think it will be premature to say, ‘yes, we’re walking away completely’. I see the government’s damage control approach of transitioning to a policy support instrument rather than full exit, but the reality is we all would prefer Ghana to stand independently,” he said.

Ghana has sought assistance from the IMF 17 times since independence, with previous programmes ending prematurely—often followed by economic relapses.

“If you check our records with the IMF, the government is actually more accountable to citizens when under an IMF programme. There’s greater transparency, collaboration and disclosure to the people of Ghana under IMF supervision than when we’re on our own,” Professor Bokpin noted.

He also raised alarms over inconsistencies in the country’s fiscal reporting, accusing both major political parties of manipulating the figures to suit their agendas.

“In early 2022, when we highlighted that the Bank of Ghana was monetising debt—essentially printing more cedis—the central bank denied it. We said, ‘Wait until the IMF applies their Debt Sustainability Framework.’ The truth came out—our debt-to-GDP ratio in present value terms was 109%, while before the IMF came in, we were reporting less than 80%,” he explained.

“Ghana’s public debt had become multiple choice—you picked the number based on which party you supported.”

While acknowledging recent improvements in some economic indicators, Professor Bokpin stressed that deep-seated institutional weaknesses still remain.

“We’ve aged but haven’t matured. On our own, we can’t hold ourselves to the accountability and discipline required for medium- to long-term progress. Can we demonstrate operational independence of a Fiscal Council that provides real oversight—not just theoretical?” he questioned.

Some economists and policy analysts have suggested that Ghana maintain a form of IMF engagement beyond 2025, while strengthening domestic fiscal institutions. Other proposals include implementing binding fiscal rules with enforcement mechanisms and improving transparency in debt reporting and monetary operations.

They warn that without such measures, Ghana risks repeating its boom-bust cycle and may soon return to the IMF.

Ghana’s economic landscape in 2025 presents a striking paradox. The cedi has emerged as one of the world’s best-performing currencies, appreciating by approximately 16% against the US dollar and contributing to a decline in inflation to 21.2% by April 2025. This remarkable turnaround follows a turbulent 2024 when the currency depreciated by nearly 24%, fueling economic instability and eroding purchasing power. Yet, despite these positive macroeconomic indicators, ordinary Ghanaians continue to grapple with persistently high prices for goods and services.

This phenomenon is not without historical precedent. Ghana’s economic history reveals several instances where currency appreciation failed to translate into immediate consumer benefits. Understanding both the current drivers of the cedi’s strength and these historical parallels provides crucial insights for policymakers seeking to convert macroeconomic gains into tangible improvements in citizens’ lives.

The Drivers of Cedi Appreciation

The cedi’s resurgence stems from a confluence of domestic policy reforms and favorable global economic conditions. Domestically, the Bank of Ghana’s Gold4Oil and now GoldBod initiative has been instrumental, increasing gold reserves by 40.6% from May 2024 to April 2025. This strategic accumulation has not only strengthened Ghana’s foreign exchange buffer but also boosted investor confidence and reduced speculative pressures on the currency. The program’s requirement that 20% of gold export proceeds be converted into cedis before dollar exchange has further stabilized forex supply.

Concurrent fiscal reforms under Ghana’s IMF program have significantly contributed to the currency’s recovery. The government’s elimination of distortionary taxes like the E-levy, the intent to abolish the COVID-19 levy, combined with prudent expenditure cuts, has enhanced fiscal credibility. The $3 billion Extended Credit Facility from the IMF has restored economic confidence, with an anticipated $370 million tranche expected soon. These measures have been validated by S&P Global Ratings’ upgrade of Ghana’s credit status from Selective Default to CCC+.

The temporary suspension of external debt repayments through Ghana’s ongoing restructuring program has provided crucial breathing room, with the next major payment due in July 2025. This respite has alleviated pressure on foreign exchange reserves, enabling the cedi to stabilize. The Bank of Ghana’s direct market interventions, including a $490 million forex injection in April 2025, have further supported the currency’s appreciation.

Global economic shifts have complemented these domestic efforts. The US dollar’s weakening due to trade tensions and recession concerns has indirectly benefited emerging market currencies like the cedi, with the DXY index falling approximately 10% since January 2025. Simultaneously, record prices for Ghana’s key exports—gold reaching $3,400 per ounce and cocoa hitting $10,000 per ton—have significantly boosted foreign exchange inflows. The formalization of small-scale mining operations has augmented these gains by increasing legally exported gold volumes.

The Persistent Challenge of Price Stickiness

Despite these favorable currency movements, consumer prices remain stubbornly high due to several structural and behavioral factors. Price stickiness—the economic phenomenon where prices adjust more readily upward than downward—plays a significant role. Businesses, uncertain about the sustainability of the cedi’s strength, hesitate to reduce prices. Many operate under long-term contracts for rent, utilities, and wages negotiated during higher inflation periods, complicating immediate price reductions.

Domestic cost structures continue to exert upward pressure on prices. While a stronger cedi reduces imported input costs, expenses like transportation, electricity, and labor remain elevated. Recent utility tariff hikes and persistently high fuel prices, influenced by global oil markets, maintain cost pressures that limit businesses’ ability to lower consumer prices.

Inventory cycles create additional lags. Many traders continue selling goods purchased when the cedi was weaker, meaning the benefits of currency appreciation will only manifest as new stock arrives. For import-dependent sectors like electronics and pharmaceuticals, this adjustment may take three to six months.

Market dynamics further complicate the picture. Unlike swift price increases during depreciation, downward adjustments face weaker competitive and regulatory pressures. While the Ghana Union of Traders encourages price reductions, voluntary compliance allows some businesses to maintain higher margins. Moreover, global commodity prices for essentials like rice, wheat, and fuel remain elevated due to supply chain disruptions and geopolitical tensions, keeping local prices high despite currency gains.

Historical Parallels and Policy Lessons

Ghana’s economic history offers several instructive parallels to the current situation. The 2017-cedi recovery following the IMF bailout and oil production commencement saw similar patterns—while inflation dropped from 15.4% to 11.8%, consumer prices remained elevated due to structural bottlenecks. The 2007-cedi redenomination provided temporary stability but ultimately failed without deeper reforms, leading to renewed depreciation by 2014.

These historical episodes yield crucial policy lessons. First, temporary fixes like forex interventions or redenomination cannot substitute for sustained structural reforms. Second, domestic cost pressures require direct attention, as currency appreciation alone cannot offset local inflationary drivers. Third, active cultivation of market competition is essential to ensure businesses pass forex gains to consumers. Fourth, economic diversification beyond commodities is critical for long-term stability. Finally, managing public expectations through transparent communication helps maintain confidence during transitional periods.

Consumer Expectations and Policy Recommendations

In the short term (three to six months), consumers may see gradual price declines in import-heavy sectors like electronics and vehicles as new stock arrives. However, staple food prices will likely remain elevated due to global supply constraints. Over the medium term (six to twelve months), sustained cedi strength should lead to broader price adjustments, though careful management of potential interest rate cuts will be crucial to avoid reigniting inflation.

