President unveils economic sustainability plans at CEO summit

President John Mahama has outlined a comprehensive strategy to sustain the recovery of the economy, focusing on fiscal discipline, private sector collaboration and innovative financing. 

Speaking at the 2025 Ghana CEO Summit in Accra yesterday, the President emphasised the need to learn from past mistakes while charting a sustainable path forward.  

The summit, which was on the theme: “Leading Ghana’s economic reset: Transforming business and governance for a sustainable futuristic economy,” brought together government officials, including the Governor of the Bank of Ghana (BoG), Dr Johnson Asiama; Minister of Labour, Jobs and Employment, Abdul-Rashid Pelpuo, and Senior Economic Advisor to the President, Seth Emmanuel Terkper.

Others were captains of business and investors who discussed collaborative solutions for national development.  

Past lessons

President Mahama highlighted the economic achievements of his previous administration (2013-2016), including the introduction of medium-term bonds, a sinking fund for debt repayment and responsible Eurobond issuances.

He, however, said that subsequent mismanagement had led to the country’s first-ever debt default, which the President said had eroded investor confidence and shrunk the private sector.  

To help sustain a resilient economy, President Mahama detailed an eight-point plan to restore economic stability and growth.  

Measures

First, the President said the government would ensure a disciplined completion of the IMF Extended Credit Facility programme, with plans to exit by 2026 and transition to a Policy Support Instrument for long-term fiscal responsibility.  

He said they would also work to reopen access to domestic and international capital markets, and ensure future borrowing was tied to commercially viable projects that can self-finance repayments.  

President Mahama said amendments to the Public Financial Management Act would make contributions to sovereign funds mandatory, while local governments would be empowered to issue infrastructure bonds for development projects.  

Next, he said the government would clear verified arrears based on an upcoming Auditor-General’s report, and enforce stricter controls on new expenditures to prevent recurring debt.  

The President said public financial management reforms would be accelerated, including the implementation of the Treasury Single Account (TSA) and real-time budget monitoring systems to enhance transparency.  

He said the Ghana Ex-Im Bank would be repositioned to support non-traditional exports, agro-processing, and SMEs to boost foreign exchange earnings and job creation.  

Additionally, President Mahama said the government would pursue its ambition of becoming West Africa’s commercial and digital hub, leveraging the African Continental Free Trade Area (AfCFTA) for expanded trade and investment.  

He gave an assurance that critical infrastructure projects in roads, energy and housing would resume through public-private partnerships (PPPs) and innovative financing models rather than excessive borrowing.  

Business platform

President Mahama further announced the establishment of a National Business Consultative Platform, which will convene twice a year to align government policies with industry needs, adding, “We will borrow responsibly to avoid crowding out private sector credit”.

He commended businesses that had reduced prices following the cedi’s appreciation and urged others to follow suit to ease the burden on consumers.  

“The time has come to lift the gloom, restore confidence and build again. Together, we can reset Ghana’s economy for a prosperous future.”

Inflation outlook

The BoG Governor highlighted improvement in economic indicators, saying headline inflation declined to 21.2 per cent in April 2025, down by 2.6 percentage points since the start of the year.

He projected that inflation would return to the BoG’s target band of 8±2% by early 2026, through disciplined monetary policy and foreign exchange market reforms.

The cedi has also appreciated by 24.1 per cent against the US dollar year-to-date, driven by enhanced remittance channels and stricter market surveillance rather than reserve depletion.  

“Our growth prospects remain strong as our real sector indicators are all pointing to a pickup in economic activities, mainly driven by exports, credit to the private sector and construction activities,” Dr Asiama said.

The Governor also outlined structural reforms, including a new Cash Reserve Ratio (CRR) policy requiring banks to hold reserves in the same currency as their liabilities, effective June 5, 2025.

He challenged CEOs to drive Ghana’s economic reset through a four-point "CEO Manifesto" of boosting productivity via innovation, investing in future-ready talent, expanding value-added exports and upholding strong governance. 

Public-private dialogue

To improve policy alignment, Dr Asiama said the BoG would launch a CEO Forum for structured engagement with industry leaders, inspired by global models such as the US Federal Reserve’s regional councils.

The bank has also begun inviting business representatives to observe Monetary Policy Committee meetings to ground decisions in real-time market insights.

The Governor also announced plans to regulate Virtual Asset Service Providers (VASPs) by September 2025, to address the country’s growing crypto adoption.

Other initiatives include operationalising Open Banking guidelines, embedding climate risks into supervision, and reviving domestic capital markets through SOE listings and bond market reforms.