According to him, speculations about the cedi and illegal forex trading activity in the past months, have triggered its decline, especially against the US dollar.
“Fellow Ghanaians, as the French would say, l’argent n’aime pas le bruit, to wit, money does not like noise, sika mpɛ dede. Where there is chaos, where there is noise, where there is unrest, you will not find money.”
“If you talk down your money, it will go down. If you allow some unidentifiable person to talk down your money, it will go down,” he noted.
Although this theory can be debated, Ghanaians on social media platform, Twitter, in their own way, have been seeking to ‘resurrect’ the cedi which is listed as the worst-performing currency in the world, overtaking the Sri Lankan Rupee.
In a rather satirical turn of events, some Ghanaians on the platform have been calling for the cedi to miraculously appreciate and perform better than it currently is.
“Arise oh cedi! Again I say arise!,” one user wrote.
This has been coupled with inflationary pressures which have seen Ghana record a rate of 37.2 percent in September 2022 – the highest in about 20 decades.
The current economic challenges in Ghana have culminated in job losses, worker agitations, rising cost of living and general frustration among the populace.
In his economic speech on October 30, 2022, the president expressed remorse for occasions in which individuals used unconventional tactics to cause the cedi to depreciate, particularly through speculation.
He urged the people to support the measures the government has already taken to defend the cedi by doing whatever is necessary.
“Fellow Ghanaians, where there is confusion, where there is noise, where there is unrest, you will not find money, as the French would say, l’argent n’aime pas le bruit, to wit, money does not like noise, sika mpe dede.
“If you talk down your money, it will go down. If you allow some unidentifiable person to talk down your money, it will go down,” he stressed.
“The recent turbulence on the financial markets was caused by low inflows of foreign exchange, and was made worse in the last two to three weeks, in particular, by the activities of speculators and the Black Market.
“An anonymous two-minute audio message on a WhatsApp platform predicting a so-called haircut on Government bonds sent all of us into banks and forex bureaus to dump our cedis, and, before we knew it, the cedi had depreciated further.
“All of us can play a part in helping to strengthen the cedi by having confidence in the currency, and avoiding speculation. Let us keep our cedi as the good store of value it is,” he stated.
Then he delivered a word of caution to speculators: “To those who make it a habit of publishing falsehoods, which result in panic in the system, I say to them that the relevant state agencies will act against such persons,” he stressed.
Some steps taken to restore order in the forex markets:
1) enhanced supervisory action by the Bank of Ghana in the forex bureau markets and the black market to flush out illegal operators, as well as ensuring that those permitted to operate legally abide by the market rules. Already some forex bureaus have had their licenses revoked, and this exercise will continue until complete order is restored in the sector;
2) Fresh inflows of dollars are providing liquidity to the foreign exchange market, and addressing the pipeline demand;
3) the Bank of Ghana has given its full commitment to the commercial banks to provide liquidity to ensure the wheels of the economy continue to run in a stabilized manner, till the IMF Programme kicks in and the financing assurances expected from other partners also come in;
4) Government is working with the Bank of Ghana and the oil producing and mining companies to introduce a new legal and regulatory framework to ensure that all foreign exchange earned from operations in Ghana are, initially, paid to banks domiciled in Ghana to help boost the domestic foreign exchange market; and
5) the Bank of Ghana will enhance its gold purchase programme.
“I am confident that these immediate measures designed to change the structure of our balance of payment flows, sanitise the foreign exchange market to ensure that the banks and forex bureaus operate along international best practices, together with strengthened supervision, will go a long way to sanitize our foreign exchange market, and make it more resilient against external vulnerabilities going forward,” he added.
As part of his October 30, 2022 address on the economy, the president regretted instances where people have through unorthodox means triggered depreciation of the cedi, especially through speculation.
He charged the populace to do all it takes to protect the cedi by way of complementing efforts that the government has so far put in place.
“Fellow Ghanaians, as the French would say, l’argent n’aime pas le bruit, to wit, money does not like noise, sika mpɛ dede. Where there is chaos, where there is noise, where there is unrest, you will not find money.
“If you talk down your money, it will go down. If you allow some unidentifiable person to talk down your money, it will go down,” he stressed.
He went on to give a diagnosis of the current headache that the currency is facing and identified the role that the Black market and speculators were playing in worsening the plight of the cedi.
“The recent turbulence on the financial markets was caused by low inflows of foreign exchange, and was made worse in the last two to three weeks, in particular, by the activities of speculators and the Black Market.
“An anonymous two-minute audio message on a WhatsApp platform predicting a so-called haircut on Government bonds sent all of us into banks and forex bureaus to dump our cedis, and, before we knew it, the cedi had depreciated further.
“All of us can play a part in helping to strengthen the cedi by having confidence in the currency, and avoiding speculation. Let us keep our cedi as the good store of value it is,” he stated.
Then he delivered a word of caution to speculators: “To those who make it a habit of publishing falsehoods, which result in panic in the system, I say to them that the relevant state agencies will act against such persons,” he stressed.
Some steps taken to restore order in the forex markets:
1) enhanced supervisory action by the Bank of Ghana in the forex bureau markets and the black market to flush out illegal operators, as well as ensuring that those permitted to operate legally abide by the market rules. Already some forex bureaus have had their licenses revoked, and this exercise will continue until complete order is restored in the sector;
2) Fresh inflows of dollars are providing liquidity to the foreign exchange market, and addressing the pipeline demand;
3) the Bank of Ghana has given its full commitment to the commercial banks to provide liquidity to ensure the wheels of the economy continue to run in a stabilized manner, till the IMF Programme kicks in and the financing assurances expected from other partners also come in;
4) Government is working with the Bank of Ghana and the oil producing and mining companies to introduce a new legal and regulatory framework to ensure that all foreign exchange earned from operations in Ghana are, initially, paid to banks domiciled in Ghana to help boost the domestic foreign exchange market; and
5) the Bank of Ghana will enhance its gold purchase programme.
“I am confident that these immediate measures designed to change the structure of our balance of payment flows, sanitise the foreign exchange market to ensure that the banks and forex bureaus operate along international best practices, together with strengthened supervision, will go a long way to sanitize our foreign exchange market, and make it more resilient against external vulnerabilities going forward,” he added.
After months of mounting demand to speak during an economic crisis, President Nana Addo Dankwa Akufo-Addo is today addressing the country on economic issues.
The speech follows a three-day emergency Cabinet meeting held at the Eastern Region’s Peduase Lodge to discuss, among other things, the depreciation of the cedi, the status of talks over a program with the International Monetary Fund, and the soaring costs of food and other necessities.
The government has taken steps to help Ghanaians who are suffering from extreme economic challenges, and the president is scheduled to reveal these.
President Akufo-Addo in his recent commentary on the economy has admitted that ‘times are tough’ and that the government will be exploring ways and means to bring relief to Ghanaians.
Ahead of the president’s address, Information Minister and Member of Parliament for Offoase Ayirebi, Kojo Opong-Nkrumah has said that Akufo-Addo has taken key decisions aimed at rebooting the economy.
According to President Nana Addo Dankwa Akufo-Addo, the government is attempting to find consistent, dependable sources of reasonably priced petroleum products for the Ghanaian market in order to stabilize fuel costs.
The President stated the action will “stop the growth of fuel prices and provide relief to us all” in his Sunday night economic address to the country.
Since the beginning of the year, the cost of gasoline and diesel at the pump has been steadily rising.
Currently, the average price for gasoline and diesel is GHS13.10 and GHS15.99, respectively.
In the beginning of the year, petrol and diesel was trading at an average GHS 6.8 and GHS7.0 respectively.
“I know that the increasing cost of living is the number one concern for all of us. It is driven by fast escalating fuel prices at the pumps, which is caused by high crude oil prices on the world market and our depreciated currency. I know that this is putting intolerable pressure on families and businesses,” he said.
Meanwhile, the Institute for Energy Security (IES) has projected that the price of diesel may cross the 20 Cedis mark in the next pricing window, which will commence on Tuesday, November 1, 2022.
“In IES’ estimation, Gasoil’s price per litre is set to break the GHS20.00 mark, with a gallon price possibly going for GHS90.00 on the market. Gasoline price may also inch close to GHS18 per litre by mid-November 2022,” it said in its review of the October 2022 Second Pricing Window.
The IES blamed the projected increment on the “significant” depreciation of the Cedi and the “appreciable” increase in the price of diesel on the international market.
“The Ghana Cedi depreciated by a whopping 32 per cent from the previous rate of GHS10.89 to the current rate of GHS14.42, to the US Dollar,” it said.
However, this runs counter to suggestions that before the Finance Minister submits the 2023 budget to Parliament in November of this year, the government would negotiate a deal with the Fund.
President Akufo-Addo stated in a speech to the nation on the economy on October 30 that Ghana might secure the bailout agreement by the end of this year, barring any unforeseen circumstances.
“We are working towards securing a deal with the IMF by the end of the year,” he said on Sunday.
“This will give further credence to the measures government is taking to stabilize and grow the economy, as well as shore up our currency,” he noted.
He further explained that the funds will “repair the short term of public finances and restore our balance of payment whiles we continue to work on the medium to long term structural changes that are at the heart of our goal of constructing a resilient robust Ghanaian economy and building a Ghana Beyond Aid.”
He however assured Ghanaians of government’s commitment to restoring the economy which has been experiencing a wave of unprecedented shocks and challenges that have impacted almost all economic indicators.
Ghana on July 1, 2022, resorted to the IMF for an economic support programme to restore macroeconomic stability, among others. The country is targeting $3 billion once an agreement can be reached.
Meanwhile, the woes of the Ghana cedi in the first 10 months of this year continued as the currency has seen its value decline by over 50 percent to the US dollar.
The situation, according to a recent Bloomberg tracking saw it ranked as the worst-performing currency in the world against the US dollar.
This has forced many businesses to collapse, culminating in worker agitations, and discontent over government policies, among others.
As homes and companies continue to struggle with the rapidly deteriorating economic conditions, President Nana Addo Dankwa Akufo-Addo has provided the strongest signal yet of his administration’s determination to offer relief, in the short term.
The International Monetary Fund (IMF) negotiations are “in advanced stages, and are going well,” he said, adding that a solution is anticipated to be reached “before the end of the year,” and he promised to take the required actions to restore stability to the larger economy in the long run.
The President outlined a number of measures, ranging from the provision of comparably less expensive fuel products to a prioritization of exports, in his first address to the nation following recent broad stakeholder consultations to solicit input on a range of measures required to salvage the sinking economy prior to the formal agreement and implementation of an IMF programme. The President also provided assurances to investors in government securities that their investments will not be lost.
With inflation accelerating to a 21-year high in September 2022, largely propelled by food and fuel costs, he said: “I know that the cost of living is the number one concern for all of us… Government is working to secure reliable and regular sources of affordable petroleum products for the Ghanaian market. It is expected that this arrangement, when successful, coupled with a stable currency will halt the escalation of fuel prices and bring relief to us all.”
Despite calls from some quarters for the government to directly intervene in the cost of retail consumer goods, by applying price control mechanisms – as has been witnessed recently in some countries, most notably, the Bahamas and Malaysia – the President applied moral suasion, appealing to the minds and consciences of traders to act in a manner that promotes the collective good.
“I hear from the market queens also that another factor fueling the high prices is the high margins that some traders are slapping on goods, for fear of future higher costs. I say to our traders, we are all in this together. Please let us be measured in the margins we seek.