For lasting stability, comprehensive structural reforms are essential. These include:

• Maintaining fiscal discipline through continued IMF program implementation
• Addressing domestic cost pressures via energy sector improvements and transport infrastructure development
• Strengthening market competition through appropriate regulatory frameworks
• Diversifying Ghana’s economic base beyond commodity exports
• Enhancing price transparency mechanisms and local production capacity

Conclusion: From Temporary Recovery to Sustainable Stability

Ghana’s current economic position presents both opportunities and risks. While the cedi’s appreciation creates favorable conditions for reform implementation, history shows these gains may prove temporary without decisive action. By learning from past experiences and implementing comprehensive structural reforms, Ghana can work toward an economic future where currency stability translates into tangible improvements in citizens’ lives. The path forward requires not just maintaining current policies but building upon them to create a more diversified, competitive, and resilient economy capable of delivering sustained prosperity.

Disclaimer: This article reflects the author’s views and not necessarily those of any affiliated institution.

In a Facebook post reflecting on his experience during the recent Kwahu Easter celebrations, Mahama praised the energy and commitment of local business leaders, describing them as key drivers of economic growth.

He expressed gratitude to the business community in Kwahu — particularly CEOs, business executives, and financial sector leaders — for their relentless efforts to boost the local economy.

Mahama stressed the need for practical policies that unlock opportunities and translate the hard work of entrepreneurs into lasting success.

He reaffirmed his commitment to “reset Ghana” by creating a more supportive environment for businesses to thrive, adding that entrepreneurship must remain central to the country’s economic transformation.

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He maintained that key economic indicators showed the economy was in good shape despite attempts by the new administration to suggest otherwise.

Speaking at a press conference for the Minority Caucus on Thursday, March 13, Dr Amin Adam accused Finance Minister Dr Cassiel Ato Forson of manipulating fiscal data to paint a negative picture of the economy.

“Ladies and gentlemen, as you know, the manipulation of the fiscal data notwithstanding, the strong health of the economy the NPP handed to the new NDC government continues to be vindicated by other economic indicators,” he stated.

He cited Ghana’s debt-to-GDP ratio, which stood at 61.8% by the end of 2024, as a key sign of economic strength. According to him, this achievement resulted from skilled negotiations and the implementation of a sound debt strategy by the previous government.

He criticised Dr Forson for failing to acknowledge this accomplishment in his budget speech.

“The Hon. Minister could not even acknowledge this important development by the imminent absence of this ratio in his budget speech. Sad!” Dr Amin Adam remarked.

He argued that the NPP’s economic management had positioned Ghana for long-term stability and that any claims of mismanagement were unfounded.

Concluding his remarks, Dr Amin Adam asserted that history would ultimately recognise the achievements of the Akufo-Addo administration.

“Whether we like it or not, it is historic, and history indeed will be kind to the Nana Akufo-Addo government,” he declared, urging the new administration to build upon the foundation laid by its predecessor.

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The report reveals that over 80% of Ghana’s external debt is in dollars, leaving the country vulnerable to exchange rate volatility.

“Over half of Africa’s external debt is in US dollars, and countries like Angola, Ethiopia, Ghana, Nigeria, South Africa, and Zambia are more vulnerable to currency fluctuations, as more than 80% of their external debt is in US dollars,” the report emphasizes.

The report also indicates that Ghana ranks 14th in Africa for experiencing exchange rate volatility, which contributes to its growing debt burden.

Exchange rate volatility refers to how much a currency’s value—such as the Ghanaian cedi—changes relative to another currency, like the US dollar, over time.

This situation places Ghana in a difficult position, as fluctuations in the exchange rate between the Ghanaian cedi and the US dollar can significantly increase the cost of repaying these loans. When the cedi loses value against the dollar, Ghana must spend much more in its local currency to cover the same debt.

For example, a debt amount that cost GHS 5.5 billion in 2019 would now cost GHS 15.8 billion in 2024 due to the surging USD/GHS exchange rate. This sharp rise in debt servicing costs exerts significant pressure on government finances and limits available funds for critical sectors such as health and education.

As a result, it becomes increasingly difficult for the government to manage its finances, leaving less money for vital areas like health, education, and infrastructure. Ghana’s situation is part of a broader problem faced by many African countries that rely heavily on foreign currency-denominated loans.

With global financial conditions remaining uncertain, finding solutions to reduce these risks and manage debt more effectively is crucial for Ghana’s economy.

The demand for US dollars to meet debt obligations further exacerbates the exchange rate surge. Ghana must purchase dollars in the foreign exchange market to repay its loans, which drives up the USD/GHS exchange rate, particularly when the supply of dollars is limited.

Additionally, concerns over debt sustainability can prompt capital outflows, further weakening the cedi and compounding the issue.

As of September 2024, Ghana’s external debt stood at GHS 470 billion, with approximately 80% of this amount denominated in US dollars—equivalent to GHS 376 billion. At the start of the year, the exchange rate was 12.0356 GHS/USD, but it has since risen to 15.8 GHS/USD, an increase of 3.764.

This depreciation of the cedi has caused Ghana’s dollar-denominated debt to increase by 31.27% purely due to exchange rate fluctuations. A stronger US dollar globally has made Ghana’s dollar debt even more expensive.

This creates a vicious cycle where a weakening currency increases debt costs, leading to further borrowing and greater fiscal strain. Addressing this challenge requires Ghana to diversify its debt portfolio away from the dollar, strengthen its local currency through sound economic policies, and enhance its resilience to external shocks.

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Speaking during his vetting before Parliament’s Appointments Committee on Monday, January 13, Dr. Forson outlined his plans to stabilize the economy and boost investor confidence.

Addressing questions from Atiwa West MP and committee member Kokor, Dr. Forson highlighted the critical role of fiscal discipline in fostering a conducive environment for investment.

He stressed that inflation control would be a top priority in his first budget if approved.

“There’s no better time than now to cut waste and bring inflation under control. These steps are essential to restoring confidence in our economy and attracting investment,” he said.

Dr. Forson also refuted recent media reports suggesting he plans to seek additional financing from the International Monetary Fund (IMF), clarifying that his comments on the matter had been misrepresented.

On the issue of taxation and revenue mobilization, he reassured the committee that his government remains committed to its promise to reduce nuisance taxes, including the e-levy and betting taxes, once he assumes office.

He also expressed concerns about the current approach to tax waivers offered to companies by successive governments.

Dr. Forson noted that while such incentives can attract investment, the methods used need reform to ensure they benefit the country’s economy.

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Speaking to NDC supporters, Mahama highlighted the importance of seeking divine guidance to empower the party to implement policies aimed at improving the lives of all Ghanaians.

“This is the time we need to engage in fervent prayers, even more than during the campaign, for God to grant us the strength and wisdom to implement measures that will make Ghana a better place to live. All I will say is that it is finished; God has already done it,” Mahama said.

He criticized the outgoing New Patriotic Party (NPP) administration for leaving behind substantial debts, particularly in education and energy, which his government must address.

Mahama accused the NPP of deliberately creating financial traps to hinder his administration’s success.

“The NPP government has set a trap for us, but we shall not be caught in that trap. The Almighty God who granted us electoral victory will see us through the difficulties until we achieve success. God will give us the wisdom to lead this country and make it better for future generations,” he assured.

