Realistic economic recovery strategies key to growth – Businesses
BUSINESSES have underscored the need for the government to set realistic expectations for economic recovery and growth under the new administration.
As businesses await the new government’s policies, they believe stronger collaboration and practical approaches will ensure long-term success for businesses, especially the private sector amid the current economic challenges.
In recent years, Ghana’s economy has faced numerous challenges ranging from high inflation, a depreciating currency, to increased taxes, and low growth.
These economic headwinds have created a challenging business environment for both local and international companies operating in the country.
In an interview with the President Association of Ghana Industries (AGI), Dr Humphrey Kwesi Ayim Darke, expressed concern over the state of the economy and stressed the need for clear, attainable strategies to improve business conditions in the country.
He explained that while the new President has committed to improving wages and supporting businesses, the actual state of the economy presents significant challenges.
“We have a number of problems with inflation, cost of business operations, and the transitional period we’re in, if promises were made to significantly improve the business environment, we must first evaluate if these are realistic given the economic constraints we face,” he said.
He therefore urged the government to adopt a realistic approach to its economic promises.
“The reality is, as a nation, we are in a debt trap. We need to engage in practical, measurable steps to manage our economic situation, stabilise macroeconomic indicators, and ensure that businesses can grow in a sustainable environment,” Dr Darke added.
President assures
President John Dramani Mahama in his inaugural address last Tuesday, highlighted the country’s recent struggles with inflation, unemployment, and fiscal deficits, emphasizing that economic recovery would be a top priority for his government.
“The circumstances we find ourselves in are indeed tough, but even so, I will be decisive and swift in my actions. We will focus our initial efforts on economic restoration and stabilization of the macroeconomic environment. Ghana’s future depends on how well we can regain control of our economy,” he assured.
He committed to improving the investment environment, making Ghana more attractive to both local and international investors.
Collaboration
Despite these challenges, the AGI President expressed optimism about the opportunities for collaboration between the business community and the new government.
He called for open dialogue to address key economic concerns and to find solutions that promote business growth while managing the nation’s financial realities.
Fixed rate duty
Meanwhile in a separate interview with the second Vice President of the Ghana Union of Traders Association (GUTA), Charles Gyan, emphasized the need for reforms that will benefit businesses, particularly importers.
He expressed optimism about the new government’s potential to transform the economic landscape, while outlining the association’s key policy requests aimed at easing the burden on traders.
He pleaded to the government to extend his intention to implement a fixed rate duty for the Abossey Okai spare parts dealers to all importers across the country.