• About
  • Advertise
  • Privacy & Policy
  • Contact
Tuesday, March 2, 2021
  • Login
The Vaultz News
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • Sports
  • Arts & Lifestyle
    • Lifestyle
    • Fashion
  • Election 2020
No Result
View All Result
The Vaultz News

AfCFTA growth impact is long-term; won’t reflect in 2021 GDP growth— Prof. Gatsi

  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • Sports
  • Arts & Lifestyle
    • Lifestyle
    • Fashion
  • Election 2020
No Result
View All Result
The Vaultz News
No Result
View All Result

AfCFTA growth impact is long-term; won’t reflect in 2021 GDP growth— Prof. Gatsi

January 16, 2021
Stephen AbankwahbyStephen Abankwah
in Economy_Null (x), One Top Story, Top Stories
0
AfCFTA growth impact is long-term; won’t reflect in 2021 GDP growth— Prof. Gatsi

Prof John Gatsi, Dean of the School of Business, UCC

Prof. John Gatsi, an Economist and the Dean of the School of Business at the University of Cape Coast, although optimistic about the benefits of the African CFTA on the Ghanaian economy has hinted that the potential of the FTA would not reflect in GDP growth in 2021.

Speaking in an interview with the Vaultz News, he intimated that the fact that the Free Trade Area has been operationalized would not exponentially increase economic activities immediately as a result of the operations from the trade bloc, but would take time.

 “With particular reference to the FTA, I think this goes beyond what our people do by crossing the border every day.

“…We are now talking about people being able to produce to meet markets not only within Ghana, but meet markets in Nigeria, Cote D’Ivoire, South Africa, Zambia, Botswana, etc. That one will take time so, we shouldn’t believe that because this FTA has been operationalized, therefore everything will be moving here and there.

“… People will now have to go through contracts, understand the terms of the contract, will begin to readjust their production processes, packaging, et cetera, to meet the requirements of contracts. So, it will take some time for all those things to work very well in our collective interest.”

  • AfCFTA is up and running despite challenges

The general secretary of AfCFTA, Wamkele Mene, also shared similar sentiments in response to critics that: “It may take some time before each of us sees the direct benefit. We are not going to be deterred by our critics who say they don’t see evidence that trading has started.”

Recent growth forecasts from Moody’s Ratings Agency (4%), the World Bank (1.4%) and Cordros Capital (4.2%) had registered positive growth rates. Albeit, all forecasts hinted that shocks from the COVID-19 pandemic disease, if not checked, may avert such a positive outlook.

Prior to the commencement of the AfCFTA, general hopes were that, the AfCFTA is among the notable drivers of the continent’s resilience post-COVID-19. In the short term, however, Prof. Gatsi remarked that, the AfCFTA will not prominently feature as a driver of growth and offset the shock from the COVID-19 pandemic this year due to the underlying issues earlier mentioned, whilst making reference to Ghana’s GDP growth forecasts.

AfCFTA Growth impact too small to affect Sovereign Ratings- Fitch

This goes to affirm the assertions of Fitch Ratings that, the impact of free trade would be positive for Africa’s economic potential, albeit the intensity of the impact is likely to be small and may not affect sovereign ratings. According to the International Ratings Agency, the FTA is likely to face a number of obstacles, based on a broader African outlook.

Accordingly, the Ratings Agency observed that, it is not clear as yet how effective the implementation and the enforcement of the AfCFTA will be. The likelihood is that, along the way, governments may be unwilling to accept certain limitations on their ability to enact policy, especially where trade liberalization requires governments to make politically unpopular decisions or interferes with domestic subsidies and exchange controls.

“Regional trade growth will continue to face obstacles. Infrastructure shortfalls, including poor roads and port congestion, remain a substantial challenge. More broadly, a lack of reliable power supplies and constraints on access to funding will continue to curb the potential for manufacturing production. Foreign-currency restrictions and bureaucratic impediments further hamper intra-regional trade,” Fitch asserts.

READ ALSO: AfCFTA Growth Impact too small to affect Sovereign Ratings- Fitch

Tags: AfCFTAForecastsGDP
Login
guest
guest
0 Comments
Inline Feedbacks
View all comments
Previous Post

BoG Issues Netting Arrangements for Financial Contracts

Next Post

President Museveni declared winner of Uganda presidential election

Sign up for The Vaultz analytic wire

Get weekly news analysis from top editors at The Vaultz and stay informed on trending economic and business issues from across the globe.

Related Posts

Prof Gatsi confident of buoyant economic growth this year
Economy

Prof Gatsi confident of buoyant economic growth this year

January 18, 2021
The next big agenda on the President’s to-do list: Gov’ts appointment of Ministers
Economy_Null (x)

The next big agenda on the President’s to-do list: Gov’ts appointment of Ministers

January 12, 2021
Déjà vu: Will Inflation return to below-target levels in Q1 of 2021?
Economy_Null (x)

Déjà vu: Will Inflation return to below-target levels in Q1 of 2021?