Mahama also addressed public concerns about delays in funding the West African Examinations Council (WAEC), referencing criticism shared on social media regarding the issue.

He concluded by reaffirming his faith in overcoming these challenges with divine assistance and a collective commitment to Ghana’s progress.

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Speaking to journalists in Accra on Tuesday, December 17, 2024, Dr. Amin Adam emphasized the resilience and recovery of Ghana’s economy despite recent global and domestic challenges.

“We are handing over a strong economy,” he stated.

“The first four years of this administration were marked by impressive achievements, including the longest period of single-digit inflation, an average GDP growth rate of 7%, and strong external balances. While challenges arose between 2021 and 2022, the economy has rebounded faster than anticipated.”

He highlighted several key economic indicators, noting that Ghana’s Gross International Reserves now stand at $8 billion—equivalent to 3.5 months of import cover—compared to $6.2 billion in 2016.

He also pointed out that the economy’s growth trajectory has returned to pre-COVID levels, with an average growth rate of 6.3% in 2024, significantly higher than the 3.4% recorded in 2016.

Dr. Amin Adam underscored the recovery in private sector credit, reporting a nominal growth of 28.7% in October 2024, up from a contraction of 7.5% in 2023.

“In real terms, private sector credit grew by 5.5% in October this year, compared to a contraction of 31.6% last year,” he explained.

On external performance, he highlighted a trade balance surplus of $3.85 billion and a current account surplus of 2.6% of GDP for the first nine months of 2024.

“These represent significant improvements from the deficits we inherited in 2016, including a trade balance deficit of $1.8 billion and a current account deficit of 6.6% of GDP,” he added.

Dr. Amin Adam acknowledged ongoing challenges with inflation, which dropped to 23% in November 2024 from a peak of 54% in December 2022.

He assured Ghanaians that measures implemented by the government had stabilized prices and eased hardships.

Dismissing claims that the country is broke as “propaganda,” Dr. Amin Adam asserted that Ghana’s economic fundamentals are stronger now than in 2016.

He urged the incoming government to continue the policies implemented by the NPP to sustain recovery and achieve long-term debt sustainability.

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In an interview with VOA’s Paul Ndiho on Saturday, December 14, Mahama underscored the vital role of the economy, noting that its health impacts every sector, including education, agriculture, and sports.

“The economy is going to be the number one focus because it affects everything else. If the economy is in a bad way, it affects education, agriculture, sports—every sector of the country. So we are going to have to prioritize stabilizing the economy,” he emphasized.

The President-elect identified two critical challenges facing the country: achieving macroeconomic stability and ensuring debt sustainability.

He explained that unlike previous engagements with the International Monetary Fund (IMF), which primarily targeted macroeconomic stability, the current economic situation requires a dual approach.

“In all the other times that we’ve gone to the IMF, it’s been solely for macroeconomic stability. But now, we are facing twin problems, so we will continue the IMF programme,” he explained.

Mahama also revealed that his team has initiated discussions with the IMF to align on the implementation of the current programme.

“We’ve requested discussions with the IMF because we were part of the negotiation of this programme, and we need to ensure alignment in its implementation. I want to make it clear: we are not abandoning the programme. However, within its framework, I believe there is room for adjustments to better suit our current needs,” he said.

Mahama further stated that if an agreement with the IMF is reached, his government will fully commit to the programme until its conclusion, ensuring both stability and progress for Ghana’s economy.

Source: Adomonline

He emphasized that Mahama is inheriting an economy burdened by severe difficulties.

Despite these hurdles, the Tamale South MP expressed confidence in Mahama’s ability to navigate the difficulties and deliver for Ghanaians.

Speaking to journalists in Accra on Monday, December 9, Mr Iddrisu stated, “We cannot take the people for granted. Ghanaians have said, ‘If you fail us, we will reject you tomorrow.’ President Mahama has inherited a difficult economy, but I am confident he will weather the storm.”

Meanwhile, the President-elect has attributed the economic challenges to the outgoing Akufo-Addo administration, accusing it of leaving the nation in a dire financial state.

“This journey will not be easy. The outgoing government has plunged the nation into an abyss, but we are determined to implement governance reforms and steer Ghana back on track.”

Mahama called for unity and collective effort in overcoming the country’s challenges.

“We must never forget the people of Ghana. The one we serve is Mother Ghana, and together, we will rebuild.”

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According to the Bank of Ghana, data observed through October 2024 indicated broad stability in the macroeconomic indicators.

“Growth outturn so far has been strong, and leading indicators of economic activity is projecting stronger growth in the second half of the year, business and consumer confidence is slowly turning around, core inflation remains broadly stable, the financial sector inflation expectations remain broadly anchored, reserve build-up has been sufficient to provide confidence, and the currency is recording some appreciation”, it disclosed in its Monetary Policy Committee statement.

It added that the third review assessment of the International Monetary Fund (IMF) on the economy and on programme implementation also reflected a positive assessment and led to a Staff level Agreement. Indications are that the IMF Board will meet this month to assess programme implementation so far and assess forward-looking prospects of the economy.

The Central Bank said a successful completion of the assessment will likely trigger the release of additional US$360 million in December 2024.

This it added should provide more impetus to stability.

Source: Joy Business

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In an exclusive interview with Nhyira FM, the rice farmer emphasized the need for deliberate government action to increase food production in Ghana.

“We need to take deliberate action to encourage agriculture,” he said.

Mr. Awuah Darko lamented the heavy duties he has to pay at the port for importing farming equipment, highlighting the lack of support for local farmers, especially rice producers.

“I pay huge sums of money to import equipment for my rice farming and this is a definition of lack of encouragement,” he lamented.

The former MD for the Bulk Oil Storage and Distribution Company (BOST) indicated that Ghana’s agricultural sector has been neglected for far too long, and the consequences are dire.

“If we don’t change our ways, Ghana may face serious hunger in the next 15 years,” he observed. “This is because we consume more than we produce, and this trend must be reversed”.

As a rice farmer, he has employed over 150 youth on his farm, demonstrating the potential for agriculture to create jobs and stimulate economic growth. However, he believes that more needs to be done to support local farmers and encourage agriculture.

Mr. Darko, who is a leading member of the National Democratic Congress, believes the NPP government has failed to address the country’s pressing issues and that a new leadership is needed to take Ghana forward.

He urged Ghanaians to put aside their differences and vote for John Dramani Mahama in the 2024 presidential election.

“The country is in a miserable condition, and we don’t need a honeymoon… John Mahama will start work immediately because the country is dying,” he said.

Speaking at a rally in Saboba in the Northern Region, Dr. Amin Adams highlighted Ghana’s impressive economic recovery, revealing that the country exceeded its 2023 growth target of 2.8% and continues to make significant strides in 2024.

“Our economy has bounced back to life after the difficulties of the past three years,” he stated.

“Macroeconomic stability is rapidly returning, and the signs are clear for everyone to see.”

Dr. Amin Adams underscored the nation’s strong growth trajectory, saying, “Last year, we were expected to grow at 1.5%, but we achieved 2.9%. This year, in the first half alone, we were projected to grow at 3.1%, but we recorded an impressive 5.8% growth.”

