Impact of Prez Akufo-Addo’s W/A tour on economy
March 6, this year marked 60 years since Ghana attained independence from British colonial rule.
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Indeed, 60 years in the life of a nation calls for sober reflections on her socio-economic development and trajectories.
There is no gain-saying 60 years in the life of Ghana have been characterised by economic fortunes and misfortunes. In spite of the challenges confronting us as a nation, it was deemed necessary to celebrate our 60th independence anniversary with relative modesty. Several events were organised to add colour to the celebration. The 60th anniversary celebration saw the invitation of foreign dignitaries, including leaders from African countries such as Nigeria, Togo, Benin, Burkina Faso, La Cote d’Ivoire, Guinea, Sierra Leone, Liberia, Senegal, and Cape Verde, among others.
Benefits to Ghana
Barely two months after the 60th anniversary celebration, President Nana Addo Dankwa Akufo-Addo, embarked on official visits to some of the African leaders who were invited to the event. However, some social commentators have expressed concerns about the rationale behind the President’s visits and their economic significance to the nation. The imminent question emanating from the ongoing debate is: “What are the socio-economic benefits of President Akufo-Addo’s African tour to the Ghanaian economy?” One could readily recount about four distinct and essential benefits of the President’s foreign trips to the Ghanaian economy.
First, as tradition demands, it is imperative to reciprocate the kind gesture of your neighbours. To this end, it was important for the President of the Republic to visit these African leaders to express the people of Ghana’s profound gratitude and thanks for their decision to take time off their busy national schedules to grace the celebration of Ghana’s 60th independence anniversary; and to formally introduce himself as the current President of Ghana to the peoples of the touring African countries.
Second, the President’s visits would help to strengthen ties between Ghana and each of the African countries visited. The advent of improved technology such as Skype and telephone conversations has enhanced collaboration and relation among leaders; it has limited the extent to which one’s physical presence is required to transact a business. These novel technological advancements notwithstanding, one’s physical presence is inevitable in certain situations; the President’s physical presence in the neighbouring African countries has created the enabling environment for discussions on matters of national importance. In countries where the international relations are under siege or on the verge of collapse, the visit afforded the leaders the opportunity to revive and strengthen those relations. For instance, President Akufo-Addo’s visits to Togo and La Cote d’Ivoire presented him with an opportunity to assure and reaffirm the Government of Ghana’s commitment to curbing the debilitating effects of illegal mining on water bodies flowing across these countries.
Available statistics indicate that in 2013, trade volume between Ghana and Cape Verde amounted to $5 million; the volume of trade between the two countries in 2016 was less than $200,000. However, Ghana’s bilateral relations with Cape Verde have been given a significant boost by President Akufo-Addo’s visit to President Jorge Fonseca; leaders of the two countries have renewed their commitment to strong economic relations for the mutual benefit of their citizens in the areas of job creation and increased income. Specifically, the leaders considered the establishment of a Permanent Joint Commission for Co-operation between Ghana and Cape Verde to facilitate direct flight and shipping arrangements between Accra (Ghana) and Praia (Cape Verde), among others.
Third, the leading marketer of the Ghanaian economy to foreign investors is the President. As a result, President Akufo-Addo’s visits to the neighbouring African countries presented an opportunity for him to showcase Ghana’s investment opportunities; and outline measures put in place by the government to make Ghana a preferred destination for investors. Organising business fora during the visits made it possible for investors to ask pertinent questions; and to receive cogent responses on the investment climate in Ghana.
Ease of doing business
In 2017, the World Bank released statistics on the ease of doing business in 190 economies across the globe based on the following criteria: ease of doing business, starting a business, dealing with construction permits, getting electricity, registering property, getting credit, protecting minority investors, paying taxes, trading across borders, enforcing contracts, and resolving insolvency.
The statistics revealed Ghana ranks 108th in the world, 11th in Africa, and 1st in West Africa with regards to the ease of doing business. This implies that the necessary fundamental policies have been formulated to facilitate business transactions in the country. Perhaps, what requires constant improvement is efficiency in the registration of businesses; provision of infrastructural facilities such as good roads, adequate electricity and water supply to the nook and cranny of this country to ensure equitable distribution of companies and jobs to various areas in the economy.
Similar statistics released by the World Bank in 2016 on the ease of doing business revealed Ghana ranked 114th in the world, 9th in Africa and 1st in West Africa. A comparative analysis of the World Bank statistics for 2016 and 2017 reveals an improvement in Ghana’s world rankings, a drop in the African rankings, and a consolidation of the West African rankings.
Finally, President Akufo-Addo was expected to meet and share the Government of Ghana’s policies with Ghanaians resident in the touring African countries. It is necessary for Ghanaians abroad to be updated, constantly, on the country’s socio-economic developments. This plays a monumental role in their resolve to remit regularly, and to make a firm decision on returning home to contribute their quota to the edifice of our dear nation. The President’s interactions with Ghanaians resident in the neighbouring African countries might have unravelled thoughts and ideas useful to the advancement of the nation’s economic cause. Indeed, knowledge and wisdom are not the preserve of an individual or a government; together, we can build a better Ghana.
The author is Lead Consultant/CEO,
Eben Consultancy.
Fellow, Chartered Economist &
Council Member, ICEG.
Email: [email protected]
Website: www.ebenezerashley.com