Ghana has been to IMF 16 times yet economy unstable - Bopkin

• Finance and Economic Lecturer, Professor Godfred Bokpin has cautioned government against running to IMF for an economic programme

• He argued that countries that have gone to the IMF for assistance have developed but Ghana’s case is on the contrary

• Prof Bopkin believes a strategic plan and discipline in financial and economic management will foster growth

Finance and Economics Lecturer, Professor Godfred Bokpin has urged government to consider other options of reviving the economy rather than going to the International Monetary Fund for an economic programme.

Financial analysts have argued that the country needs to adopt a programme, be it ‘Home Grown’ or ‘External’ to restore confidence in the economy, post-COVID-19.

This is due to the country’s growing debt and high fiscal deficit, partly attributed to the effects of COVID-19.

Speaking on Joy News, Professor Bokpin said the country cannot be running to the IMF anytime there are challenges within the economy.

“I think others have suggested that we need a programme to ambitiously reduce the deficit in terms of fiscal consolidation. I have a different view actually, any decision to go to the IMF must be thoroughly interrogated. We’ve been to the fund 16 times, what do we have to show for it. What shows that the 17th time will deliver a different outcome on a more sustainable bases?”

“Since Ghana joined the IMF, practically every three years and some few months, we’ve had to call on the IMF but what do we have to show for…but some talked about policy credibility. The last time we went to the IMF after the Senchi dialogue, we said we needed that to give credibility to the whole grown policy”, he pointed out.

He argued that countries that have gone to the IMF for assistance have developed.

“Which country has ever developed? We’re always running to the IMF as though we are going to buy pure water from the market. Which country? Do you have any country to show as an example? Tell me if you have any”, he explained further.

Professor Bokpin believes a strategic plan and discipline in financial and economic management will foster growth.

“When we need help we can go for help, but let’s remember that the best helping that we can find as a country is at ‘the end of our own arm’. If Ghana is incapable of developing Ghana, forget about it”, he alluded.

Ghana’s debt hit GH¢304.6 billion at the end of March 2021, whilst its financing gap is expected to have narrowed slightly, from the 13.7% of Gross Domestic Product recorded in 2020 in the first quarter of this year.