He expressed optimism about Ghana’s future, emphasizing that the government’s focus on sustained economic growth is yielding tangible results.

Source: Adomonline

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According to President Akufo-Addo, the economy is rebounding strongly, with over a 6% GDP growth rate in the 2nd quarter of 2024, adding that the prices of food and fuel are going down.

He made this statement when he commissioned the magnificent edifice serving as the new headquarters of the Bank of Ghana at Ridge, Accra.

The journey to this momentous achievement, President Akufo-Addo revealed, was driven by the growing demands and complexities of the Bank’s operations over six decades. The old headquarters, while historically significant, had become inadequate.

He said, “This new complex, built by Ghanaian architectural powerhouse GoldKey Properties under the leadership of Kwaku Bediako, signals a transformative era for the Bank of Ghana.”

The project was designed by Ghana’s internationally known David Adjaye.

The Bank Square’s commissioning marks a broader vision of progress. It reflects Ghana’s ambitions to position itself as a regional financial powerhouse.

With facilities designed to meet international standards, the new headquarters will bolster the Bank’s ability to implement reforms, enhance regulatory frameworks, and attract investments.

President Akufo-Addo extended his gratitude to Governor Ernest Addison, Deputy Governors Maxwell Opoku-Afari and Elsie Awadzi, and the entire staff of the Bank of Ghana for their professionalism and dedication.

He also acknowledged the architects, engineers, and contractors whose creativity and expertise made this iconic structure a reality.

“Recent data from the Bank of Ghana paints a picture of resilience and promise,” President Akufo-Addo declared. He highlighted that Ghana’s provisional GDP growth reached an impressive 6.9% in the second quarter of 2024. This growth, driven by robust performances across construction, industry, agriculture, consumer demand, and tourism, demonstrates the dynamism of the Ghanaian economy. Non-oil GDP growth of 7.0% further reinforces the strength of the nation’s economic fundamentals.

One of the most notable achievements, the President said, is the sharp reduction in inflation. From a staggering 54.1% in 2022, inflation has dropped to 22.1% as of October 2024, thanks to the effective monetary policies implemented by the Bank of Ghana. This progress has brought relief to households and businesses, renewing confidence in the economic stability of the country.

On the external front, Ghana recorded a trade surplus of $2.78 billion, buoyed by robust gold and crude oil exports. The nation’s international reserves stand at $7.5 billion, providing a critical buffer against external shocks. President Akufo-Addo attributed these achievements to the prudent stewardship of the Bank of Ghana, emphasizing its indispensable role in navigating global uncertainties and fostering economic growth.

Finance Minister Dr. Mohammed Amin Adams has stated that Ghana’s economy is recovering steadily and that growth has even exceeded the target.

Dr. Mohammed Amin Adams stated this during the commissioning of the state-of-the-art new headquarters of the Bank of Ghana at Ridge.

He also enumerated the investments the government has made in infrastructure and human development.

He said, “I can report, Mr. President, that you have steered this economy to strong recovery—the economy is getting stronger and stronger by the day under your leadership.” The Finance Minister added, “Macroeconomic stability is returning faster; growth has exceeded the target, and you’ve invested heavily in infrastructure and human development… and we also know that the banks are posting strong performances across key financial ratios.”

Governor of the Bank of Ghana, Dr. Ernest Addison, said that he is glad the construction of the new headquarters of the Bank of Ghana has been accomplished during his tenure, in spite of the challenges, which included land litigation.

Speaking at the opening of the Bank Square at Ridge, Accra, Dr. Addison noted that the headquarters is not only a physical structure but serves as a national legacy.

According to him, the new BoG headquarters, which begins operations today, will house more than 2,000 staff and has several state-of-the-art features.

Speaking at a mini-rally in Kyebi, Abuakwa South Constituency, during his five-day tour of the region on Monday, November 18, Mahama attributed the nation’s economic hardships to what he described as the NPP government’s mismanagement.

“The NPP’s eight years in power have been marked by misplaced priorities and poor leadership,” he said.

“Ghanaians deserve better, and it’s time for a change that truly prioritizes the needs of the people.”

The former president contrasted the current economic conditions with those under his administration, arguing that life was easier during the NDC era.

“Money that could buy a meal under the NDC government cannot get you the same meal now. Things have become much tougher under the NPP,” he remarked.

Mahama urged residents to reject the NPP’s promises and embrace leadership focused on alleviating their struggles.

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Speaking to Barima Kofi Dawson on Nhyira FM’s KuroYiMuNsem Show, Mr. Opare Addo indicated the excellent performance of the economy between 2017 and 2018 was the result of John Mahama’s policies and the IMF program.

He stated that the performance of President Akufo-Addo should be observed from 2019, when Ghana exited the IMF program.

“John Mahama’s 2017 budget sustained our economy to the end of 2017 through to 2018. Under President Mahama, the economy performed better, but under Akufo-Addo, it has worsened. This is because the NDC entered the IMF program just before leaving office. The benefits of this program and other economic policies by Mahama were supposed to be realized from 2017, which Akufo-Addo came to enjoy and even extended to look like he is managing the economy well. Today, he is the worst manager of our economy,” stated Oprae Addo.

Highlighting how far the country has fallen since 2016, he revealed the extent of depreciation of the Ghanaian cedi against the US dollar and believes this has led to the collapse of a lot of businesses under this current government.

According to him, the high food inflation is resulting from mismanagement of the economy by the Akufo-Addo-led administration. He feels this has angered many Ghanaians.

“They promised to stabilize the cedi with their economic messiah, Dr. Bawumia. Now, the dollar is 17 cedis. Many businesses have collapsed; you import something today, and tomorrow the dollar has increased, and you need more cedis to import that same thing again. In 2016, 10 cedis bought kenkey with fish, and 20 cedis made fufu for the family. Today, those amounts don’t go as far, with cement now costing 110 cedis. No wonder Ghanaians are angry,” Opare Addo said.

Responding to the sustainability of the Free Senior High School policy, he acknowledged the importance of the policy and made it clear that the NDC had a different vision for it.

The NDC Youth Organiser emphasized that it will not be cancelled but improved if the party regains power.

“No government can cancel Free SHS; we must fix its flaws to improve it, and that’s what the NDC is advocating for,” he said.

Speaking at the “Worship with the Clergy” event in Kumasi, the former President said the mismanagement of the economy by the NPP government has seen rising food inflation, debt restructuring, depreciation of the cedi, as well as the return of ‘dumsor’ resulting from indebtedness in the energy sector.

“For some time now, there have been rampant power outages resulting from accumulated debt by this current government. There is dumsor, but they don’t want to issue a timetable. Apart from the energy sector, food is expensive, and it is one of the highest in Africa according to the World Bank. Many Ghanaians are tired of the hardship and are calling for the return of the NDC, which has a good track record,” he said.

Mr. Mahama waded into the brouhaha between Parliament and the Supreme Court, reiterating the need for the President to exhibit leadership by involving the clergy in prevailing on two parties to address any challenge.

He called for a review of Ghana’s constitution to prevent frequent visits to the Supreme Court for interpretation.

