Ken Ofori Atta, Ghana’s Minister of Finance has admitted that 2022 was a difficult year for him and the government led by President Nana Addo Dankwa Akufo-Addo.
He stated the price of goods and services is going high as a result of the aftermath of COVID-19 and as well as the Russia-Ukraine war which has affected the global world.
Briefing Parliament on the mid-year budget review, Ofori Atta said the pandemic and conflict have forced the government to run to the International Monetary Fund (IMF).
He said “2022 was the most difficult year for me as Ghana’s Finance Minister. On July 1st, 2022, we took what was then a very difficult but necessary decision to request support from the IMF to implement our Post-COVID-19 Programme of Economic Growth (PC-PEG). The country was going through a dire period of economic uncertainties and despondency.
“A year on, our steps are more grounded, the vision is clearer, the path to recovery is better set, and confidence in our economy is back, growing gradually.”
“We have turned the corner and, more importantly, we are determined to continue down that path. Soon, we expect the measures taken to result in economic activity greater than anything experienced in the history of the Fourth Republic. Our plans and programmes should soon lead to a sustained increase in domestic production, including manufacturing and farming, replacing many of the products that we are used to importing,” he added.
According to him, there are indicators of economic stability in Ghana, including lower inflation, more international reserves, and less erratic currency rates.
He indicated that the country is on its way out of the challenges that have bedeviled the economy.
“The economy is showing signs of recovery. The exchange rate has stabilised, inflation has softened, and interest rates have declined since December 2022,” he stressed.
The finance minister also said, Ghana’s budget deficit was at 11.8% of gross domestic product (GDP) on a commitment basis last year, almost double the target of 6.3%/GDP.
