Mr Kwame Pianim, a management and investment consultant has said that despite the improved economic indices, the national economy still looks very fragile due to uncertainty in the world economy.
He said low inflation rate, stable currency and lower interest rates are not adequate to generate the necessary growth and development.
Speaking at a lecture on the theme “The Economy, Which Way” organised by the Rotary Club of Accra, Mr Pianim said these modest achievements have to be supported by increased productivity in all sectors of the national economy.
He said for once, fiscal and monetary policies are working together in the economic history of this country and that the government is beginning to match its revenue with expenditure, adding that prudent economic management is an essential ingredient for economic growth.
The non-traditional sector, according to him, has however not yet received the necessary support that will enable it to play a meaningful role in the export market and generate the necessary foreign exchange for the country. But adding value to these, he said, will make them competitive and more acceptable on the international markets.
On divestiture of state enterprises, Mr Pianim called on government to be very careful in reviewing all the diverted state enterprises, saying, “this will give wrong signals to both local and foreign investors”. He said unless government has cause to believe that a particular company was not well divested, government can call for an investigation into the said company.
Mr Pianim also called on think tanks, such as the Institute of Economic Affairs, the Centre for Policy Analysis and the Institute of Statistical, Social and Economic Research, to come out with regular review on the economy so as to generate the needed discussions and debate.