“What is happening in parliament is something that can easily be solved by leadership. If the president would call both parties, I mean parliament and the Supreme Court, and involve the clergy, this issue would be solved easily. I have always stated that all controversies in our constitution should be looked at and necessary reviews made to prevent frequent visits to the Supreme Court for interpretation. If we do that, our democracy will be strengthened,” he indicated.

John Mahama revealed the second coming of his government will ban mining in forest reserves and water bodies and ensure responsible mining.

“One of the biggest problems facing this country is Galamsey. Our lands, water bodies, and forests are destroyed because of this illegal mining. NDC will put a ban on mining in river bodies and forests and ensure responsible mining that will ensure the integrity of our environment,” he stated.

John Mahama called on the clergy and Ghanaians to help ensure a peaceful election. He believes nothing can replace the democracy and peace enjoyed in this country.

Although he expressed dissatisfaction about the declining trend of Ghana’s democracy, he believes a joint effort from the clergy and Ghanaians as a whole will restore confidence in our democracy.

“Ghana’s democracy was rated low, and the youth in this country don’t believe in democracy anymore and wish for a military government. We should not go back to the military era, where people ruled with guns. We must protect our democracy at all costs,” Mahama said.

In an interview on Accra-based Channel One TV, Mr Ayariga revealed bold measures, including a potential ban on imported food products and other goods, aimed at encouraging local production and consumption.

Central to his vision is an “economic lockdown” he plans to enforce within his first 100 days in office, aimed at boosting domestic manufacturing and cutting down on imports.

According to him, this move would promote economic independence, stabilize the cedi, enhance productivity, and create jobs for Ghanaians.

Mr Ayariga also intends to establish a 24/7 manufacturing hub, ensuring that Ghana becomes self-sufficient and significantly reduces its dependency on external markets.

“Ghana will stop importing. When you turn the country into a production-manufacturing nation, it means we’ll experience an economic lockdown. For one year, there will be no imports. From the day I become president, Ghana will undergo this economic lockdown,” he said.

“We currently import to consume, wear, and survive. We need to change our consumption patterns to produce what we eat and wear. We must shift to a self-sustaining economy, one that doesn’t rely on other countries.

“The purpose of this economic lockdown is to make our economy independent, stabilize the cedi, increase productivity, and boost job creation,” he added.

Source: Adomonline

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According to him, when the economy was dwindling his critics made it a great deal to always criticise his government for plunging the nation in tatters.

However, now that the economy has begun to rebound, they have kept quiet.

The President who was on a farewell tour to the North East region, indicated that the economy is now gaining momentum and will soon get to the level where it was in the early period of his governance.

“Our economy is rebounding strongly, there was time when these people were going ‘yapuyapuyapu’ about the economy, today they are not saying anything about the economy because the economy of Ghana is rebounding and the early years of my government when we were having 7-8 percent rates of growth are returning as I get ready to leave office” he said this to clapping of the gathering,” he stated.

President Akufo-Addo added “the restructuring of our bonds that has taken place recently is giving us savings on nearly $10bn on our over-all indebtedness”.

He noted “We’ve begun the process of reducing the debt to GDP ratio of Ghana significantly; 74%, is gone down to 64% and I am very hopeful that soon, it will reach 55% which is the target of the IMF programme.”

The President who has some three months to end his second term also urged the people of the North East region to vote massively for Alhaji Dr. Mahamudu Bawumia to help make him the next President of Ghana.

He continued, “I am very concerned about who is going to come and sit on seat and I am urging all of you here in the North East Region to come together as one and put your shoulder to the wheel to make your son Mahamudu Bawumia the next President of Ghana.

“I have come here to ask you for support for him not because he is a Mamprusi, most important we all have to come from somewhere…so that is not the issue, it’s not where you come from, it is your quality; that’s what matters and this man has the quality to be the next President of Ghana.”

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This is the third time it has made this bold prediction.

It, however, pointed out that the government would boost expenditure leading up to the December 2024 general election to enhance its chances of securing victory.

“We expect the government to boost expenditure leading up to the December 2024 general election to enhance its chances of securing victory. We remain of the view that the opposition National Democratic Congress will win the election”, it disclosed in its latest Country Report on Ghana dated September 19, 2024.

“Indeed, in Q2 [quarter 2, 2024], the government raised public sector wages by 31.0% year-on-year in nominal terms and tripled subsidies on petrol products, a move that aligns with Ghana’s historical trend of higher spending during election cycles. This will boost household purchasing power and support consumer spending over second-half of 2024”, it mentioned.

“All told, we forecast that private consumption will grow by 8.5% in 2024 and add 7.2pp to headline economic growth”, it added.

Risks To Outlook

It continued that the risks to Ghana’s economic growth outlook are tilted to the downside.

“In September 2024, the opposition National Democratic Congress staged nationwide protests alleging irregularities in the voter roll ahead of the December election. While our core view remains that the vote will be conducted peacefully, consistent with Ghana’s recent democratic history, prolonged protests or the outbreak of large-scale violence would disrupt commercial activities and reduce consumer and business confidence, ultimately leading to lower economic growth than we currently forecast”.

Additionally, it said an escalation in the conflict in the Middle East—resulting in higher global oil prices—would trigger a resurgence in inflation and cloud Ghana’s domestic demand outlook.

Source: Myjoyonline.com

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• Bawumia will continue with policies that have brought Ghana relief – Akufo-Addo

According to her, if the trend to desire foreign products continues, the local economy will suffer the consequences.

“If you support made in Ghana goods, the investment that goes into the foreign made items will be invested into the locally made products, which that person is helping in supporting Ghana and personally,” Mrs. Adu expressed.

Speaking at the launch of Grand Sales 2024 in Kumasi, she said the company is using this year’s grand sales to promote Ghana made products ahead of Christmas.

Mrs. Agnes Adu noted the government has offered the platform for Ghanaians to increase patronage of locally made products.

“We are not just showcasing the Ghana made products but to also give the opportunity for retailers and store owners to clear their goods and restock for the Christmas season,” she said.

Hundreds of companies who are into locally made products are participating in the Fair.

CEO of UD Beads and More, Essela Akrugu, showcased bag products made from waste, including robber and pieces of cloth.

She said it has created job opportunities for people in Bolgatanga. She is therefore seeking government’s support to expand.

The grand sales which started on Thursday ends on September 21, 2024.

He explained that the increase is partly due to the depreciation of the cedi, among other factors.

Dr. Adam also announced that the Ministry will be launching an exchange offer in the coming days, a significant move in the ongoing external debt restructuring process.

Despite these challenges, he assured that the government remains on track to meet its debt targets under the International Monetary Fund (IMF) programme.

Read his full speech below:

Source: Adomonline

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The Fund also recorded an increase in revenue from GH¢323 million in 2022 to GH¢456 million in 2023.

According to the Chie Executive Officer of MIIF, Edward Nana Yaw Koranteng, MIIF is currently evaluating its assets including the Government of Ghana’s equity interest in mining companies which should place the Fund’s total Assets Under Management (AUM) to around $1.5 billion by end of 2024.

“MIIF’s assets under management may increase to $ 1.5 billion by end 2024, as it begins a revaluation of assets including the Government of Ghana’s free carried interests” he said.

