Economy

New plan needed to break away from IMF -Alan Kyerematen

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The immediate erstwhile Minister of Trade and Industry, Alan Kyerematen has called for a new plan to restore the country towards growth and transformational path as well as breaking away from the International Monetary Fund (IMF).

The International Monetary Fund (IMF) is poised to lend Ghana $3 billion as the African nation grapples with its worst economic crisis in a generation.

Ghana’s determination not to seek the fund’s help for a 17th time crumbled in July after soaring inflation spurred widespread street protests.

According to Mr. Kyerematen, who addressed the nation last week and announced his intentions to run for the ruling party’s flagbearer position when it is opened, “To avoid going back to the IMF, we need a new Plan. A Plan that will lead us to a more self-reliant and resilient economy. That Plan must move Ghana from Stability and Growth to Transformation.”

Further Mr.Kyerematen indicated that when he gets the nod from his party and ultimately wins power, he will launch and lead the execution of the Great Transformational Plan (GTP) of Ghana which will span the period 2025 to 2030.

The Post-COVID Economic Recovery Programme (P-CERP) currently being implemented with the anticipated support from the IMF from 2023 to 2025, will be a transitional economic programme leading to the roll out of this Great Transformational Plan.

He proposed seven critical considerations would need to be taken into account to guarantee the success of the plan; first he stated that the primacy of the Private Sector in the country’s national development agenda. The Private Sector, both domestic and foreign, formal and informal has to be at the centre of our transformational agenda. The Government’s focus must be to facilitate the process of making our private sector competitive, by creating an enabling environment for businesses.

Attitude to work and enforcement of discipline, Corruption and petty theft or thievery, particularly from the public purse, deny our country the benefit of utilizing its tax revenue and other resources for the development of our country, The arrogance of power has been a major obstruction to progress in our country, Passion for excellence. As a country we must celebrate competence and excellence and not mediocrity.

Further, he discussed that as a people, focus should be more on getting things done than talking and politics in Ghana is too divisive.

A staff level agreement has been reached with the IMF but the executive board will approve the $3 billion loan package only if Ghana undergoes a comprehensive debt restructuring.

Ghana’s debt reached 467.3 billion cedis ($43.5 billion) in September.

The country’s consumer inflation rose to 54.1% year-on-year in December, up from 50.3% the previous month and its highest level in 22 years, driven by fuel, utilities and food, the statistics office has announced this month.

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