The Minister of Finance, Dr. Mohammed Amin Adam, has stated that Ghana’s economy has seen a remarkable transformation under the Akufo-Addo/Bawumia Administration, with a growth of $20 billion as of December 2023.
Dr. Amin Adam pointed out that in 2013, during the administration of former President Mahama, the size of Ghana’s economy was valued at $64 billion. However, this figure declined to $56 billion by 2016. In contrast, under the current administration, the economy has surged to $76 billion. “In nominal terms, the economy has grown by $20 billion under Akufo-Addo’s government,” he stated.
This growth has been achieved despite facing significant global economic challenges, including the COVID-19 pandemic and the Russia-Ukraine war. The Finance Minister emphasized that the government has taken tough economic decisions that are now yielding positive results, indicating that the economy is “turning the corner.”
One of the critical measures implemented by the government is the Domestic Debt Exchange Programme (DDP), which saw a 95% participation rate by local bondholders. This program, along with negotiations with external bilateral creditors, resulted in a $2.8 billion debt service relief for Ghana. As a result, the country has been granted a grace period until 2026 to repay its debt at a lower interest rate.
In addition to improved debt management, the Akufo-Addo/Bawumia Administration has recorded substantial progress in trade. Dr. Amin Adam highlighted that in 2023, Ghana achieved a $3.4 billion trade surplus, a stark contrast to the $1.8 billion trade deficit recorded in 2016 under the previous administration.
Inflation Reduction and Industrial Growth
Inflation has been another area of significant improvement. Dr. Amin Adam noted that the government’s robust policies and programs have led to a drastic reduction in inflation, from 54% in 2022 to 22% as of June this year. “By the end of this year, the inflation will come down to 15%, and hopefully, if we are given the mandate in the December 7 Election, we will bring it down to a single digit by 2025,” he assured.
The Minister attributed the surge in inflation to global economic conditions, particularly the Russia-Ukraine conflict and the COVID-19 pandemic, rather than economic mismanagement. He also highlighted the success of the ‘One District, One Factory’ initiative, which has boosted the country’s exports with 169 factories currently operational.
The Greater Accra Regional Town Hall meeting, organized by the Ministry of Information in collaboration with the Regional Coordinating Council, served as a platform to showcase the government’s infrastructural projects and social interventions in the region. The event provided an opportunity for all 29 District, Municipal, and Metropolitan Assemblies (MMDAs) to exhibit key infrastructural projects implemented from 2017 to date.
The Minister of Information, Ms. Fatimatu Abubakar, in her welcome remarks, emphasized the importance of the town hall meetings, which will be organized across all 16 regions of the country until November. She noted that these events enable regional ministers, chief executive officers of various assemblies, and sector ministers to answer questions from the public about their stewardship. The feedback from these interactions will be instrumental in shaping the government’s future policies and programs.
The government’s proactive measures and policies have steered the nation through global economic challenges, paving the way for sustained economic progress and industrial growth. As the administration continues to engage with the public through town hall meetings, the feedback received will be crucial in refining and advancing Ghana’s economic and social development agenda.
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