He also added that the growth trajectory of the Fund is attributed to the hard work of the team at MIIF grounded in the vision of the president, Nana Addo Dankwa Akufo Addo to ensure that Ghana garners more value from its minerals.

The main sources of income for the Fund are royalties and dividend payments. Ghana has seven royalty paying minerals with the potential for 15.

Prior to MIIF expanding the royalties net, gold was contributing about 99% of royalties.

The Fund since 2022 has successfully expanded the royalties net by working to include hitherto non-paying minerals such as medium scale gold, sand winning and salt.

Royalties from quarries, limestone and silver have increased significantly with the expansion premised on two major initiatives by the Fund – the establishment of an inter-agency framework and task force in 2022 made up of Ghana Revenue Authority, GRA, Minerals Development Fund, MDF, Ghana Standards Authority, Minerals Commission and the Economic and Organised Crime Office, EOCO.

This framework is part of the strategic thrust of MIIF to enhance the collection of royalties, expand the royalties net and streamline communication on royalty payments from non-gold mining companies.

The second initiative by MIIF in this regard is the development of an in-house geo mapping, tracking and monitoring system which allows a real time view of mining activities from selected mines and quarries across Ghana. This allows tracking of mining companies and payment of royalties on time.

The table below illustrates the growth in royalties following the implementation of the initiatives in 2022 which saw, silver, salt and sand winning paying royalties for the first time.

MIIF’s investments are aligned with industrial policy and premised not just on increasing equity holdings for Ghana but towards the development of the entire value delivery system connected to each single mineral type, said Mr Koranteng.

Major investments by MIIF

MIIF has invested over $40 million in the Chirano and Bibiani gold mines under the Canadian and Franfurt listed Asante Gold Corporation. This investment by MIIF has increased Ghanaian interest to circa 45% making it the only large-scale gold mine with significant Ghanaian interests currently.

The Fund through its investment in the UK and Australian listed Atlantic Lithium is now the third largest shareholder in Atlantic Lithium globally and working on finalising a 6% stake in the company’s Ghana tenements including the Ewoyaa project mine which increases Ghana’s stake in Ewoyaa to 19% on the back of a negotiated 13% free carry for Government of Ghana at a value of $27.9 million.

According to the Chief Investment Officer for MIIF, Bubune Sorkpor, MIIF has also invested $300 million in the development of the Ada Songhor Salt project under Electrochem Ghana.

“Industrial salt is one such mineral if well-developed across its value chain could generate at least $1.0 billion in direct revenue every year.

The Ada acreage of 41,000 acres is the largest in sub-saharan Africa and the investment will push it to become the biggest producing facility in Africa.

The Walvis Bay in Namibia which is the largest in sub-Saharan Africa at 16,700 acres produces circa 950,000 tons per annum with Ada having the potential to produce 2,000,000 tons per annum”, said Bubune Sorkpor.

Leverageing the Capital Markets

In 2023, MIIF executed an MoU with the Ghana Stock Exchange (GSE) with the view to establish a practical framework to set forth the procedures to create an alternative asset class and promote the trade in minerals securities on any of the GSE’s markets.

In line with this MoU, MIIF shall endeavour to have all investments listed on the bourse. In this vein, Electrochem shall be listed on the GSE by end of 2025, Atlantic Lithium and Asante Gold have been listed thereby giving Ghanaians the opportunity to directly participate in these investments.

In view of the opportunity to leverage the GSE, the Fund is developing a gold backed ETF with the support of the GSE and IC Securities. This will be the second listed ETF after the ABSA South Africa New Gold ETF which has been trading on the GSE for at least four years.

The MIIF gold backed ETF will provide the opportunity for Ghanaians and Pension Funds to invest in actual gold backed instruments and also create an alternative to government backed securities.

Enterprise Development (The MIIF Small Scale Gold Mining Incubation Program)

The Chief Technical Officer and Head of Operations of the Fund, Kwabena Barning reiterated the CEO’s position of investment along the entire value delivery process by emphasising the need to formalise the small-scale gold mining sector by supporting the small scale gold miners under a program called the MIIF Small Scale Mining Incubation Programme.

The Small-Scale Mining Incubation Programme (SSMIP) is an enterprise development initiative designed to support the growth of the small-scale gold mining sector. The licensed small-scale sector contributes up to 40% of the total gold output of Ghana and employs more than 10% of the working population.

The MIIF Small-Scale Mining Incubation Programme will be in the form of equity investment in the form of capital support, mining equipment, gold traceability mechanisms, imbuing beneficiary firms with corporate governance principles, exacting responsible mining methods to forestall environmental degradation as well as the provision of a ready offtake market through the MIIF Gold Trade Desk for the licensed miners.

According to Mr Kwabena Barning, “This initiative will be the most revolutionary in artisanal mining in Africa”.

Mr. Koranteng emphasised the belief that the SSMIP has the potential to triple the small-scale output which is currently around $2 billion a year.

The objective of the SSMIP is to develop the creation of Ghanaian mid-tier gold mining companies, which would lead to the formalisation of the sector with an attendant impact on eradicating illegal mining. In addition, this programme plans to move beneficiary companies from their artisanal status to high performing junior mines that can be listed on the Ghana Stock Exchange. The pilot phase of this project has begun with an initial investment outlay of $30 million over the next two years with a plan to cover over 100 companies within the next eight years.

The MIIF Gold Trade Desk           

MIIF commenced the operationalisation of its Gold Trade Program in August 2023 with a strategic goal of integrating its investments along the whole value chain of commodities invested.

Trade has attracted total inflows of $719 million into the Ghanaian economy between August 2023, and July 2024 through its Gold Trade Desk. Out of these inflows, MIIF has traded foreign exchange amounting to US$531 million over the period with Bulk Oil Distribution Companies (BDCs) in support of the Government’s gold for oil programme.

Source; Myjoyonline

This strategy follows the success of the domestic gold purchase programme, which has enabled the Bank of Ghana to amass 65.4 tons of gold worth US$5 billion, significantly strengthening the country’s gold reserves.

During the inauguration of the Royal Ghana Gold Refinery in Accra on Thursday, Dr Bawumia emphasized that this new foreign exchange policy is intended to ensure the long-term stability of the cedi.

“I propose a new framework for Ghana’s foreign exchange management, wherein the value of the cedi will be anchored to gold. We need a solid anchor, and I believe gold is the best choice for the cedi. By channelling significant demand for forex through the Bank of Ghana’s gold purchase programme, we can create a balanced system where the exchange rate remains stable.

“For example, if you have GHȼ3 billion and seek forex, the Bank of Ghana could use that amount to purchase gold, then provide the forex. This approach aligns demand with supply, keeping the exchange rate steady.

“By leveraging our gold reserves to meet forex demands, we can maintain long-term exchange rate stability, anchored in gold, while also freeing up additional forex reserves for other national needs,” Dr Bawumia explained.

As of July 2024, the cedi has depreciated by 19.6 per cent against the dollar, according to the Bank of Ghana’s summary of economic and financial data.

Source: AdomOnline

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Seventy-five per cent of such voters rate the current economic issue as very high or high.

