Accra – An Economic researcher at the Centre for Policy Analysis (CEPA), Dr. Nii Noi Ashong, has said that Ghana is no where near Vision 2020 if the economic growth rate does not go beyond five to eight per cent.
We need to move from the yearly budget projection of five per cent, or we should forget about the middle income status by 2020, he noted.
Dr. Nii Noi Ashong was speaking at a symposium themed “World Bank, IMF Liberalisation and Economic Development in Least Developed Countries” organised by the Association of Economic Students of the University of Cape Coast.
It forms part of the 3rd annual week celebration of the Association.
He noted that export led economies force countries to be more competitive both in quality and price in the global market and urged developing countries to reduce their import intensity both in consumption and production.
Dr. Kofi Nketia Afful, head of the Economics Department of the university said liberalisation in developing economies would not succeed if the undifferentiated and primitive production base of those economies are not diversified.
He added that the over reliance on primary commodities like cocoa, gold, coffee, manganese, among others would create more imbalances between developed and developing countries if values are not added to such commodities.
The deputy head of research, Bank of Ghana Dr. Mohammed Bawumia blamed the recent upsurge in dollars on excessive importation by Ghanaian businessmen.
He however called for the promotion of joint ventureship between local companies and foreign companies in the country’s divestiture process to help check capital flight by foreign companies who always repatriate their profit to their countries.
Wisdom Akpalu, a lecturer at the Department of Economics, wondered whether our current external debt, which has increased from ?1.4 billion in 1980 to ?6 billion, could be sustained.
If we are to pay, that means each Ghanaian has to pay ?1.6 million or $300, he jokingly said.
Akpalu noted that the only choice open to the country is to negotiate for some debt relief to complement adjustment measures.
He however, cautioned that donor agencies cannot grant us debt relief forever, and urged the government to consider expenditure pattern and cut down government size.
The outgoing president of the association, Samuel McLord Onekpeche, in a welcome address expressed regret that our current liberal trade policy made it easier and more profitable to become sellers of imported goods than to produce and sell.