“I have great respect and admiration for the ingenuity and hard work of our traders, especially those that take on the distribution of foodstuffs around the country, and I would hesitate to join in calling them names. I do make a heartfelt appeal that we all keep an eye out for the greater good, and not try to make the utmost profits out of the current difficulties,” he said.
The President indicated that the standards required for imports into the country will be reviewed with a prioritisation of local manufacturing and exports, which have a direct bearing on foreign exchange reserves.
“Government will, in May 2023, six months from now, review the situation. We must, as a matter of urgent national security, reduce our dependence on imported goods, and enhance our self-reliance, as demanded by our overarching goal of creating a Ghana Beyond Aid,” he added.
No Haircuts
Financial market stakeholders had been on edge as concerns have grown over the government’s ability to repay its debt, with some anticipating haircuts to the principals of holders of government security.
But the President said no investor will lose their investments, likening it to the banking sector reforms.
“I also want to assure all Ghanaians that no individual or institutional investor, including pension funds in Government treasury bills or instruments, will lose their money, as a result of our ongoing IMF negotiations. There will be no ‘haircuts’, so I urge all of you to ignore the false rumours, just as, in the banking sector clean-up, the Government ensured that the 4.6 million depositors affected by the exercise did not lose their deposits,” he remarked.
Fiscal targets
While stressing that the set of measures being implemented will go beyond fire-fighting, the President suggested that macroeconomic stability would be attained within the next three to six years, with an emphasis on maintaining debt sustainability in order to support long-term, inclusive growth and safeguard the underprivileged.
He set forth an ambitious target to restore debt sustainability, reducing the total public debt to GDP ratio to 55 percent in present value terms, compared to the more than 80 percent currently, whilst pegging external debt servicing at less than 18 percent of total annual revenue by 2028.
“We are committed to improving the revenue collection effort, from the current tax-revenue to GDP ratio of 13 percent to between 18 and 20 percent to be competitive with our peers in the West Africa Region. The GRA is rolling out an extensive set of measures to support this enhanced revenue mobilisation. All of us must do our patriotic duty, and support the GRA in this exercise,” he added.
Other measures include a review of the reforms in the energy sector, capping of statutory funds, implementation of the Exemptions Act and a new property rate regime, adding that the 30 percent cut in the salaries of political office holders including the President, Vice President, Ministers, Deputy Ministers, MMDCEs, and SOE appointees and cuts to discretionary expenditure will be maintained into 2023.
At the height of the Covid-19 outbreak, President Nana Addo Dankwa Akufo-Addo made a widely praised declaration that the administration knew how to revive the economy. He has now clarified that this statement was not meant in jest.
President Akufo-Addo mentioned the economy’s development trajectory despite the pandemic in his speech on the economy on October 30.
Prior to Russia’s invasion of Ukraine, which further exacerbated the negative effects of Covid-19 on the economy, he claimed that the economy increased at a pace of 7%.
“We could all see in real-time the devastation that was being wreaked on economies during the pandemic, but I doubt that anyone imagined the extent of the damage. Our economy here in Ghana, like many, many others around the globe, was thrown into turmoil.
“When I said, at the height of the COVID pandemic, that we knew what to do to bring the economy back to life, but not how to bring people back to life, it was not said in jest. We had done it before, and we were on course to doing it again. Ghana’s economy grew by a remarkable 5.4% in 2021, signifying a strong recovery from the 0.5% growth recorded the previous year due to the COVID-19 pandemic.
“In fact, in the last quarter of 2021, our economy grew at seven percent (7%), only for the Russian invasion of Ukraine in the first quarter of this year to aggravate the effects of COVID-19 and plunge the global economy into even greater turmoil from which it has not yet recovered,” he said
“We know how to bring the economy back to life. What we do not know is how to bring people back to life,” he said.
The statement by the president won him plaudits from world leaders and heads of relevant agencies and non-governmental organizations.
In the midst of economic turmoil, with many Ghanaians reeling under economic hardship, they have asked the president to actualize his statement by restoring the economy.
The government on Sunday unveiled a broad set of initiatives to slow the rise in living expenses, particularly those for food and fuel, and to revive the flagging economic growth of the nation.
President Nana Addo Dankwa Akufo-Addo optimistically presented a slew of new steps in a televised national address to update the people on the economy. He said that these measures will slow the pace of the current economic decline.
These measures include increasing revenue collection from the existing tax revenue to GDP ratio of 13% to between 18% and 20%, reviewing the energy sector changes, capping statutory funds, putting the exclusions Act into effect, and implementing a new property rate system.
The plan also targets a reduction of total public debt to GDP ration to some 55 per cent by 2028, with the servicing of external debt pegged at not more than 18% of the country’s annual revenue also by 2028.
It would also prioritize imports, as well as review the management of foreign exchange reserves, in relation to imports of products such as rice, poultry, vegetable oil, toothpicks, pasta, fruit juice, bottled water and ceramic tiles, and others which, with intensified government support and that of the banking sector, can be manufactured and produced in sufficient quantities in Ghana.
The measures also seek to sanitise the foreign exchange market to ensure that banks and forex bureaus operate along international best practices, to make the market more resilient against external vulnerabilities.
Those measures were adopted after a cabinet retreat that was necessitated by soaring food prices, steep depreciation of the Cedi, and the rising cost of fuel, sparking public outcry for an improved economy.
Following those economic shocks, the government has applied for three-billion-dollar support programme from the International Monetary Fund (IMF) to enable Ghana deal with balance of payment, stem the depreciation of the Cedi and generally help stabilize the economy and put it back on a firm trajectory of growth.
He said the arrangement, when successful, coupled with a stable currency would halt the escalation of fuel prices and “bring relief to us all.”
The President also called on Ghanaians to patronize goods and produce made in Ghana to reduce imports which would subsequently bring down the pressure on the Cedi.
“We must work to ensure that the majority of goods in our shops and market places are those we produce and grow here in Ghana. That is why we have to support our farmers and domestic industries, including those created under the 1-District-1-Factory initiative, to help reduce our dependence on imports, and allow us the opportunity to export more and more of our products, and guarantee a stable currency that will present a high level of predictability for citizens and the business community.
“We must, as a matter of urgent national security, reduce our dependence on imported goods, and enhance our self-reliance, as demanded by our overarching goal of creating a Ghana Beyond Aid,” he stressed.
President Akufo-Addo made a passionate appeal to market women and traders to stop the arbitrary increase of the prices of foodstuff and goods for fear of future higher cost.
“I hear from the market queens also that another factor fueling the high prices is the high margins that some traders are slapping on goods, for fear of future higher costs. I say to our traders, we are all in this together. Please let us be measured in the margins we seek.
“I have great respect and admiration for the ingenuity and hard work of our traders, especially those that take on the distribution of foodstuffs around the country, and I would hesitate to join in calling them names. I do make a heartfelt appeal that we all keep an eye out for the greater good, and not try to make the utmost profits out of the current difficulties,” he requested.
The President also warned that the organs of State would rein in speculators, whose false narratives on social media, predicting a reduction in the interest to be gained on their investments in Government bonds and treasury bills, had led to the further deprecation of the Cedi.
“All of us can play a part in helping to strengthen the cedi by having confidence in the currency and avoiding speculation. Let us keep our cedi as the good store of value it is.
“To those who make it a habit of publishing falsehoods, which result in panic in the system, I say to them that the relevant state agencies will act against such persons,” he cautioned.
“I also want to assure all Ghanaians that no individual or institutional investor, including pension funds, in the Government treasury bills or instruments will lose their money, as a result of our ongoing IMF negotiations.
“There will be no “haircuts”, so I urge all of you to ignore the false rumours, just as, in the banking sector clean-up, the Government ensured that the 4.6 million depositors affected by the exercise did not lose their deposits,” he assured.
The President urged all and sundry to lend support to the reforms that the Government would be implementing on the long to short term, to put the nation’s economic health on an even keel.
It is obvious, fellow Ghanaians, that you have a government who cares. We are determined to restore stability to the economy and provide relief. We are all in this together, and I am asking for your support to rescue Ghana from the throes of this economic crisis.
“I believe we can, and we will find the means to achieve these goals, even if the immediate measures we have to take are painful.
“I have total confidence in our ability to work our way out of our current difficulties. We are not afraid of hard work. We will triumph, as we have triumphed many times before. Let us unite, and rally around our Republic, its institutions and its democratic values, and insist that, under God, we will emerge victorious from our current difficulties. For this too shall pass, as the Battle is the Lord’s,” he said.
The Ghana Private Road Transport Union (GPRTU) and the Concerned Drivers Association have both announced that they will be raising transportation prices starting today, Saturday, October 29, 2022.
The Concerned Drivers Association announced a 30 percent augmentation while the GPRTU announced a 19 percent increase in transportation costs.
According to the unions, the rise was required by the rising cost of leaving the nation, the depreciation of the Ghana Cedi, and the rising prices of petroleum items.
Even though the new fares are to kick on October 29, some drivers started charging them immediately after the increases were announced.
The increase in transport fares did not sit well with many Ghanaians because many Ghanaians are already feeling the brunt of the economic hardship in the country.
President Nana Addo Dankwa Akufo-Addo is reported to have met the associations to come to some compromise but it is not certain whether the meeting had any effect on the proposed increases.
Below is a list of transport fares Ghanaians will be paying in Greater Accra:
P.C. Appiah Ofori, a former representative for Asikuma Odoben-Brakwa, has criticised some NPP lawmakers who are pushing for the dismissal of Finance Minister Ken Ofori-Atta.
He claimed that President Nana Addo Dankwa Akufo-Addo should be the goal of the movement to remove the finance minister.
Applying a hypothetical, Appiah Ofori argued that the finance minister should be held accountable for defective roads rather than the road minister, and that the finance minister should follow the same logic.
Ofori-Atta hasn’t committed any known atrocities that would call for his dismissal, according to Appiah Ofori.
Speaking on Onua TV, he said “those doing that I don’t understand them, I don’t know the sin the finance minister has committed. If the road becomes deplorable, why do you say the road minister should resign? What sin has the finance minister committed, has he stolen money, if he has not stolen money and it is just that things have gone bad, is he the one to be held responsible? Minister of Road and Transport, and you say because a road is spoilt the minister should be sacked. Sometimes when they are doing it, they don’t give it careful thought.”
He further added that the country’s economic hardships are not the fault of the finance minister.
“What specific sin has the finance minister committed? Has he stolen the country’s money for wrongful purposes? If things are not going well in the country, how is it the finance minister’s fault?” he asked rhetorically.
The MPs want the removal of the Minister due to the current economic crisis the country is experiencing.
Following the public declaration of disapproval of the Finance Minister by the MPs, an emergency meeting was convened at the behest of President Akufo-Addo to deliberate and understand the misgivings of the MPs towards the Finance Minister.
The major fallout from the meeting was the president’s requests to the MPs to allow the finance minister three weeks to prepare the 2023 budget and conclude negotiations with the International Monetary fund.
The underwhelming performance of Finance Minister Ken Ofori-Atta during the second term of President Akufo-Addo’s administration has been attributed by broadcaster Paul Adom-Otchere to New Patriotic Party (NPP) Members of Parliament (MPs).
Adom-Otchere claims that Ofori-Atta performed admirably under President Nana Addo Dankwa Akufo- Addo’s first term but is underwhelming now because the NPP MPs failed to provide him with the necessary backing.
