Economist Professor Festus Ebo Turkson has urged the Mahama administration to seize the country’s improving macroeconomic conditions to implement long-delayed structural reforms.
The report indicates that economist Professor Festus Ebo Turkson has urged the Mahama administration to seize the country’s improving macroeconomic conditions to implement long-delayed structural reforms.
It further notes that he is warning that Ghana cannot afford to wait while external shocks continue to threaten the economy.
Speaking on Joy News’ PM Express Business Edition on Thursday, Prof. Turkson stated the current period of relative economic stability provides the ideal opportunity to build a more resilient economy.
“We are enjoying stability, and we need to build resilience. Resilience will come with a structural change,” he said.
He pointed to the recent decision to supply crude oil from the Jubilee Field to the Tema Oil Refinery (TOR) as an example of the kind of reforms Ghana needs.
“I was excited to see that TOR has received some oil from our Jubilee Fields to refine. That is a structural change. That change will allow us to reduce our imports of refined oil. That change will put less burden on the cedi.”
According to him, reducing pressure on the cedi would have wider benefits for the economy.
“And if the cedi is relatively stable and inflation is low, the monetary policy rate would ease, and therefore interest rates will decline.”
His comments come as Ghana continues to record improvements in key economic indicators, including easing inflation, stronger foreign reserves and a more stable exchange rate.
However, Prof. Turkson argued that these gains will only be sustained if government tackles the economy’s structural weaknesses.
“And so we need to begin to put in place policies that will structurally transform our Ghanaian economy to build the resilience needed to withstand those external shocks.”
He disagreed with suggestions that government should focus solely on preserving stability before embarking on major reforms.
“So I do not entirely agree with Dalex Finance CEO, Joe Jackson, that we should think about stabilising and hold on a bit.”
“I’ve stated it, that the current government has the platform, and the environment to make those structural changes.”