The polls conducted by Data Insight Group of JOB Group Limited and Chartered Media Consult revealed that similarly, with a high unemployment rate and youth unemployment, hovering around 14.7 per cent, it was not surprising that more than 16 per cent of voters consider unemployment as the second highest issue the country was currently facing.

Although the government is not a direct employer, it is essential to address employment challenges and create opportunities for sustainable economic growth.

Education was rated as number three while healthcare remained the fourth most pressing issue among voters with no jump or drop in position when compared to the previous poll.

Energy remains the 5th most pressing issue among voters.

Mr Osei Boakye, the Managing partner of Chartered Media Consult, said “In a more fascinating turn of events, the opportunity for voters to be politically knowledgeable and be engaged is very important.”

He said with political campaigns, gaining momentum, voters’ engagement was starting to be more competitive.

According to the polls, only 36 per cent of voters would decisively vote for the incumbent party for President, which was a 4.0 point gain in share from the last poll in May.

While 52 per cent of voters will firmly vote for other parties and 12 per cent may either vote for the incumbent or other parties for Presidential.

For parliamentary seats, the poll affirmed predictions from previous poll data that no single major political party would be able to secure a simple majority in parliament.

Mr Ebenezer Obeng-Nyarkoh, Lead Analyst of the Data Insight Group, said, “This is clearly an opportunity for more independent candidates to jump in the race since chances of securing the seat from the incumbent are high.”

He said generally, there was a link between rising unemployment resulting in anti-incumbent and, given that 44 per cent of voters would not vote for the incumbent party and this clearly offered an opportunity for independents to outperform the mainstream establishment.

Dr Odoom pointed out that President William Ruto’s recent decision to dismiss all his Ministers and the Attorney-General was not a decision he wanted to make but was driven by intense pressure from Kenyan youths and the general populace.

The protest over a tax bill on June 25, 2024, resulting in over 22 fatalities.

This forced President Ruto to withdraw the unpopular tax bill and directed Principal Secretaries to supervise the Ministries, sparing only Prime Cabinet Secretary, Musalia Mudavadi, who also serves as Foreign Affairs Cabinet Secretary.

Speaking to Adom News, Dr. Odoom said a similar situation could arise in Ghana if the youth mobilize against decisions they oppose.

“In Ghana, a similar scenario could unfold if African youth mobilize against their leaders to advocate for decisions that benefit them. In such a situation, it’s probable that the leaders would be unable to resist and would be compelled to listen,” he stated.

He emphasized the importance of learning from the events in Kenya rather than dismissing them.

“Waiting until protests escalate and lives are lost before taking action should serve as a valuable lesson for our nation,” he stated.

Dr. Odoom added that, excessive taxation during crises can exacerbate public discontent, urging African leaders to avoid such measures.

“We should learn from what has happened in Kenya and avoid dismissing it as irrelevant,” he advised.

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Mining and quarrying, information and communications as well as the crops sub-sectors witnessed enormous activities that pushed growth in productivity in the economy in the first quarter of the year over the same period last year.

Other contributors to the growth in total productivity, measured by Gross Domestic Product (GDP), for the first quarter of this year, are the construction sub-sector as well as accommodation and food service activities sub-sectors.

Provisional real quarterly gross domestic product (QGDP) growth rate, including oil and gas, over a one-year cycle (year-on year), is 4.7 per cent in the first quarter of 2024. The growth rate recorded in the first quarter of 2023 was 3.8 per cent over the same period in 2022.

The GDP growth rate without oil and gas (non-Oil GDP) for the first quarter of 2024 is 4.2 per cent, compared to the 4.4 per cent recorded in the same period in 2023.

Highest growth

Announcing the 2024 first quarter GDP in Accra yesterday, the Government Statistician, Professor Samuel Kobina Annim, said industry recorded the highest growth of 6.8 per cent, followed by the agriculture sector at 4.1 per cent

“The drivers of growth were the mining and quarrying sub-sectors which contributed 1.48 per cent, followed by the information and communications sub-sectors which contributed 1.01 per cent and crop sub-sector 0.74 per cent.

“Other drivers included the construction sub-sector with a contribution of 0.51 per cent as well as accommodation and food services activities with a contribution of 0.36 per cent to the gross domestic product of the country in the first quarter of 2024,” he said.

He said in an era where digitalisation stood as a cornerstone of economic growth, young people worldwide were leveraging information and communication technology (ICT) to tackle unemployment.

Speaking in an interview during a 10-day intensive programme aimed at equipping over 200 Ghanaian youth with essential digital skills, Mr Wakil said no economy could thrive in the modern era without embracing digital technologies.

This initiative, which started from 3rd June to 14th June, is expected to empower hundreds of young individuals, providing them with the tools needed to thrive in the rapidly evolving digital economy.

It is a significant move to address the rising unemployment rates among young people in the country.

The programme, part of ECOWAS’s broader regional development strategy, focuses on key areas such as coding, software, mobile and web development (front and back-end) for the first week, and cable TV development for the subsequent week.

It aims to bridge the skills gap and prepare participants for opportunities in the global digital marketplace.

Mr Wakil said the future of the sub-region lied in the hands of its young people.

He said youth unemployment was one of the existential threats to national and regional security, as about 65 per cent of the population in the sub-region were youth.

“Because of the over reliance on government and White-collar jobs, the youth are unable to get employment in government circles. The best way for them to escape this cycle is to be able to train in ICT to acquire digital skills and create their own jobs,” he added.

According to Mr Wakil, if the potential of the youth were not properly harnessed and developed, the economy of Ghana and all the others in the sub-region could not compete favourably with the rest of the world.

He observed that the younger generation must embrace digital transformation and possess digital credentials, digital access and digital assets for them to participate fully in developing the future the sub-region experts.

The ECOWAS Resident Representative said as the traditional job markets evolve and new opportunities emerge, the integration of digital skills has become essential for economic sustainability and personal career advancement.

He reiterated that the ECOWAS Commission itself had fully embraced ICT with its new department on Innovation and Digitalisation to bring the sub-region at par with the rest of the world and to compete favourably with other developed countries.

Mr Wakil said ECOWAS had a Regional Action Plan on Digitalisation to spearhead digital technology at all levels, consolidating plans of member states to accelerate growth, enhance productivity and generate employment in the sub-region.

In a post dated June 6 on his X handle, he cited reports indicating that the price of a bag of cement had reached 108 Ghana cedis.

He criticized the Nana Addo Dankwa Akufo-Addo government for its apparent lack of strategy in addressing the price increases.

“A bag of cement is now GH¢108! The economy is still stupid. Sad thing is the government has no clue about what to do,” his post stated.

A bag of cement is now GHS108!
The economy is still stupid. Sad thing is the government has no clue about what to do.

— Franklin CUDJOE (@lordcudjoe) June 6, 2024

Mr. Cudjoe also lamented the rising cost of tomatoes in a related post.

The surge in cement prices has sparked discussion, especially after manufacturers dismissed a recommendation by the trade minister against raising prices.

