The Director of Research at the Institute of Economic Affairs (IEA), Dr. John Kwakye, has accused Ghanaian politicians of always skewing economic data in their favor.
According to him, the onus is on independent economists to find time out of their busy schedules to enlighten the general public on these data and how they are incorrectly analyzed by politicians to suit their parochial interests. He added that he will not hesitate to address the wrongful interpretation of data by politicians anytime he is offered the platform.
Dr. Kwakye stated that he was not surprised by the Vice President’s efforts to defend the records of the New Patriotic Party (NPP) because he was in charge of major policy decisions as head of the Economic Management Team (EMT).
In assessing the address by Dr Bawumia on February 7, 2024, he recognized that the economy was severely affected by the Covid-19 pandemic and the Russia-Ukraine war thereby disrupting global supply chains and escalating food prices as well as fuel.
“Available data for key macroeconomic indicators trended positively during 2017-2019. These must be attributed in part to the Government’s policies, including the introduction of the Fiscal Responsibility Act in 2018, which limited the fiscal deficit to 5% of GDP. However, the economy was hit by the Covid-19 pandemic and Russia-Ukraine War and got derailed by these shocks, as they disrupted global supply chains and precipitated escalation in food and fuel prices”
Dr. John Kwakye
Nonetheless, Dr. John Kwakye attributed the bad economic outcomes to some domestic policy failings including huge government expenditures on some flagship programs; failure to generate adequate domestic revenue; and ‘excessive and expensive’ borrowing from the international capital markets in the face of unsustainable public debt.
Government Must Take Responsibility for Economic Hardships
The Director for Research at the Institute for Economic Affairs (IEA) also emphasized on the need for government to accept some responsibilities for the economic hardships being faced by Ghanaians, even as it takes credit for the good economic performance between 2017-19.
In his view, the hallmark of responsible governments in advanced democracies is their ability to accept responsibility for negative consequences arising from their decisions and their ability to develop appropriate solutions to those challenges.
“The apparent suggestion that government did nothing wrong during 2020-22, could be interpreted as trying to sweep the policy failings under the carpet. Both the New Patriotic Party and the National Democratic Congress must learn to not only take credit for good performance of the economy but also to take blame for poor performance, during their tenure.”
Dr. John Kwakye
In the address of the Vice President, Dr. Mahamudu Bawumia, at the University of Professional Studies, Accra (UPSA) on Wednesday, February 7, Dr. Bawumia argued that the NPP managed the economy prudently and efficiently between 2017-19 and reversed it from the poor state it inherited in 2016. To prove his point, the Vice President mentioned economic growth, inflation, fiscal deficit, debt management, and a host of others as an indication of the robust nature of the country’s economy presently.
Also speaking on the content of Dr. Bawumia’s speech was Felix Ofosu Kwakye, a member of the communications team of the opposition, National Democratic Congress. Mr. Kwakye described the Vice President’s lecture as ‘full of lies intended to deceive the Ghanaian public into voting for the NPP in the 2024 general elections.
He asserted that the Vice President’s claim of championing the digitalization of passport acquisition was factually incorrect, arguing that it was initiated under the leadership of former foreign affairs minister, Hannah Tetteh, before the NDC exited office in 2017.
He added that the Vice President’s claim of creating jobs for over 2.7 million jobs cannot be true. The NDC communications team member emphasized that the creation of these jobs, if true, should have solved Ghana’s unemployment situation. Mr. Kwakye further accused Dr. Bawumia of entertaining corrupt officials in his office, contrary to his claim that he has the integrity to fight corruption.
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