He claimed that some NPP lawmakers disregarded the opportunity to support the Electronic Transfer Levy (E-Levy), which might have raised the finances required to carry out government initiatives.
The broadcaster, who is also the Board Chairman of the Ghana Airport Company Limited, added that some of the NPPs also voted for Alban Bagbin to be the Speaker of Parliament which is creating many difficulties for Ofori-Atta.
“… right away there were difficulties (for Ofori-Atta) from 2020, 2021 in terms of passing the budget and getting little things done. It was a whole long ton drawn-out issue because the parliamentary NPP failed in its quest to be able to sustain its leadership.
“… then came the coup de grass (the nail in the coffin) on the night of 7th January … where some members of the NPP cast their vote for the NDC candidate (during the election for a speaker). I’m not sure whether they knew what they were doing to their party, to the country because the NPP had won the presidency. And then the speakership position flipped and then Mr. Bagbin become the Speaker and the Speaker is the controller of Parliament, he decides what Parliament can be discussed and not discussed… this is part of the Ofori-Atta problem.
“… E-Levy should have been passed in November 2021; it took about 6 months. In the meantime, other smaller revenue mobilization like the road toll and all of that had been taken out. E-Levy could not be passed, it was not even passed in the form that it was originally designed… If E-levy was passed from day one without all that Ofori-Atta was expected to generate (GH¢) 6 billion in revenue, that is why he was confident that he didn’t need the IMF.
“But there were those who were focused that E-Levy will not succeed. Not so much because they thought it will bring Ghanaians hardship but really, they taught that it was political misfortune for them. If E-Levy succeeds the political opponents succeed, I don’t succeed so I derail it,” he said during an editorial on his Good Evening Ghana show which was monitored by GhanaWeb.
He added that if Ghanaians want to judge the true performance of Ofori-Atta, they must factor in all these happenings.
The minority caucus of Parliament filed a motion to have Ken Ofori-Atta and the Minister of State (in charge of Finance), Charles Adu-Boahen, sacked.
The MPs explained that their position follows several concerns over the poor mismanagement of the economy, which has forced the government to seek IMF assistance.
“Our brothers in the majority believe in this. What they should do is to support the call of the Minority Leader and the motion for the Minority Leader for the dismissal of the finance minister.”
The Speaker of Parliament, Alban Bagbin, has admitted the motion and has set November 10, 2022, for a secret vote on the motion.
The speech follows a three-day emergency Cabinet meeting in the Eastern Region at the Peduase Lodge that focused on a number of pressing concerns, including the depreciation of the cedi, the status of discussions for an IMF program, and the soaring costs of food and other necessities.
The government has taken steps to help Ghanaians who are suffering from extreme economic challenges, and the president is scheduled to reveal these.
President Akufo-Addo in his recent commentary on the economy has admitted that ‘times are tough’ and that the government will be exploring ways and means to bring relief to Ghanaians.
“We’ve wrapped up a three day cabinet retreat during which President Akufo-Addo has settled on key decisions aimed at responding strongly to the impact of the global economic challenges on Ghana
“This follows a week of interactions with various economic actors and inputs from the IMF negotiations so far. Tomorrow evening we start the exercise of rebooting as the Prez outlines measures. #ResolvingTogether,” Oppong-Nkrumah tweeted on Saturday, October 29, 2022.
Former President John Dramani Mahama in his October 27 lecture titled ‘Building The Ghana We Want’ admonished President Akufo-Addo to among other interventions, cut down on expenses under the Office of the president, reduce the number of ministers below 65, merge some government agencies who have similar functions amid unfavorable economic conditions.
The Member of Parliament (MP) for Tamale Central MP, Ibrahim Murtala Muhammed, has urged President Nana Addo Dankwa Akufo-AddoPresident Nana Addo Dankwa Akufo-Addo to replace Finance Minister Ken Ofori-Atta with his colleague MP for Nhyiaeso, Dr. Stephen Amoah.
Speaking in an Onua TV monitored by GhanaWeb, Murtala intimated that Dr. Amoah, popularly known as Sticka, will do a far better job than the current finance minister.
He added that the minority caucus of Parliament is bent removing Ofori-Atta because they are afraid Ofori-Atta’s bad management might lead the economy to a total collapse.
“The reason why the minority, we are also interested in this is that the mess is just too much. So, if we don’t salvage this and by Allah’s wish we win the election in 2024, we will have serious problems at hand in 2025 going. So, we need to salvage this country.
“… they should look for my good friend, Dr. Sticka, Dr. Amoah. I saw him yesterday and I said, the incoming minister for finance. Dr. Sticka will be a perfect minister for finance because at least he will be slightly better than this mess,” he said.
The minority caucus of Parliament filed a motion to have Ken Ofori-Atta and the Minister of State in charge of Finance, Charles Adu-Boahen, sacked.
The Deputy Minority Chief Whip, Ahmed Ibrahim, noted, “as representatives of the people and as duty bearers, we must move a motion to call for the end of the finance minister.
“Our brothers in the majority believe in this. What they should do is to support the call of the Minority Leader and the motion for the Minority Leader for the dismissal of the finance minister.”
The Speaker of Parliament, Alban Bagbin, has admitted the motion and has set November 10, 2022, for a secret vote on the motion.
When John Mahama gave a speech on the current economic difficulties facing Ghana under the Akufo-Addo administration on Thursday, October 27, 2022, Charles Nii Teiko Tagoe accused him of plagiarizing. He made the accusation on his Facebook page.
Charles Tagoe claimed on his Facebook page that former president Mahama had copied a line from American playwright and screenwriter Aaron Benjamin Sorkin.
His attempt however was met with a barrage of comments reminding him of President Akufo-Addo’s history when it comes to the issue of plagiarism.
“You should be the last person to talk about plagiarism. Nana Addo shameless [SIC] plagiarized a full speech on his first day in office,” Lingani Goodman commented under the presidential staffer’s post.
Other commenters sought to accuse the presidential staffer of engaging in a fallacy of diversion.
“You have been offered free and pragmatic solutions to help you guys bring us from this mess you have caused, unfortunately, that is not where your interest is, but rather the usual jokes. I’m not surprised though,” Tony Goodman also wrote under the post.
The first of such accusations was levelled against President Akufo-Addo when he delivered his inaugural address on January 7, 2017.
Former President Mahama on Thursday delivered his address at the UPSA Auditorium on the topic “Building The Ghana We Want.”
Mr Mahama in his address spoke about the current economic hardship in the country and made various proposals that he believes the government need to adopt to turn the situation around.
Martin Kpebu, a private attorney, is pleading with Ghanaians to support his campaign to force the resignation of President Nana Addo Dankwa Akufo-Addo and a few important members of his administration.
Martin Kpebu expressed his concerns about the apathy of Ghanaians in allowing the current economic misery to fester while allowing the president and his cabinet to remain in power on the Saturday, October 29, 2022, edition of The Key Points on TV3.
He criticized the current economic suffering brought on by the huge increases in the cost of life and essentials such as fuel, saying, “How can we allow this to happen to us?
According to Martin Kpebu, the president and other officials such as Finance Minister, Ken Ofori Atta as well as Deputy Finance Minister, Charles Adu Boahen must be made to leave office.
He emphasised that the president and his appointees while the entire country is feeling the heat of the economic hardship are rather enjoying from monies, they have made by being in government.
He therefore urged Ghanaians to join his upcoming Kume Preko Reloaded demonstration slated for Saturday, October 5, 2022.
In a recent interview on Neat FM, Martin Kbepu justified his call for the president’s resignation saying ““What Ghanaians can do to get the president removed is to organize demonstrations. The police have given me permission for the ‘Kumi preko reloaded’ demo next Saturday, November 5. It starts from the Obra Spot at 7:00 am; every Ghanaian should make it a point to be there.
“If the president does not resign by then, we demonstrate and present him a petition that we have had enough of him, and he should step down,” he added.
The address by the president will be his first major speech on the current state of the Ghanaian economy which has over the past weeks seen a significant rise in inflation among others.
Charles Adu-Boahen, a minister of state in the ministry of finance, has said he will remain in office despite mounting calls for him and Ken Ofori-Atta, the minister of finance, to step down or be fired by President Nana Addo Dankwa Akufo-Addo.
The minister of state refuted allegations that he had quit, stating that he had never submitted a resignation.
“No sir!Never.I’ll be quoted. Charles Adu-Boahen was quoted by myjoyonline.com as saying, “I have not given my resignation.
It will be recalled that North Tongu Member of Parliament, Samuel Okudzeto Ablakwa, in a Twitter post on October 27 suggested that the minister had tendered in resignation but questioned why President Akufo-Addo was refusing to accept it.
The MP tweeted: “Parliament may have to turn the heat on President Akufo-Addo. Why is he refusing to accept the resignation of the Minister of State at the Ministry of Finance, Charles Adu Boahen? The President continues to downplay the profound economic crisis created by his abysmal leadership”.
Ablakwa’s comment came two days after over 80 NPP MPs demanded the sack of Ofori-Atta and Charles Adu-Boahen.
The group said failure by President Akufo-Addo to heed their call will mean they will not pursue government business in Parliament.
Following this, the president held meetings with the MPs where it is reported that he has appealed to them to allow Ken Ofori-Atta in particular complete the IMF negotiations.
The Majority Caucus in a statement confirmed that the demands of the MPs will be ‘acted upon’ after the conclusion of IMF negotiations and the presentation of the Budget Statement and Economic Policy in November 2022, and the subsequent passage of the Appropriation Bill.
The money was given in order to finish building the veterans clinic at Amasaman in the Ga West Municipality of the Greater Accra Region.
In order to help the VAG raise money for its operations, Vice President Bawumia invited all well-meaning Ghanaians to support the Fund and buy the poppy during the Accra launch of the VAG’s 2022 Appeal for Fund.
The artificial poppy was adopted by the world in 1921, as a symbol of remembrance of the suffering and great sacrifices by soldiers during the First and Second World wars
The poppy has since become a universal symbol, which reminds the world of the horrors of wars and the importance to support the victims.
Vice President Bawumia noted that unlike Europe and other parts of the world, where the wearing of the poppy took centre stage at this time of the year, most Ghanaians, especially the young ones, seemed to know very little about it.
“To strengthen our appreciation of our gallant war veterans and support their welfare through the poppy, I appeal to the Ghana Education Service, National Commission for Civic Education, and the media, to assist VAG to popularise the significance of the poppy”.
The message should get to the public, particularly pupils and students in government schools, where knowledge of the poppy is almost non-existent, he stated.
Captain (Rtd) Ben Edmund Duah, the Executive Director, VAG, gave the assurance that the Administration would judiciously utilise the funds for welfare of members.
He said the construction of VAG’s clinic at Amasaman would be completed by March, next year, to take care of the health needs of members.
He appealed to the public to give generously to the Poppy Fund to support the welfare of members.
Nana Asiamah Hanson popularly called Bulldog is of the view that President Nana Addo Dankwa Akufo-Addo should not be the president of Ghana, especially at this moment when the country is going through some economic hardships.
According to the artiste manager, Akufo-Addo should by now be serving as his messenger known in the local parlance as ‘boy boy’ for a white president.
Bulldog has for some time now been advocating that Ghana should be sold to a white man in other to see proper development.
He explained that it is not prudent for the black man to always run to the white man to borrow money for development yet the development does not happen after the money is given to him.
