President John Dramani Mahama on Monday laid out a sweeping eight-point economic agenda aimed at restoring investor confidence and stabilizing the West African nation’s faltering economy.
Speaking at the Ghana CEO Summit in Accra, Mahama pledged to enforce fiscal discipline, reopen capital markets, and ramp up infrastructure development as part of a broader strategy to reset the economy. The plan hinges on regaining access to credit markets and sustaining macroeconomic reforms under the guidance of the International Monetary Fund.
“Economic stability is the foundation of national prosperity,” Mahama said. “We intend to complete our IMF program with discipline and reenter the markets on stronger terms.”
1. Completing IMF Program with Fiscal Rigor
Central to the president’s plan is adhering to fiscal targets outlined under the IMF’s Extended Credit Facility. Ghana is expected to complete its fourth IMF program review by June 2025, with a structured exit by 2026. Mahama indicated that subsequent policy support would anchor prudent financial management and accountability.
2. Reopening Domestic and International Bond Markets
The administration plans to resume domestic and international borrowing with a focus on project-linked financing. The Ghana Stock Exchange, domestic banks, and the IMF are expected to play pivotal roles in reopening capital flows, with an emphasis on sustainable debt tied to revenue-generating initiatives.
3. Strengthening Sovereign and Local Government Financing
Efforts are underway to bolster Ghana’s sovereign wealth funds and decentralize development financing, giving local governments more tools to support grassroots infrastructure and services.
4. Clearing Arrears, Streamlining Investments
A national audit of government arrears is in progress, targeting a transparent resolution of verified debts. Public investments will be guided by priority needs, cost-efficiency, and strategic value, Mahama said, promising a more disciplined approach to capital expenditure.
5. Public Financial Management Overhaul
The government plans to reintroduce financial controls including the Treasury Single Account, digital tax administration systems, and real-time budget tracking platforms, aimed at reducing waste, corruption, and inefficiencies in public spending.
6. Boosting Exports via Ghana Exim Bank
Mahama pledged to reposition the Ghana Exim Bank to stimulate non-traditional exports, support SMEs, and expand agro-processing and light manufacturing. The goal is to shore up foreign exchange reserves and generate jobs in key growth sectors.
7. Positioning Ghana as a Regional Trade and Investment Hub
With the African Continental Free Trade Area (AfCFTA) headquartered in Accra, Ghana seeks to leverage its geographic and political stability to become a regional nexus for commerce, logistics, finance, and digital services. Investments in ports, health, education, and industrial corridors will support this vision.
8. Resuming Infrastructure Development
Reigniting infrastructure investment will be central to Mahama’s economic reset. The administration is eyeing roads, housing, energy, and urban renewal projects, financed through public-private partnerships, strategic alliances, and innovative vehicles like the “Big Push” initiative.
The blueprint reflects Mahama’s bid to reassure investors and voters alike as Ghana looks to emerge from a prolonged debt crisis and inflationary spiral. Analysts say implementation will be key.
Source:TheDotNews