January 11, 2021
Protecting democracy with a broken parliament
Economy_Null (x)

Protecting democracy with a ‘broken’ parliament

January 7, 2021
COVID Relief Program: Should the Gov’t consider suspending payment of fees by tertiary students?
Economy_Null (x)

What we need to have open conversations about: Galamsey, yes! But Corruption too.

January 6, 2021
Gov’t defies Experts’ forecasts & warnings for continued freebies into Q1 of 2021
Economy_Null (x)

Gov’t defies Experts’ forecasts & warnings for cont’d freebies into Q1 of 2021

January 5, 2021
International superstar, Eddie Murphy has attributed the lack of diversity in the film industry to the fact that 'white men run this business'
Entertainment

WHITE MEN RUN THIS BUSINESS – EDDIE MURPHY

by Dorcas DamehMarch 2, 2021
Imported inflation to rise as PAS charges increase by 71 percent
Economy

Imported inflation to rise as PAS charges increase by 71 percent

by Stephen KotochieMarch 2, 2021
Elizabeth Warren, Bernie Sanders propose 3% ‘Ultra-Millionaire’ tax on billionaires
America

Elizabeth Warren, Bernie Sanders propose 3% ‘Ultra-Millionaire’ tax on billionaires

by DerrickMarch 2, 2021
Put Experts In Energy Ministerial And Leadership Positions- Dr. Sulemana
Extractives/Energy

Put Experts In Energy Ministerial And Leadership Positions- Dr. Sulemana

by Priscilla KorantengMarch 2, 2021
Banks are well-positioned for Higher Asset Quality Risk- Fitch Ratings on Ghanaian Banks
Banking

Banks are well-positioned for Higher Asset Quality Risk- Fitch Ratings on Ghanaian Banks

by Stephen AbankwahMarch 2, 2021
Sammy Gyamfi, the National Communications Officer of the National Democratic Congress has disclosed that the caution issued by the Judicial Service to some media is an affront to press freedom.
General News

Letter from the Judicial Service; an affront to free speech- Sammy Gymafi

by Angeller AshongMarch 2, 2021
International superstar, Eddie Murphy has attributed the lack of diversity in the film industry to the fact that 'white men run this business'
Imported inflation to rise as PAS charges increase by 71 percent
Elizabeth Warren, Bernie Sanders propose 3% ‘Ultra-Millionaire’ tax on billionaires
Put Experts In Energy Ministerial And Leadership Positions- Dr. Sulemana
Banks are well-positioned for Higher Asset Quality Risk- Fitch Ratings on Ghanaian Banks
Sammy Gyamfi, the National Communications Officer of the National Democratic Congress has disclosed that the caution issued by the Judicial Service to some media is an affront to press freedom.
[/vc_row_inner]

Trending

  • EC Chair Could Have Testified If She Wasn’t A Party In The Petition- Lawyer Banson

    EC Chair Could Have Testified If She Wasn’t A Party In The Petition- Lawyer Banson

    80 shares
    Share 32 Tweet 20
  • DOING A DIFFERENT GENRE OF GOSPEL MUSIC IN KUMASI IS NOT EASY – REV NHYIRA ADU-GYAMFI

    18 shares
    Share 7 Tweet 5
  • King Carl Tornam Duho Presents a Forthcoming Book Chapter on Climate Change Reporting in Africa’s Mining Sector

    16 shares
    Share 6 Tweet 4
  • PFAG trains farmers on agroecology in Western Region

    15 shares
    Share 6 Tweet 4
  • New revenue measures: Ghana to join the digital services tax bandwagon soon?

    14 shares
    Share 6 Tweet 4
Snow

The Vaultz News

Copyright © 2020 The Vaultz. All rights reserved.

Navigate Site

  • About
  • Advertise
  • Privacy & Policy
  • Contact

Follow Us

No Result
View All Result
  • Top Stories
  • News
    • General News
    • Education
    • Health
    • Opinions
  • Economics
    • Economy
    • Finance
      • Banking
      • Insurance
      • Pension
    • Securities/Markets
  • Business
    • Agribusiness
    • Vaultz Business
    • Extractives/Energy
    • Real Estate
  • World
    • Africa
    • America
    • Europe
    • UK
    • Asia
    • Around the Globe
  • Innovation
    • Technology
    • Wheels
  • Entertainment
  • Sports
  • Arts & Lifestyle
    • Lifestyle
    • Fashion
  • Election 2020

Copyright © 2020 The Vaultz. All rights reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
The Vaultz News


This website uses cookies to enable, optimise and analyse site operations, as well as to provide personalised content and allow to connect to social media. By clicking "ACCEPT" you consent to the use of cookies for non-essential functions and the related processing of personal data. You can adjust your cookies and associated data processing preferences any time in our "Cookies settings". Please view our cookies policy to learn more about the use of cookies on our website.

Cookies settingsACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled

Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.

Non-necessary

Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.

0
0
Would love your thoughts, please comment.x
()
x
| Reply