Ghana's economy needs a reset – Prof. Bokpin laments 'foreign dominance'

Professor Godfred Bokpin of the University of Ghana Business School has called for a reset of the Ghanaian economy, citing high taxes and economic hardships as hindrances to ordinary citizens' ability to save for the future.

The finance expert expressed concern that the current economic landscape favours foreign investors, leaving the average Ghanaian unable to save capital and benefit from the projected 1 trillion cedi economy by the end of 2024.

He argued that this economic climate has led to the gradual takeover of critical sectors by foreign investors, including agriculture, real estate, and construction, as locals lack the means to become shareholders in these ventures.

“Ghana needs a reset. We striking a good balance between the private and public sector without compromising the competitiveness of the private sector and then households,” onuaonline.com quoted him to have said.

The professor asserted that the situation is a result of the government's inefficiency in managing state-owned enterprises, leading to the advice from the International Monetary Fund (IMF) and World Bank to divest them.

“…because of the level of taxes, the average Ghanaian is unable to save. And any country that is not saving significantly, cannot accumulate capital to take advantage of the limited economic opportunities that are being created.

“This economy gradually, every critical aspect of this economy is being taken up by foreign investors whether in agriculture, real estate, construction all over because the average Ghanaian cannot accumulate capital.”

He added “If there is an economic opportunity today and you ask the average Ghanaian even in the middle class, those who claim they have crossed the poverty line, and you ask them to put US$50,000 on the table, they can’t raise that and that is why increasingly the local content in our economy is decreasing and we are losing.

“…so, when we talk about our GDP hitting GH¢1 trillion by the end of 2024, probably foreigners should be more excited about that because the larger portion of that is actually reflecting in their pockets, in their economies, and not here. This is not growth Ghanaians can celebrate and identify with.”

AM/SARA

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