“Me I have said we should sell Ghana. This is the reason why I say that; if we are going to the white man to ask them for money, to come and develop our country and we no dey see the development top, then let’s go and ask the white man to come and take over because they will know what to do.
“So, instead of going to the IMF and say give us $800 million or $2 billion [we should just tell them to come and rule]. Nana Addo should not be President. I’m giving him advice; a white man should be President and he for send am [Nana Addo] – go and buy kelewele for me, go and buy groundnut for – because that is really what he is doing, he is not doing anything. If it was borrowing and paying salaries then my three-year-old daughter can rule this country,” Bulldog said while contributing to a discussion on GhanaWeb’s ‘E-Forum’ programme hosted by Abrantepa.
Bulldog further noted that the economic crunch at the moment is affecting every individual within the creative arts space and wondered why many call him out when he tries to make issues of the economy personal.
He noted that the President was so arrogant that he called the bluff of the people of Kwabra East over the deplorable state of their roads.
He alleged that the president and his parliamentarians do not pay for anything in the country therefore the president should speak with respect and decorum so that young people can respect him.
“We are making issues of the economy personal because it is affecting all of us and when you mention Nana Addo’s name, they say why are you mentioning his name, is he not in the office?
“…the guy is so arrogant, in capital letters ooo. He said we speak as if he doesn’t live in this country, herh! Massa you dey pay light bill? You dey pay for fuel? Don’t come talk the thing you talk; we be kiddies make we respect you, talk make we respect you. Do you pay for anything in this country? You and your Parliamentarians [all] you dey pay something? Eno be we we dey pay…” Bulldog said in pidgin.
Background
President Nana Addo Dankwa Akufo-Addo was asked during a radio interview that the people of Kwabre have threatened to vote out the ruling party if the deplorable state of roads is not addressed.
In reply, the President responded “No problem. I am saying people make those kinds of threats; me they don’t frighten me.”
Commenting on the issue on Kumasi-based Nhyira FM, Dr. Amoako Baah said, “We have left the President to be talking anyhow, why? Anytime he is left to talk on his own, it brings [up] issues and no one is cautioning him
“It was an opportunity for the President to score a political point with his responses. If I were around him, I would have tapped on his shoulder to calm down and made him know it was a trap.”
The lecturer stressed that the President’s failure to appeal to the conscience of the people will hurt anyone who will lead the party in the next election.
Former president, John Dramani Mahama, does not believe it is wise to use public funds to build the national cathedral at a time when the nation is facing economic difficulties.
Mr. Mahama contends that now is not the time to allocate public funds to initiatives like the building of a national cathedral that are not necessary.
On Thursday, October 27, 2022, he gave a lecture on the state of the economy of the nation with the title “Building the Ghana We Want.”
Mr. Mahama made the following statement at the event’s location, the University of Professional Studies in Accra: “The public funding of the national cathedral, particularly at this time, must halt.”
Stressing he was a Christian himself, he further noted, that the cathedral cannot be prioritised amid the current economic challenges and public funds invested into the construction of the cathedral already, should be audited.
“Being a Christian myself, and deeply appreciative of the centrality of God in nation building, I agree with most Ghanaians who believe that the project cannot constitute a top priority of government at this moment, warranting further injection of scarce public funds.
“Because of the non-transparency of the procurements associated with the project, I believe that the project should be subjected to a value-for-money audit in order to open the way for believers who wish to contribute to its construction to do so,” Mr. Mahama stated.
Despite public outcry about the construction of the cathedral, President Nana Addo Dankwa Akufo-Addo has maintained that: “We will surely build the [National] Cathedral.”
Meanwhile, a call centre has been announced for the National Cathedral Project.
The Board of Trustees for the Project announced this at a Press Conference on Monday, 24 October 2024.
The call centre will provide answers to Ghanaians seeking information on the project including how to donate and enhance the relationship between the cathedral and the public.
A member of the Board of Trustees of the Project, Rev Joyce Aryee, was also hopeful that despite the country’s current economic challenges, persons would still donate to complete the National Cathedral.
“Human beings are so resilient. I am 76. I have lived through worse economic times in our country, therefore, I know economic times are as transient as the seasons of life,” she said.
“God has a way of touching our lives in ways that sometimes we don’t understand. We are still going to church, aren’t we? And we are still making donations, aren’t we? But times are difficult and that’s what gives me hope that, never
mind how difficult times are, some people will willingly support,” Rev Aryee argued.
Ato Forson, who discussed Ghana’s economy on October 27 at a gathering in Accra, called the action “Mickey Mouse” and cautioned that the direction in which the government plans to approach the debt restructuring will be detrimental to Ghanaians.
“Mr. President, a Mickey Mouse approach to debt restructuring will seriously harm Ghana. You may not single out domestic creditors in your debt restructuring. It will ruin us, he said.
“The truth is, Ghana cannot currently afford to repay its debt according to the finance agreement and provide public goods at the same time. Ghana is simply insolvent, in other words bankrupt…,” he added.
Stating that the managers of the economy have failed, Ato Forson noted, “for them, everything is about the next elections, they never accept responsibility. They always say, ‘it wasn’t me, it was the guy behind the tree.’ They live on another planet, and don’t appreciate what the IMF will require from them, let alone start action. The ineptitude is unbelievable.
“Curbing inflation should be the top priority: Ghana does not want inflation to be entrenched, we need to confront inflation now before it becomes too late. The Bank of Ghana needs to anchor inflation expectation immediately. They should stop the printing of money otherwise known as monetary financing to finance government expenditure.”
Dr. Ato Forson suggested that the Bank of Ghana should call an emergency meeting of the monetary committee to increase the monetary policy rate to curb the depreciation of the Cedi.
“To stem the rapid depreciation of our cedi the Bank of Ghana may have to call for an emergency monetary policy committee meeting and consider the need to hike the monetary policy rate, even if it is for purposes of signaling that somebody is in charge.”
He has since repeated his demands that President Nana Addo Dankwa Akufo-Addo remove Vice President Mahamudu Bawumia and Finance Minister Ken Ofori-Atta from their positions.
While he is supporting increased calls for Ofori-dismissal, Atta’s he wants Bawumia to be removed from his position as chairman of the Economic Management Team.
Speaking at a public lecture themed: “Building the Ghana We Want,’ in Accra on October 27, 2022, Mahama said it was sad that his previous calls for this action have not been heeded by Akufo-Addo.
“I re-echoed demands by Ghanaians that the finance minister and the Chair of the Economic Management Team, who have been primarily responsible for this economic catastrophe, be relieved of their positions to breed confidence among stakeholders and offer the economy a new lease of life.
“I asked that the President deploys some of the arsenals in the Presidential toolkit and reshuffle his government to inject innovation and freshness of thinking into the running of the country,” he stated.
“I also asked that the President addresses the nation to inform the public of the specific steps he was intending to take to weather the pending economic storm.
“This address was meant to calm the anxiety of the investor community and rally Ghanaians behind any such efforts. Regrettably, the President dug in and failed to do any of these,” he added.
As part of his presentation, the 2020 flagbearer of the National Democratic Congress, outlined a number of short, medium and long-term solutions to the current economic crisis that the government was grappling with.
In a presentation before Mahama’s address, former deputy Finance Minister, Cassiel Ato-Forson laid out how perilous the state of the economy was and the need for Ghanaians to tighten their belts for hard times ahead.
The embattled Finance Minister Ken Ofori-Atta is expected to be fired by December 31, 2022, according to Andy Appiah Kubi, a legislator representing Asante Akim North in the House of Representatives.
He acknowledged that the group of more than 80 MPs attended a meeting where President Nana Addo Dankwa Akufo-Addo pleaded with them to hold off on asking for the dismissal of Ofori-Atta until two pressing concerns had been resolved.
He told Accra-based 3FM in an interview that they understood that Ofori-Atta will be done with Phase One of his International Monetary Fund responsibilities by next week and his work on the budget and appropriation will end by December this year after which he will leave office.
“…personally, I understood the president to be saying that when the matters come to a close he would do our bidding. The whole IMF programme will end in April but the first phase, which is necessary for our budgetary preparations will end next week.
“The understanding is that the end of the first phase and the conclusion of appropriation, which is December, our understanding is that at that place, he will effectuate our request and indeed give and take, the maximum he can run up to is in December before Christmas.
“So, we condition our minds that all things being equal, we expect that to happen latest 31st December 2022,” he added.
But their meeting with the president ended in a deal that Ofori-Atta concludes first stage talks with the International Monetary Fund and sees to the presentation of the 2023 budget and its appropriation before he is removed.
At 8 o’clock on Sunday, October 30, 2022, the address will be given.
This occurs in the midst of calls for the Finance Minister’s resignation, the cedi’s sharp depreciation, significant inflation, and an overall rise in the cost of living for Ghanaians.
It has been under tremendous pressure in recent months for the Ghana cedi to reach a record high of GH16 to the dollar before declining to GH13.70 as of October 27, 2022.
Over the past few weeks, demands for the dismissal or resignation of the Finance Minister, Ken Ofori-Atta, have been persistent. Even MPs from his own party, the New Patriotic Party (NPP), have joined the calls.
Dr. Mark Assibey-Yeboah is one of the names that have been mentioned as a potential successor to Ken Ofori Atta should President Nana Addo Dankwa Akufo-Addo heed the calls for his ouster or should he resign from his position.
Dr. Assibey-Yeboah has, on a number of occasions, criticised the implementation of a number of policies of the Akufo-Addo government, including the Free Senior High School and the Electronic Transfer Levy (E-Levy). Prior to Ghana returning to the International Monetary Fund (IMF) for a bailout, Dr. Assibey-Yeboah warned of harsh economic conditions and therefore called on the government to resort to the Fund at an earlier time ahead of its July 1, 2022 decision.
Who is Dr. Assibey-Yeboah?
Dr. Mark Assibey-Yeboah is a Ghanaian politician and member of the 6th and 7th Parliament of the Fourth Republic of Ghana (from 2013 to 2021), representing the New Juaben South Constituency in the Eastern Region on the ticket of NPP.
He is a Christian and was born on March 2, 1974. He comes from Obo-Kwahu, a town in the Kwahu South District of the Eastern Region of Ghana.
During his term as an MP, Dr. Assibey-Yeboah served as the Chairman of the Finance Committee of Parliament. During his tenure as chair, he led many engagements toward sound economic indicators of government and was noted for demanding accountability from the government. He was also a member of the Sports Committee of the 6th Parliament.
Before venturing into politics, Dr. Assibey-Yeboah was a lecturer between 2009 and 2010 at the Ghana Institute of Management and Public Administration (GIMPA), a senior economist at the Bank of Ghana between 2011 and 2012 and a lecturer at the Ghana Technology University College from 2011 to 2012.
He is a member of the American Economic Association.
Educational background of Dr Assibey-Yeboah
The former MP attended Presbyterian Boys’ Secondary School, Legon and the Ghana Secondary School, Koforidua, where he obtained his GCE Ordinary Level and GCE Advanced Level, respectively.
Dr. Assibey-Yeboah holds a BSc (Hons) in Agricultural Economics degree from the Kwame Nkrumah University of Science and Technology (KNUST). He also holds an MS (Agricultural and Resource Economics) from the University of Delaware, USA.
He also holds an MA and a PhD, both in Economics from the University of Tennessee, USA specialising in International Macroeconomics, Monetary Economics and Econometrics.
