Finance Minister, Ken Ofori-Attah has given five pointers that signal that Ghana’s economy is recovering from the Covid-19 pandemic.
Mr Ken Ofori-Atta, Ghana’s Finance Minister, mentioned strong rebound in growth, low inflation rates, stable currency, strong reserve position and FDI flows as positive indicators that Ghana’s economy is recovering from the pandemic during his Mid-Year Budget Review in Parliament.
“Mr Speaker, the strong rebound in growth, the low inflation rates, the stable currency, the strong reserve position and FDI flows are clear indicators of economic recovery.”
“Indeed, the strategic investments we collectively made in building strong economic fundamentals in the three years prior to this pandemic, as well as the subsequent speed, scope and scale of our socio-economic response to the pandemic, is fueling our recovery.”
Ken Ofori Atta stated that the inflation rate and interest rates are lower and the exchange rate is more stable as compared to 2016.
“Mr Speaker, I would like to note that notwithstanding our elevated debt levels as a result of COVID-19, our inflation rate is lower than it was in 2016, our interest rates are lower than they were in 2016, our exchange rate is more stable than it was in 2016, our foreign exchange reserves are much higher than they were in 2016, and we did not have to lay off any workers, nor cancel teacher and nursing training allowance.”
“Furthermore, we did not go to the IMF for a bailout programme, neither have we built an interchange for the price of three. This is because we have managed the economy much better than it was managed up to 2016. Let us not forget.”
He added that all the above were achieved owing to conscious policies of the government which attracted more foreign direct investments into the country.
“On the back of these and other deliberate policies, our country has attracted more foreign direct investments in the midst of the pandemic. As of end-June 2021, total FDI into the country was valued at US$954.2 million, indicating an increase of 71.2 per cent from US$ 557.2 million recorded over the same period last year.”