The President of the Republic, Nana Addo Dankwa Akufo-Addo, has stated that, his New Patriotic Party(NPP)government has made significant progress in all facets of the economy, over the last two and half years, and is working to put the country on the path of progress and prosperity.
According to President Akufo-Addo, his NPP government is by no means out of the woods yet, but they have made significant progress, with the macroeconomic fundamentals now pointing in the right direction, and, in the process, have concluded their exit from the International Monetary Fund (IMF) programme on a high note.
President Akufo-Addo made this known on Wednesday, 3rd July, 2019, when he delivered an address at the 2nd Ghana Diaspora Homecoming Summit, held at the Accra International Conference. The President assured that, his administration is determined to maintain discipline in the management of Ghana’s economy so that, resorting to an IMF bailout won’t be a part and parcel of his government.
Addressing the gathering, he stated that his administration inherited an economy confronted with significant challenges, with all the macroeconomic fundamentals pointing in the wrong direction, under the emergency management of the International Monetary Fund.
The Ghana bequeathed to his administration, the President said, was one with an economy growing at a rate of 3.6%, with a fiscal deficit of 9.3%, was saddled with erratic power supply, had GH¢1.2 billion of NHIS arrears, a dangerously fragile banking sector, with weakly capitalised banks, widespread corruption; and widespread unemployment, amongst others.
However, the President stated that, by dint of hard work and prudent management of Ghana’s resources, they have made modest advances, and he is elated to report that, his government have been able to steer the country out of the stormy waters that had characterised the years before 2017. As he noted that his administration has cleared all NHIS arrears inherited, paid nearly 50% of the inherited energy debt, and bold measures have been taken to sanitise the banking system and strengthen it, with deposits of 1.5 million Ghanaians safeguarded.
According to the President, Ghana is projected, this year, by the IMF, to be the fastest-growing economy not just in Africa, but in the entire world, with a projected Gross domestic product (GDP) growth rate of 8.8%, adding that, Inflation is in single digits, from 15.4% at the end of 2016 to 9.5% in April 2019; the debt-to-GDP ratio has declined to 54.8% at the end of 2018; interest rates are declining; and so is the Bank of Ghana Monetary Policy Rate.
President Nana Akufo-Addo explained that, Ghana’s trade balance, for the first time in more than a decade, recorded a surplus in 2017, maintained it in 2018, and, in the first quarter of this year, has recorded a surplus of $899 million. He added that, It comes as no surprise, therefore, that, today, Ghana is the leading recipient of foreign direct investment in West Africa. as some of the world’s largest companies are setting up shops in Ghana, and Ghana have, recently, become the largest producer of gold in Africa.