Some of his research work has been published in reputable journals, including the Economic Record, the International Journal for Finance and Economics, the Journal for International Trade and Economic Development, and The North American Journal of Economics and Finance.
The Vice President, who was in charge of the Economic Management Team during Ghana’s economic crisis under President Nana Addo Dankwa Akufo-Addo, has allegedly failed, according to the Minority.
The Minority believes that the Vice President, as the team’s leader, has fallen short of what Ghanaians expected from him when it came to handling the country’s economy.
The Minority Spokesperson on Finance, Dr Casiel Ato Forson, made this demand on Tuesday, October 25 2022, speaking in an interview with the media after some eight Majority Members of Parliament demanded the removal of the Finance Minister, Ken Ofori-Atta and the Minister of State at the Ministry of Finance, Charles Adu Boahen.
He asserted that it is under the watch of the Vice President, who is an economist, that the dollar is galloping against the cedi.
“It is under his reign as the head of the Economic Management Team that Ghanaians are experiencing the worst form of economic hardships,” Dr Ato Forson said.
He said the price of everything in the country has quadrupled under the watchful eyes of the Vice President.
The main opposition National Democratic Congress (NDC) Member of Parliament for Ajumako Enyan-Esiam Constituency in the Central Region argued that it is not worth it to continue to have the Vice President serve as the head of the EMT.
He said the Vice President has proven to be incompetent in serving as the head of the Economic Management Team.
On Wednesday, President Nana Addo Dankwa Akufo-Addo voiced concern about the operations of the illicit currency market, which have severely weakened the Cedi relative to other trading currencies.
He argued that it was unacceptable for the parallel market to control the supply and rate of foreign exchange transactions and that all efforts should be made to do so in order to stop the currency crisis affecting Cedi.
The meeting, called at the insistence of the President, forms part of the government’s wider consultation with key economic players to find solutions to the current economic challenges.
President Akufo-Addo told the association that it must lend support to every action that the government would be adopting to tame currency speculators who have contributed to driving down the value of the Cedi.
He was emphatic that the black market must be eliminated from the financial space to arrest the pace at which the cedi loses its value against major foreign currencies.
“The initial impulse for the creation of Forex Bureaus in Ghana was that at the time when our economy was opening and liberalizing there was the need to find a mechanism for putting an end to black market operations on the country’s currency.”
“That was the initial impulse, so we will have these forex bureaus regulated by the Bank of Ghana to make access to foreign exchange in a regulated and controlled manner easier.”
“Unfortunately, somehow, this initial motivation for the creation of the forex bureaus has still not materialized…
“As you hear public commentators and commentators of the Bank of Ghana itself say, it is still the black market that is driving both the supply as well as the rate of our foreign exchange transactions.
“That for me is completely unacceptable and we have to find a way to work together to drive the black market out of business,” President Akufo-Addo stated.
The Cedi has since the beginning of the year witnessed a steep fall in value, depreciating against major currencies due to several factors including the rebound of the strength of the US Dollar, investor reaction to credits ratings downgrade of Ghana’s economy, the non-rollover of maturing bonds by non-resident investors, high crude oil prices, loss of access to the external market for borrowing, as well as speculation.
He said the association did not have control on the forex market beyond what the regulator, the bank of Ghana, determined.
“We have been in this business since 1988. We have had turbulences, but this is a bit tough for all of us. We have gone through all that happened, but we tried, and we survived, and I know this too shall pass.
“With the announcement that we were even meeting yesterday, the rate started coming down. It means it is not natural, this has all been done by people’s speculation and trying to make windfall out of the situation that we are in” he said.
Commercial transportation companies have started raising transit prices by 19%.
This contradicts a previous report by the Ghana Private Road Transport Union (GPRTU) stating that starting on October 29, 2022, transportation costs will rise.
On the morning of October 27, 2022, commuters discovered operators had already started charging new tickets, which left them shocked and “mad.”
“Why are prices increasing now when they were expected to on Saturday? In our country, we are our own worst adversaries.
Everyone desires to defraud someone “A passenger who was upset informed GhanaWeb.
However, operators say, the increase in the cost of fuel has been the reason for the increase.
Speaking on Accra-based JoyNews on October 26, the GPRTU General Secretary, Godfred Abulbire, said the 19 percent increment comes after members held extensive engagements with President Nana Addo Dankwa Akufo-Addo and other transport operators across the country.
“What we should have been asking adequately should have been around 49 percent. But looking at the economic situation, we had to come down to 25 percent and then even scale down to 20 percent and then yesterday 16 and half percent [from the transport minister],” he stated.
“After listening to the President, he said all that we are demanding were facts and indicated that there is nothing there that he is not aware of. But looking at the situation, the moment fares go up, it [affects] a lot of things,” Godfred Abulbire added.
He continued, “And so, as a father, the President was asking us to reconsider our decision and see if we could take the 16 percent offered by the Minister. But we said that was actually a problem… So, we all agreed that we will take off 1 percent and accept 19 percent and that is how the meeting concluded”.
Godfred Abulbire said an official statement will be issued on October 26, announcing the fare increment, which will take effect on Saturday, October 29, 2022.
Rapper Sarkodie is undoubtedly one of Ghana’s most popular musicians known globally for his talent. Back home, he is celebrated for winning awards and also being vocal about matters that affect citizens.
Unhappy about Ghana’s economic situation, Sarkodiewent after the country’s leadership some eight years ago under John Dramani Mahama of the National Democratic Congress (NDC).
He called out the president for mismanaging the economy which was characterized by power outages popularly known as ‘Dumsor’, hikes in fuel prices, and the cedi’s poor performance against the American dollar.
Sarkodiereleased two songs in the space of one year to ‘attack’ the then-government which was run by John Mahama. He spelt out all the wrongs under his leadership and called him to action.
Fast forward to 2022, Ghana is now facing a much more difficult situation that has witnessed citizens calling for the heads of President Nana Addo Dankwa Akufo-Addo, his Finance Minister, Ken Ofori-Atta, and other ministers who have woefully failed in their various positions.
GhanaWeb throws back to two of Sarkodie’shit songs that best describe Ghana’s current economic crises under Akufo-Addo.
1. Inflation
Released in 2014, ‘Inflation’ was Sarkodie’s first punch at the NDC’s government and the then-president, John Mahama. The lyrics in the songs are more than ever relatable.
The introduction of ‘Inflation’ goes like this: “The nation is full of surprises. Besi nne we still leave in crisis. Kantamanto kokohwe nneeama prices. ECGfoo nso play omo tactise. Ene na dumso, okyena na pipe. Towo nnooma so na yebe dum no five. Filli wo gallon na save wo life.”
Parts of the lyrics touched on the cedi’s performance against the dollar and the fuel price hikes.
2. The Masses (Inflation Part 2)
Just a year after Sarkodie released Inflation, he came out with ‘The Masses’ to hammer on the need for the government to address the plight of Ghanaians.
The song equally got all the hype despite claims that it was a deliberate attempt to make the government unpopular.
Sarkodie poured out his frustration on the song that was sung in the Twi language.
Meanwhile, Sarkodie in a couple of tweets has urged President Akufo-Addo to fix the country following distress calls from all four corners of the country as a result of the economic crises.
On Tuesday, October 25, 2022, the 80 New Patriotic Party lawmakers demanded that the president fire Ken Ofori-Atta, the minister of finance.
Even though the news came as a surprise, particularly given the minister belongs to their party and this is the first time something like has occurred in the nation, it has already sparked speculation about potential candidates to succeed the current finance minister.
In an earlier GhanaWeb story, three names have come up for the job: Dr. Mark Assibey Yeboah, Professor Gyan Baffour, and Kwame Pianim.
GhanaWeb further places the spotlight on these individuals to understand what they bring to the job, in the instance that they get it.
He is a former Member of Parliament who represented the Wenchi Constituency from 2005 to 2021. He was a professor at Howard University in Washington DC from 1993 to 2021.
He is an economist, a banker and an insurer.
Being an economist, Professor George Gyan Baffour has mainly sat on parliamentary committees that relate to his field, which include the Special Budget Committee, the Education Committee, and the Poverty Reduction Committee, and he was once the Acting Chair of the Special Budget Committee.
The ex-President John Agyekum Kufuor appointed Prof George Gyan Baffour as the Director General of the National Development Planning Commission in 2002. It was during his time that he established the first system for overseeing and assessing the rate of national development.
He oversaw the development of the coordinated program for the Economic and Social Development of Ghana.
Prof George Gyan Baffour is a fellow of the Institute of Chartered Economists of Ghana. He was a member of various boards, including the Bank of Ghana (2005-2008), the Council for Scientific and Industrial Research of Ghana Institute of Management and Public Administration (GIMPA) from 2003 to 2005.
He has a PhD in Industrial Relations from the University of Wisconsin, Madison, a post-Doctorate Diploma from Harvard University of Wisconsin, Madison, and a Bsc (Hons) in Economics from the University.
Prof George Gyan Baffour is currently a Senior Policy Advisor to the Finance Minister, focusing mainly on Sustainable Development Goals and climate change mitigation financing.
He is the UN Global Partnership for Sustainable Development Data Ambassador in the UN’s SUN movement focal person for Ghana and Executive Committee Excom Member representing Central and Eastern Africa.
He was appointed Deputy Minister of Finance and Economic Planning of Ghana in March 2005. As a Minister For Planning, he was the Chairman of the Inter-Ministerial Committee on SDGs.
There is a substantial precedent in Ghana’s politics under the leadership of President Nana Addo Dankwa Akufo-Addoas even MPs of the ruling party are calling for the resignation of the country’s Finance Minister, Ken Ofori-Atta for nonperformance.
These celebrities are yet to speak on the #OforiAttaMustGo campaign trending on social media
The country’s economic downturn has sparked constant calls from more citizens for the resignation of the economic gatekeepers, particularly the finance minister and the Minister of State at the Finance Ministry, Charles Adu Boahen.
Yet in the midst of all these, some celebrities who actively campaigned for the Nana Addo-led administration are yet to comment on the call for the aforementioned to resign or be sacked. Since the declaration was made, #OforiAttaMustGo and #KenMustGo have been trending on social media.
Although some of these ‘NPP celebrity activists’ have called out the government for overseeing a poor economic state, many are expecting them to further throw their weight behind calls for the sacking of the two personalities.
Samini who in the past criticised his colleagues for endorsing political parties and candidates took a U-turn in 2020 when he endorsed Nana Addo Dankwa Akufo-Addo through social media posts, interviews, and campaign songs. He mounted political platforms to defend his decision stressing he was convinced Nana Addo needed another term.
Despite the barrage of backlash and criticisms against him, the musician’s support for Nana Addo was inflexible.
Prior to the calls for the two personalities to be axed, Samini made a post and lamented the depreciation of the cedi and other factors that have contributed to the hardship being experienced.
“Dear Nana Akufo-Addo. I supported you to bring change and stability. I believed in the vision and your concept of change! But with 2 years to go, my soul bleeds. Our investments wash away daily as the dollar openly whips our Cedi. Your people are crying. We cannot pretend all is well. But if God has blessed Ghana with anything, it is our ability to stare difficulty right in the face and say, it will #bealright. Ghana must work again! Where is the Nana Addo who begged us for the mandate?” parts of his comments read.
But Samini is yet to add his voice to the campaign seeking to remove Ofori-Atta and Adu Boahen from office for overseeing a failed economy.
