Adnan Adams Mohammed
Dr Jerry Monfant, an economist has described the current managers of Ghana’s economy as absolutely clueless about establishing good economic models to forestall the looming economic dangers.
The international economist has noted that, research indicates that Ghana is not amongst well prepared Central Banks to take the hit on inflation as compared to Nigeria.
He expatiated that, Ghana joined 13 worse economic performing countries in the World in November, 2021 and as well ranks fourth with a distressed Sovereign US$ Debt behind Argentina, Venezuela, and Lebanon. Also, Ghana ranks third as a worse performing emerging markets hard currency Sovereign Bonds.
“Meanwhile the government of Ghana is absolutely clueless about establishing good economic models to forestall the looming economic dangers”, Dr Monfant shared his worry about the the Ghanaian economy in his recent post circulated on social media.
Below is the full statement:
From Dr . Monfant’s Desk
Gofer Delegators Or Economic Managers?
United States inflation is up at 7% as at 13th January, 2022. As part of the prudent measures to subdue the inflation, the US government has asked for more oil reserves to be released and has equally implore on China, Japan and South Korea to follow same in order to suppress the global inflation.
Poland recorded 7.8 percent inflation during the same period. The busting measures taken by the Polish government includes cutting the VAT on petrol and diesel to 8 percent, and VAT on food, gas and fertiliser to 0 %. Both US and the Polish government are expected to raise interest rate to prevent excess financial transmission in their economies as a means of containing the global rising inflation.
Our research indicates that Ghana is not amongst well prepared Central Banks to take the hit on inflation as compared to Nigeria.
Of course, Ghana’s economic profile for the last three months leaves more to be desired.
Ghana joined 13 worse economic performing countries in the World in November, 2021.
Ghana ranks fourth with a distressed Sovereign US$ Debt behind Argentina, Venezuela, and Lebanon.
Ghana ranks third as a worse performing emerging markets hard currency Sovereign Bonds.
Ghana is the 5th worse performing emerging economy in the World.
Meanwhile the government of Ghana is absolutely clueless about establishing good economic models to forestall the looming economic dangers.
41 percent of average Ghanaian household income is used for food consumption alone. In 2019, Ghana imported US $2bn of agricultural and related products across the World, while the citizens were made to believe that the government policy of “planting for food and jobs” was making headway.
With the current Global stance, we anticipate 50 percent of an average household income to be used on food consumption alone, as the economy would be importing external inflation into the country through its agricultural import.
E- levy, which is also billed to cut household incomes to a proportion are all part of the bizarre economic narrative which does not make sense to an economists. It’s clear living conditions could get even more worse, as the country might likely embrace debt default according to our scorecard scenario. This has a potential of raising social tensions.
The productivity of the citizens are expected to decline by 0.017 percent and we project this percentage to increase as the months roll-on.
It’s clear the government of Ghana is no longer in charge of the management of the economy. The questions economic pundits ask, is whether the Country has Gofer Delegators or a real economic management team? Call me if you find an answer.