GBC Ghana reported on recent price hikes, noting a sharp increase from last week to this week, leaving many buyers puzzled. In May 2024, cement was priced between GH¢85 and GH¢90, depending on the brand and ratio. As of June 4, 2024, prices had risen to about GH¢110, according to dealers in Pokuase. Dzata cement (42R) is now GH¢108, Cimaf (42R) GH¢107, Cimaf (32R) GH¢87, and Ghacem is leading the market with its 42R variety priced at GH¢110.

Further checks revealed that Diamond cement is sold at GH¢75 and GH¢85, while Dangote cement ranges between GH¢92 and GH¢94.

Despite Trade and Industry Minister, Kobina Tahir Hammond’s recent call for an immediate reversal of cement price increases to alleviate pressure on Ghanaians, the prices continue to climb, suggesting either the minister’s advice has been ignored or the underlying causes of the price hikes remain unaddressed.

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Speaking at the FirstBank Ghana Dinner on Thursday, the Minister reiterated his confidence in Ghana’s economic recovery, contrasting it with the struggles faced by other nations worldwide.

He celebrated Ghana’s consistent progress towards accelerated growth and development, attributing this success to the concerted efforts and sacrifices made by the Ghanaian people.

“I say it everywhere with confidence that the recovery of our economy has been strong. And we must be proud that whilst other countries are still crying with no sense of direction, Ghana’s economy is on the right path to accelerated growth and development for our people,” he said.

Acknowledging the leadership of the Bank of Ghana Governor, Dr Ernest Addison, in managing inflation under the inflation-targeting policy, Dr Adam highlighted a significant decrease in inflation over the past 12 months.

He noted that this achievement had garnered recognition from the International Monetary Fund (IMF), affirming Ghana’s economic performance during their recent review mission.

“Our improvement in economic performance was affirmed by the IMF team during the second review mission recently conducted in Ghana. Most of the quantitative performance criteria, if not all, the indicative targets, and the structural benchmarks, were met. This paved the way for us to reach the level called a staff-level agreement.

“And that is another demonstration of the sacrifices of the Ghanaian people toward rebuilding our economy,” he said.

The Minister further expressed gratitude for the banking industry’s contributions to Ghana’s economic recovery.

He urged continued collaboration to ensure sustained growth.

He emphasized the importance of inclusive development, underscoring the government’s increased spending on social interventions such as LEAP, the School Feeding Programme, the Capitation Grant, and the National Health Insurance Scheme (NHIS).

“All financial institutions must be commended for the various roles you have played in bringing our economy this far. And I can tell you that the future is bright. It is brighter than what many people think. I am very confident that together, we will riddle this economy and carry the marginalized along so that no one is left behind.”

Dr Adam urged banks to prioritize social impact alongside profitability.

He argued that products and services that addressed societal needs and uplifted marginalised communities would assist in the government’s mission to ensure that no one is left behind in the pursuit of economic prosperity.

The International Monetary Fund (IMF) expects Russia to grow 3.2% this year, significantly more than the UK, France and Germany. 

Oil exports have “held steady” and government spending has “remained high” contributing to growth, the IMF said.

Overall, it said the world economy had been “remarkably resilient”

“Despite many gloomy predictions, the world avoided a recession, the banking system proved largely resilient, and major emerging market economies did not suffer sudden stops,” the IMF said.

The IMF is an international organisation with 190 member countries. They are used by businesses to help plan where to invest, and by central banks, such as the Bank of England to guide its decisions on interest rates.

The group says that the forecasts it makes for growth the following year in most advanced economies, more often than not, have been within about 1.5 percentage points of what actually happens.

Despite the Kremlin being sanctioned over its invasion of Ukraine, the IMF upgraded its January predictions for the Russian economy this year, and said while growth would be lower in 2025, it would be still be higher than previously expected at 1.8%.

Investments from corporate and state-owned enterprises and “robustness in private consumption” within Russia had promoted growth alongside strong exports of oil, according to Petya Koeva Brooks, deputy director at the IMF. 

Russia is one of the world’s biggest oil exporters and in February, the BBC revealed millions of barrels of fuel made from Russian oil were still being imported to the UK despite sanctions.

Away from Russia, the IMF downgraded its forecasts across Europe and for the UK this year, predicting 0.5% growth this year, making the UK the second weakest performer across the G7 group of advanced economies, behind Germany.

The G7 also includes France, Italy, Japan, Canada and the US.

Growth is set to improve to 1.5% in 2025, putting the UK among the top three best performers in the G7, according to the IMF.

However, the IMF said that interest rates in the UK will remain higher than other advanced nations, close to 4% until 2029.

The group expects the UK to have the highest inflation of any G7 economy in 2023 and 2024.

Chancellor Jeremy Hunt said the IMF’s figures showed that the UK economy was turning a corner.

“Inflation in 2024 is predicted to be 1.2% lower than before, and over the next six years we are projected to grow faster than large European economies such as Germany or France – both of which have had significantly larger downgrades to short-term growth than the UK,” he said.

Conflict in the Middle East

Economists at the IMF warned that if the Israel-Hamas conflict escalates further in the Middle East it could lead to rising food and energy prices around the world. 

Continued attacks on ships in the Red Sea and the ongoing war in Ukraine could also affect the so far “remarkably resilient” global economy, it said.

A potential spike in food, energy and transport costs would see lower-income countries hardest hit, it added.

Speaking at the launch of LEADing Justice, a strategic framework document outlining the Chief Justice’s vision for the judiciary and judicial service, Vice President Bawumia highlighted the substantial savings and efficiency gains achieved through digitization initiatives.

Dr. Bawumia cited notable examples of cost savings and improved efficiency achieved through digitization.

He noted that digitization efforts led to significant savings for institutions such as the Social Security and National Insurance Trust (SSNIT), which eliminated 29,000 ghost pensioners, resulting in savings of GHC480 million.

Additionally, the National Service Secretariat eliminated 44,000 ghost workers, saving over GHC356 million for the country.

Expressing his enthusiasm for the integration of digitization into the Chief Justice’s vision, Vice President Bawumia commended the strides made by Ghana in this regard.

He praised the new focus, dynamism, and energy brought to the judiciary by the Chief Justice since assuming office.

Highlighting the transformative impact of digitization on combating corruption, Dr. Bawumia underscored the success in eliminating ghost workers through biometric verification using Ghana Cards.

He emphasized that digitization not only enhances efficiency but also strengthens accountability and transparency within institutions.

Acknowledging the importance of infrastructure development and human resource capacity-building in advancing justice delivery, Vice President Bawumia reiterated the government’s commitment to supporting the judiciary.

He pledged continued investment in court infrastructure, residential accommodation for judges and magistrates, and the general re-tooling of human resources to enhance justice delivery nationwide.

The launch of LEADing Justice was hailed as a significant milestone by Mr. Godfred Yeboah Dame, Minister of Justice and Attorney General, who lauded the Chief Justice’s innovative approach to justice delivery.

Similarly, Mr. Yaw Acheampong Boafo, President of the Ghana Bar Association (GBA), expressed confidence in the Chief Justice’s leadership abilities and vision for transformative change in the judiciary.

The event underscored the commitment of Ghana’s leadership to modernizing and strengthening the judicial system through digitization and innovative strategies, ultimately aiming to enhance access to justice and uphold the rule of law for all citizens.

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