The actor was the first ‘Celebrity NPP campaigner’ to call out the government for what he described as the poor management of the country’s economy.
Prince David Osei has not only spoken against the country’s ailing economy but had also issued an ultimatum that should the economic situation in the country not improve by December, he will mobilize the youth to hit the street irrespective of party affiliation and protest.
“If things don’t change by December, we will mobilize the youth of this country and hit the street irrespective of party affiliations, whether NPP, NDC, CQQ, PNC whatever doesn’t matter now, we are all in this together.. God bless our motherland ???????? We want to see improvement in our livelihoods.. If you have to sack some people do it without fear or favor because your legacy is on the line Sir!!” parts of his post read.
However, the actor is yet to support the sacking Ofori-Atta and Adu Boahen.
Unlike Prince David Osei and Samini who have spoken about the economic hardship and the need for a change in the narrative, Kalybos is yet to comment, not to talk of supporting the call for the removal of Ofori-Atta and Adu Boahen from office.
Kalybos’ silence on the economy has been loud and considering that he was one of the celebrities who vigorously campaigned for the NPP, a section of the populace is eager to hear his assessment of the economy.
Bibi Bright
After campaigning her way up to being elected as the secretary for the Creative Arts Council under the current NPP government, Bibi Bright has been silent on political issues.
Like Kalybos, she has not spoken about the hardships in the country; neither has she supported nor kicked against calls for the dismissal of Ofori-Atta and Adu Boahen.
President Nana Addo Dankwa Akufo-Addo, on Saturday, commissioned the Specialty Beers Ghana (SBL) Limited, an enterprise operating under Government’s One-District-One-Factory initiative.
Located in Kwasi Tenten, in Nsawam Adoagyiri Municipality of the Eastern Region, on a five-acre land, Specialty Beers was established to manufacture speciality ale or top-fermented beers for the Ghanaian market.
The company was registered in Ghana in 2012, but became active in 2020 and applied in January 2021 to take advantage of the One District One Factory (1D1F) Programme being implemented by the Ministry of Trade and Industry.
The construction of the factory started in May 2021 and the first brew test run was completed in April 2022.
Specialty Beers Limited (SBL) is a medium size craft brewery with an annual production capacity of 10,000 hectolitres.
As part of SBL’s vision to reduce dependency on the importation of raw materials, the company has already invested in the development of a number of beer recipes using mainly adjuncts (such as maize and broken rice) partly replacing malted barley which cannot be sourced in Ghana.
A number of local suppliers of these cereals, including Avnash Limited and Hila Farms Limited have been engaged as anchor suppliers of basic raw materials.
The brewery will be the first to introduce the top fermentation brewing process in Ghana.
This high-end brewing technology allows the usage of over 70% un-husked grains during the mashing process while ensuring the absolute clarity of the beer without stripping any flavour or aroma due to the centrifuge filtration system.
The company has introduced four brands into the market, namely Farmhouse Ale (5% abv), Hibiscus IPA (6% abv), Ginger Triple (7% abv), and Cocoa Stout (8% abv).
Currently, the company has engaged 20 permanent staff who are involved in the pre-factory launch activities in specific areas of factory operations.
It is expected that once the company starts full operation, over 60 additional staff would be directly engaged whiles about 1500 indirect employment opportunities will be generated.
The second phase of the project is intended to develop exports to the wider ECOWAS region, the rest of Africa and possibly the European market via specialized international distributors.
For this reason, Specialty Beers Ghana Limited has already acquired ECOWAS Trade Liberalisation Scheme Certification (ETLS) certification.
Thus far, the One-District-One-Factory initiative has seen the ongoing construction of 296 factories across the country, of which 125 have been completed.
It is part of the foundation on which the Akufo-Addo government is building a comprehensive industrialization programme, inspired by the development of strategic anchor industries, such as the emerging automotive industry and the coordinated exploitation for the entire domestic value addition of the country’s bauxite and iron ore resources.
In the Eastern Region alone, there are 17 completed 1D1F enterprises, with 16 more under construction and four in the pipeline.
On Tuesday, October 25, it was reported that over 80 lawmakers from the governing New Patriotic Party had signed a petition calling for Ken Ofori-Atta to be fired as finance minister.
The group called for the dismissal of Charles Adu Boahen, a close associate of Ken Ofori-Atta and a Minister of State in the finance ministry, during a news conference.
In a meeting with the aggrieved Majority MPs on October 25, President Akufo-Addo said dismissing Ken Ofori-Atta will disrupt the ongoing negotiations geared toward an IMF programme and therefore appealed for the minister to be allowed to conclude the talks.
Earlier in the day, Majority Caucus MPs within governing NPP explained that their position follows several concerns over the poor management of the economy, which has forced the government to seek IMF assistance.
The group added that should the president fail to heed their call, they will no longer do business with the government nor support the 2023 budget.
The MP for Asante-Akim North, Andy Kwame Appiah-Kubi, who introduced himself as the spokesperson for the Majority Caucus, said that several concerns raised on economic management have been sent to government, but are all yet to yield the intended results.
“The recent development within the economy is of major concern to our caucus and our constituents. We have made our grave concern known to our president through the parliamentary leadership and the leadership of the party without any positive response.”
“We are by this medium communicating our strong desire that the president changes the Minister of Finance and the Minister of State at the Finance Ministry without further delay in order to restore hope to the financial sector and reverse the downward trend in the growth of the economy,” he added.
After three weeks of continuous Cedi devaluation, he said the president’s silence was a proof of evil on his part since he didn’t have the decency and politeness to address Ghanaians.
The lawmaker stated that the president’s behavior “goes beyond being stupid, dumb, hapless and downright unfit for the job you occupy.”
The president has been urged by Sam George to address the nation of Ghana about the declining cedi and get up from his sleep.
“Dear President Nana Addo Dankwa Akufo-Addo, after 3 horrendous weeks of a constantly declining currency, you are yet to have the decency and courtesy to address the Nation.
“What is wrong with you? Don’t you realise Ghanaians are suffering? Have your handlers not told you what is happening? What are you waiting for before speaking to us as our President? This goes beyond being incompetent, clueless, hapless and downright unfit for the office you occupy.
“Sir, this is wickedness in high places! Awake from your slumber and address the Nation. The true essence of a Leader is felt in the face of adversity. Not in verbose flowery statements made in plagiarised speeches. Somebody wake Mr. President from his deep sleep,” the Ningo Prampram wrote on his Facebook page.
The Cedi has struggled against major trading currencies, particularly the US dollar in recent weeks. At present, it is being traded at GH₵15 to $1 at some forex bureaus.
The dire situation has compelled the Governor of the Bank of Ghana, Dr. Ernest Addisson to meet banks and operators of Forex Bureau to discuss the issue.
Information Minister, Kojo Oppong-Nkrumah has also indicated that a series of consultations have began at top government level to curb the depreciation and that President Akufo-Addo will soon address the nation on the issues.
Patrick Yaw Boamah, the MP for Okaikoi Central, has stated he does not believe in breaking the eight but rather in winning elections over and over again.
The Okaikoi Central MP spoke with Class FM’s Parliamentary Correspondent Kekeli Havila on Tuesday, October 25, 2022, and expressed sympathy for calls for the Majority Caucasian to oust Finance Minister Ken Ofori-Atta.
“It’s a good call, that as a concerned majority, we want our government to succeed. So if for example common fund has not been released and it’s affecting the performance of MPs and MMDCEs who have been appointed by the President, then steps ought to be taken, we need to hear from our Finance Minister, we need to hear from our President on steps that are being taken.
“When it comes to the removal of a Minister, the Constitution says you need 2/3 of members present and voting and it’s like secret ballot, from the way things are you cannot guarantee it, you cannot and so I don’t think it’s the interest of our side of government to remove our Minister.”
He noted that the party has to do what it deems best in order to sustain its interests of breaking the eight.
“But when push comes to shove, to save the party, the government that we’re asking to break the eight, which I don’t believe in, I believe in winning successive elections.
“We’re not here to win two elections and say we’re breaking the eight. No,” he stressed.
He added: “I believe in winning successive elections, eight is just too small so whatever it takes for the government to put in place the right measures, if it requires removing all the cabinet ministers and setting up a new government, then we’ll support it if that is what will win us successive elections, we support it.”
The majority caucus in parliament has called on President Nana Addo Dankwa Akufo-Addo to compel Finance Minister Ken Ofor-Atta and the Minister of State in the Finance Ministry, to resign.
The Majority caucus have also threatened to boycott the reading of the 2023 budget statement in Parliament if government fails to heed their demand.
Speaking to the Parliamentary Press Corps, when Parliament resumed on today, spokesperson for the majority, Andy Appiah Kubi, noted that the recent economic challenges facing the country is of great concern to the majority caucus.
He further noted that the removal of Mr Ofori-Atta from office will restore the hope of Ghanaians in the country’s economy.
“We’re by this medium, communicating our strong desire that the President change the Minister of Finance and the Minister of State in the Finance Ministry without further delay in order to restore hope into the financial sector and reverse the downward trend in the growth of the economy,” he said.
According to the majority caucus, it will not participate in any government business in the House, if the two persons are not removed from office.
“Notice is hereby served that until such persons as aforementioned are made to resign or removed from office, we members of the majority caucus here in Parliament will not participate in any business of government by or for the President by any other Minister.
“We’re saying that if our request is not responded to positively, we will not be here for the budget hearing neither will we participate in the debate,” it said.
Popular media personality, Natalie Fort,has stated that people must be allowed to freely point out ills within the Akufo-Addo administration without being labeled as disrespectful.
According to her, the right or wrong upbringing of an individual has got nothing to do with sharing opinions on matters of national interest.
In the wake of the economic woes the country has been saddled with lately, many have vented out their anger and frustrations on President Nana Addo Dankwa Akufo-Addo.
Aside from being booed more than twice in public, some have labelled the president as incompetent, heartless, among others.
This development has not sat well with some individuals, including traditional leaders like the Okyenhene. Osagyefo Amoatia Ofori Panin II chastised the youth insulting Akufo-Addo, describing them as villagers and uncultured.
But Natalie Fort thinks otherwise.
In a series of posts on Twitter, she said:
“Criticizing the President, has got nothing to do with being raised well or otherwise. In this case the President being an elderly person is immaterial…he is the President, and we’re operating a Democracy – in which ‘the people’ are permitted, in fact, obligated to speak, criticize and condemn, if need be.”
A tweep who sided with the Okyenhene’s comments which sought to brand critics of the president as ‘witches,’ replied to Natalie saying;
“The Chief’s main concern relates to the use of foul and unprintable language. Perhaps it will help if we focus on issues and debates by sharing our opinions with dignity and respect, rather than resorting to insults which tend to dilute whatever message we’re trying carry across.”
Natalie Fort in a rebuttal wrote;
“Well said, however you think it’s in order for a traditional leader, the Okyenhene, to refer to Ghanaians who are displeased with the President’s leadership currently as witches and wizards? I see…he addresses insults and foul language by himself insulting? Interesting.”
Read the posts below:
Criticizing the President, has got nothing to do with being raised well or otherwise
Well said, however you think it’s in order for a traditional leader, the Okyenhene, to refer to Ghanaians who are displeased with the President’s leadership currently as witches and wizards? I see…he addresses insults and foul language by himself insulting? Interesting. https://t.co/WQAtSDiDgm
As part of the government’s larger industrialization plan, President Nana Addo Dankwa Akufo-Addo has supported the One-District, One-Factory initiative as a means of creating a domestic infrastructure that can survive the ambiguities of exogenous shocks to the Ghanaian economy.
In this regard, the president emphasized that the Eastern Region alone has completed 1D1F enterprises, with an additional 16 projects in varying levels of completion that will soon be launched as well as an additional four projects that are just in the project conception phase.
The performance and success of the completed 1D1F projects across the country, with regards to minimising unemployment and shoring local production, has thus far, been a clear indication of President Akufo-Addo’s long-held belief that Ghana’s path towards self-reliance is largely premised on the country’s determination to industrialise.
According to the President, who began a three-day tour of the Eastern Region on Friday, 21 October 2021, “the whole purpose of the policy means having factories and enterprises here in Ghana, which will substitute the ones that are coming from abroad. That is the whole purpose of the policy. Instead of importing XYZ, you’re going to have them made here.”
He added: “When we said we wanted to implement 1D1F and certain strategic industrial policies, we were told it couldn’t be done, but today, everyone is talking about how important it is for the Ghanaian economy to lessen its dependence on foreign goods and foreign services.”
“Now, people are beginning to understand that, indeed, we had the foresight, we knew exactly what we needed to do to bring substantial progress, real progress not intermittent progress, but substantial progress, which is going to be strong and resilient. That is what I’ve noticed is ongoing,” he added.
President Akufo-Addo indicated further: “By the time we are through, then the commitment of a 1D1F would have been established. And we can only strengthen the industrial development of the country, which is very important to note that foreign import dependence will not inure to our growth. We have the panacea, the solution, and the government is working towards it”.
President Akufo-Addo’s 1D1F initiative is meant to change the nature of Ghana’s economy from one which is dependent on the import and export of raw materials to one which is focused on manufacturing, value addition and export of processed goods from raw materials that are largely found in the districts across the country.
Thus far, the One-District-One-Factory initiative, which has seen the ongoing construction of 296 factories across the country, of which 125 have been completed, is part of the foundation on which the Akufo-Addo government is we are building a comprehensive industrialisation programme, inspired by the development of strategic anchor industries, such as the emerging automotive industry and the co-ordinated exploitation for the entire domestic value addition of our bauxite and iron ore resources.
“I am hopeful that, by the end of my term, the full complement 296 factories will be in operation to help provide quality domestic alternatives to the consumption needs of Ghanaians and reduce substantially our dependence on imports. We do not only account for the youth as labour in the 1D1F programme, but also as managers and owners. Indeed, 58 of these factories are wholly owned by young people who have received direct government support”, he added.
He asserted that Ghanaians should have faith in him and trust that, in his capacity as president, he will be able to address the issues facing the nation.
On Sunday, October 23, President Nana Addo Dankwa Akufo-Addo concluded his three-day Eastern Regional tour by speaking at St Mark Anglican Church in Kyebi.
“I am aware of the difficulties Ghanaians are experiencing, and I implore you to have faith in me to overcome them because this too shall pass.”
The Cedi has recently been classified by Bloomberg as the worst-performing currency against the US Dollar.
Currently, the Cedi is trading at above GH¢14 to a dollar at some forex bureaus. The depreciation rate is a contributory factor for the ongoing shop closures ordered by the Ghana Union of Traders Association (GUTA).
President Nana Addo Dankwa Akufo-Addo has insisted that only a New Patriotic Party government has the requisite policies and programmes needed to restore Ghana’s current economic challenges.
According to him, the governing party has over the years garnered a track record of implementing policies aimed at restoring economic growth and social development.
Speaking at an event to launch the membership card of the NPP, President Akufo-Addo assured citizens of addressing ongoing challenges within the economy which is now seeking IMF support.
“I’m saying to you today, join the New Patriotic Party. Those of you who are not part of it, join us so that we will be stronger as a party. But the problems we have in Ghana today, we will solve these problems in Ghana and put our economy back in a strong place. No party in Ghana has the programme to get the country out of these problems. We are the only ones who can.
“And we will do it, we will do it to the surprise of everybody. We are going to do it and bring our country back onto the space of time,” President Akufo-Addo said.
Meanwhile, since the beginning of this year, Ghana has been experiencing a wave of economic challenges which include revenue generation constraints, credit rating downgrades, cedi depreciation, and inflation hikes, among others.
Although government has occasionally blamed the development on external factors such as the Russia-Ukraine war, fallouts from the COVID-19 pandemic, Ghana has now resorted to the International Monetary Fund for financial assistance.
The Ghana cedi on the other hand has been ranked the worst currency in the world among 148 currencies tracked by Bloomberg, overtaking Sri Lanka’s rupee, having depreciated by nearly 50 percent so far in 2022.
In a statement issued by Alpha A. Shaban, the general secretary of the Ghana Union of Traders Association (GUTA), the organization announced that its strike action had been put on hold.
The King of the Ga State, Mantse Nii Tackie Teiko Tsuru II, met with the press after which the decision was made. He promised to bring the issue before the proper authorities for an urgent resolution.
“He [the President] then called for setting up of a working committee made up of the Ministry of Trade and Industry, National Security and GUTA, to swiftly come out with pragmatic measures to solve the challenges,” parts of the statement read.
The statement added that shops are expected to open today, Friday, October 21, 2022.
“In view of all this goodwill from these great personalities, we wish to appeal to our teaming members and the entire trading community who participated in this strike action to reopen their shops from October 21, 2022, as we continue to pursue the process for immediate solution,” the statement concluded.
President Nana Addo Dankwa Akufo-Addo has been urged by the Sachet and Packaged Water Producers’ Association to act to stop the cedi’s sharp devaluation.
They contend that because the packaged water sector is strongly reliant on imports, the ongoing depreciation of the cedi has a direct impact on their capacity to turn a profit.
They said that the recent increase in the commodity’s price does not even cover their expenses.
“Obviously, the last price announced in September is nothing to even meet the break-even cost of the packaged water industry. As a result, the industry is accumulating debt in its operations to levels that are no more sustainable,” a release on October 20, 2022, noted.
1. Reduce taxes on the packaging materials for the industry.
2. Review the import and customs duty formula for the raw materials imported for the packaged water industry.
3. Freeze payment of VAT, Excise tax, and other taxes on the packaged water industry.
4. Freeze government charges and fees for the packaged water industry and if possible, subsidize the Electricity and water bills of the industry.
5. Remove completely all taxes on reusable jar bottles used for the dispensing machines.
6. Call on the bank of Ghana to be circumspect in the adjustment of the policy rate which is increasing the cost of borrowing from the banks to the businesses.
Read the full release below
DISTRESS CALL!!
PRESS RELEASE BY THE PACKAGED WATER PRODUCERS
THE NATIONAL EXECUTIVE COMMITTEE OF THE NATIONAL ASSOCIATION OF SACHET AND PACKAGED WATER PRODUCERS (NASPAWAP) WISHES TO SEND A DISTRESS CALL TO THE GOVERNMENT ON THE EFFECTS OF THE FALL OF THE GHANA CEDIS TO ALL MAJOR TRADING CURRENCIES ON THE PACKAGED WATER INDUSTRY AND THE NEED FOR GOVERNMENT TO ACT FAST TO AVERT THE TOTAL COLLAPSE OF THE INDUSTRY.
This press statement is a distress call to the government to as a matter of urgency to take strategic steps to stabilize the exchange rate between the Ghana Cedi and the major foreign trading currencies.
The packaged water industry relies heavily on imported plastic pallets/granules used in the manufacture of Polythene films and pet bottle preforms, which are used to package the treated water for consumers.
It is important to note that Packaging alone forms about 60% of the production cost for sachet and bottled water. Diesel fuel used for distributing the packaged water to market centers for consumers was around 15% of the product cost as of the third quarter of last year. Due to the high increase in Diesel and other petroleum products, Diesel fuel for distributing packaged water to consumer centers now exceeds 25% of the product price. Electricity cost which used to be around 15% of the product price has increased to 20% of the product price as a result of the recent increase in utility tariffs.
All the above sums up beyond 95% per the last packaged water new prices announced in September 2022 without considering the cost of capital, Salaries and wages, taxes, bank charges, regulatory fees, machine and equipment cost/depreciation/parts replacement, distribution vehicles and its maintenance costs and other overheads.
Obviously, the last price announced in September is nothing to even meet the break-even cost of the packaged water industry. As a result, the industry is accumulating debt in its operations to levels that are no more sustainable.
In practical terms a year ago in October 2021, 1kg of Slf plastic roll was selling at 14.5 Ghc (Including Excise tax, VAT, NHIS, Get fund, etc). A Year on, the same 1Kg of Slf plastic roll is now selling at 29ghc Ghc (Including all taxes, ).
The Slf roll is the film that is used to package sachet water, also known as sachet rubber. The outer bag was sold on average at 22GhP for printed bags last year in October 2021. A year on this October. 2022 each printed bag is selling at 45GHp.
The PET preforms for producing bottles were sold at 17GHp for the 13 grams last year in October 2021. In October 2022, the same preform is selling at 35GHp.
The reverse osmosis Membranes, used as the filtering medium, were selling last year in October 2021 at 2500 Ghc on the average for the 80/40 type.
In October 2022 it is selling at 5500ghc. One could deduce from the analysis that the packaged water industry’s producer price inflation is over 80%.
The cost of Diesel and the continuous fall of the Ghana cedi against its major trading currency is taking a toll on the packaged water industry and we are calling on the government to take urgent steps to ;
1. Reduce taxes on the packaging materials for the industry.
2. Review the import and customs duty formula for the raw materials imported for the packaged water industry.
3. Freeze payment of VAT, Excise tax, and other taxes on the packaged water industry.
4. Freeze government charges and fees for the packaged water industry and if possible, subsidize the Electricity and water bills of the industry.
5. Remove completely all taxes on reusable jar bottles used for the dispensing machines.
6. Call on the bank of Ghana to be circumspect in the adjustment of the policy rate which is increasing the cost of borrowing from the banks to the businesses.
The packaged water industry was at the forefront during the covid 19 outbreak, potable water is an essential product, and the industry goes to all lengths to ensure that it provides premium products to the public it is important that as we are in distress, the government comes in to provide the needed support to ensure good health of the citizens.
We wish to call on the public to take a keen interest in all the analyses expressed above.
Calling on the packaged water producers across the country to shut down production and distribution for a couple of days to press home our demands may have been the obvious thing to do but as an essential product provider, we are mindful of the repercussion of such action and the health hazards, it can pose to the citizens, more especially as most of the river bodies are highly polluted and most households depend on packaged water as the main drinking source, reported by the Ghana Statistical Service.
It is important that the public, CSOs, the Head of faith-based organizations, NGOs, the Parliament of Ghana, Diplomatic missions, and Others, support the packaged water industry by calling on the government to heed the plight of the industry.
The leadership of the packaged water industry will continue to update the public on the challenges, and if the government did not attend to the call by a week from today, we will have no option but to pass on the cost to the public and possible shutdown of production and distribution for a week across the country.
President Nana Addo Dankwa Akufo-Addo has for the first time taken the blame for government’s decision to resort to the International Monetary Fund for financial support.
This comes after government had occasionally insisted that it would not turn to the Bretton Woods institution for support as it believes in its homegrown solutions until government backed down on its stance on July 1, 2022.
Speaking on Kumasi-based OTEC FM during a tour of the Ashanti Region, President Akufo-Addo on October 18 said the decision to turn to the IMF had become necessary in the face of economic headwinds.
“I take full responsibility for it. But I’m hoping very strongly that by the middle of November, a month from now, these negotiations will be over. We are going to come to a budget for the country in the middle of November,” he explained.
“I’m hoping that the IMF negotiations will be over at least substantially so we will have a clear idea of the elements of the agreement with the Fund, which hopefully will be able to feed into the budget and have that drive our budgetary projection for next year and the year ahead,” the president said.
“For me, my hope is that we will have a programme of fiscal adjustment. It will take us through most of the immediate budget but then will put us in a position in 2024 to begin the recovery and the growth,” he added.
Officials from Ghana and IMF have been engaged in the second round of negotiations in the United States of America toward reaching an agreement with the Fund.
Ghana is targeting an amount of $3 billion from the Fund once an agreement can be reached with funds likely to be accessed in 2023.
In the coming months, the CCPL will put into operation one of the biggest citrus processing facilities, which will be able to turn over 15 tons of oranges an hour into fruit juice.
Ghana will become a leader in the production of natural fruits and juices thanks to the firm’s relationship with Ekumfi juices and processing business.
This project has come in timely to the farmers of the district as over the years they have not been making profits from their citrus farms and were cutting them down to grow other crops.
These farmers are 75 years in age and had lost hope in the industry as their children shy away from citrus farming.
Today with the intervention of CCPL, the youths have gained employment through the mechanised community crop management services. It is expected that this factory processes fruit from an average of 6000 acres per year into both juices and oils both meant for exports and local markets
Through this partnership, ADB gave financial support to the Central Citrus Processing Limited to develop and cultivate the over 3,000 acres of abandoned citrus farms located in Cape Coast in the Central Region
It is estimated that the company will generate an income of about GH¢250million annually.
This support by ADB was expected to go a long way in creating more sustainable jobs and also cut down on the importation of fruit juice into the country.
Central Citrus Limited will be getting a direct off-take from the Ekumfi Fruits and Juices Factory to make sure their produce is used to blend the Eku tropical varieties to enhance their taste.
This support by ADB means the bank has bought into the vision of President Nana Addo Dankwa Akufo-Addo to take off the shelves most of these foreign products and bring in Ghanaian products.
Ghana has the two most suitable sources of oranges coming after South Africa, which makes it a prudent venture that ADB has signed onto.
The decision by ADB to go into this venture will lead to the creation of more jobs – promoting processing, reducing importation and shielding the cedi from unnecessary pressure.
The enclave has over 75 thousand acres of citrus, and with the support from ADB it will scale up economic activities sharply.
The average citrus farmers have abandoned their farms because of poor revenue coupled with insect infestation and plant diseases, together with unproductive work processes which often hamper cultivation. Many of the seedlings are pest-ridden, making them useless for further planting.
This frustration usually makes the farmers switch over to the cultivation of rubber and cassava.
For the past 10 years most citrus farms have been abandoned, as the importation of finished products has outweighed the processing opportunities in the country.
ADB’s financial support was to help improve the quality of citrus production and increase sustainable income for all actors along the citrus value chain.
Citrus fruit have long been valued as part of a nutritious and tasty diet. The flavours provided by citrus are among the most preferred in the world, and it is increasingly evident that citrus not only tastes good but is also good for people.
It is well established that citrus and citrus products are a rich source of vitamins, minerals and dietary fibre (non-starch polysaccharides) that are essential for normal growth and development as well as overall nutritional well-being.
Naa Puowele Karbo IV, the Paramount Chief of the Lawra Traditional Area, has commended the Vice President Dr Mahamudu Bawumiafor his efforts in supporting and assisting the president in steering the affairs of the nation.
He expressed his admiration and lauded the Vice President for his hard work, focus and bringing dignity to the high Office of the Vice President and hoped that his efforts would be rewarded for his digitisation and transformation agenda to assist President Nana Addo Dankwa Akufo-Addo.
“Since assuming the high Office of the Vice President, you have brought dignity, respect and prestige to that office and we pray your efforts are sustained and your competence, effectiveness, efficiency, commitment, hard work, determination and dedication to the duties and responsibilities of the office are widely acclaimed locally and internationally,” Naa Karbo stated.
He made the commendation when the Vice President, Dr Mahamudu Bawumia, paid a courtesy call on him at his palace.
Touting the achievements of the vice president, Naa Karbo noted that his conduct, demeanour, focus, steadfastness and working harmoniously with the president should enable both of them to achieve their vision so as to galvanise the youth to take appropriate steps to take leadership roles and transform society.
“In particular, you have shown by your conduct, demeanour and steadfast support and assistance to the president that a vice president can work harmoniously with a sitting president and enable him to achieve their common vision.
“It is my prayer and hope that your effort at galvanising the youth to remain focus, steadfast and determined to realise the common vision of both the president and his vice will be rewarded by the youth with the appropriate price of leadership at the appropriate time,” Naa Karbo stressed.
Justice Frances Barbara Ackah-Yensu, a Supreme Court Justice nominee Tuesday called for the application of Alternative Dispute Resolution, (ADR) in addressing environmental crimes including galamsey.
Consequently, she has called for the amendment of the current ADR laws.
She said: “Speaking as a Judicial officer, we will determine if any case comes before us on the harmful nature of galamsey, we will look at the particular circumstances of each case and apply the law and decide. But as a proponent of ADR, I think that a section of environmental matters in the ADR Act probably will have to be looked at again so that we can try applying ADR mechanisms in resolving galamsey.”
Justice Ackah-Yensu made the call when she appeared before Parliament’s Appointment Committee to be vetted.
The Appointments Committee of Parliament Tuesday began the vetting of four Supreme Court justice nominees.
President Nana Addo Dankwa Akufo-AddoJuly nominated four: three justices of the Court of Appeal and a Justice of the High Court to fill up expected vacancies at the apex court.
The nominees from the Court of Appeal are; Justice Barbara Frances Ackah-Yensu, Justice George Kingsley Koomson and Justice Samuel Kwame Adibu Asiedu.
Justice Ernest Yao Gaewu is the only nominee from the High Court.
Their appointments are now subject to subsequent approval or rejection by Parliament.
Justice Akah-Yensu call was in response to a question from Mr Haruna Iddrisu, the Minority leader on the galamsey menace.
When asked the role ADR would play specifically in dealing with galamsey cases, she told the Committee that “ADR will come between the communities and the perpetrators if they are made to sit together and have a conversation, ” she said.
Mr Joseph Osei-Owusu, Chairman of the Committee asked whether the nominee had ever been to a galamsey site before to appreciate the level of devastation, but the Justice nominee answered, “Mr Chairman No.”
Touching on the lack of confidence in the judiciary by the public, Justice Ackah-Yensu admitted that most of the public had lost confidence in the Judiciary, however, she was hopeful they had trust in the judicial system hence the increase in several cases judges had to deal with every day.
Lamenting the high cost of living in Ghana, the actress took to Twitter to bitterly complain about the price of a certain eye drop she uses daily to prevent her from going blind.
Yvonne disclosed that she risks contracting glaucoma without that particular eye drop which now costs double its initial price.
“Mr. President, Nana Akufo-Addo,this eye drop ( xalacom) was 120ghc, its now 273ghc and even 300ghc in some pharmacies. I need to use this every evening, without it, the pressures on my eye will go up and will result in glaucoma. How many Ghanaians do you think can afford this?” She wrote on Twitter, on October 16, 2022.
The actress however believes that the president has been acting nonchalant while citizens suffer in these hard times.
“Are you still president? Are you still in this country? Do you hear the people crying? Are you this heartless? No more campaigns ahead so you are unbothered? You obviously feel nothing for Ghanaians. Such a disappointment. The country Is bleeding. it’s that bad! We cannot live this way! Are you able to sleep at night? People close to you aren’t telling you? You have failed every citizen!”
Read the posts below:
Mr President, @NAkufoAddo , this eye drop ( xalacom) was 120ghc , its now 273ghc and even 300ghc in some pharmacies. I need to use this every evening, without it, the pressures on my eye will go up and will result in glaucoma. How many Ghanaians do you… pic.twitter.com/RiVHTfokB2
Mr President, @NAkufoAddo , this eye drop ( xalacom) was 120ghc , its now 273ghc and even 300ghc in some pharmacies. I need to use this every evening, without it, the pressures on my eye will go up and will result in glaucoma. How many Ghanaians do you… pic.twitter.com/RiVHTfokB2
think can afford this? Are you still president? Are you still in this country? Do you hear the people crying? Are you this heartless? No more campaigns ahead so you are unbothered? You obviously feel nothing for Ghanaians. Such a disappointment. The country…
The US$330 million Boankra Integrated Logistics Terminal project, also known as the Boankra Inland Port Project, which has been in the works for around 18 years, has been promised to President Nana Addo Dankwa Akufo-Addo that it will be finished by the first quarter of 2024.
On Sunday, October 16, 2022, when President Akufo-Addo paid a visit to the construction site, the concessionaire, Ashanti Ports Services Limited, a partnership between Afum Quality Limited of Ghana and DSS Associates of the Republic of Korea, made this information public.
Covering a total land area of 413 acres, the President was informed by the Concessionaire that “we are working to deliver this job within the schedule date. By the end of 2023 eighty percent (80%) will be done, and, by the end of the first quarter 2024, we will finish the project.”
The Concessionaire was hopeful that the eastern and western railway lines will be completed on schedule, which will further improve the viability of the Boankra inland port.
The idea of the Boankra Integrated Logistics Terminal project has been in the pipeline since the days of the Government of the 2nd President of the 4th Republic, His Excellency John Agyekum Kufuor. In attempting to bring it into fruition, it encountered a number of challenges, a significant one being the exit of the NPP government in 2009.
2020 Sod-cutting
Cutting the sod for the construction of the Port on Thursday, 5th November 2020, the President explained that the Boankra Inland Port project has been initiated to provide service to importers and exporters in the middle and northern parts of the country, and also to act as a major conduit for the efficient transportation of transit traffic to and from our neighbouring landlocked countries of Burkina Faso, Mali and Niger.
After completion of the Terminal, it will be fitted with an inland clearance depot, customs bonded and unbonded estates, commercial areas such as banks, offices and trading facilities, vehicle parking areas, light industrial areas, and an administration complex.
The Project will also offer significant employment opportunities for both skilled and unskilled labour during the two phases of construction and operation. Beyond the creation of jobs, there are other ancillary small and medium-scale businesses that will be located within the enclave to support the operations of the Terminal.
“It is noteworthy that the transformation of the Ghanaian economy, from a raw material producing and exporting one, to an industrialised one, will be given a huge impetus with the coming on stream of this facility. Government’s commitment to establishing firmly the economy of Ghana on a solid path of industrialisation, with the view to delivering a vision of self-reliance, development and prosperity for all, is unwavering,” he added.
The Concessionaire, Ashanti Ports Services Limited, a joint venture of Afum Quality Limited of Ghana and DSS Associates of the Republic of Korea, according to President Akufo-Addo, is committed to investing a total of $330 million for the realisation of this project. Additionally, the Concessionaire is expected to design, engineer, finance, procure, construct, operate, and maintain the project, and transfer title to the Government after a thirty (30) year period.
“It is my hope and expectation that the Concessionaire will not renege on the confidence reposed in it, and will take all the necessary actions to deliver the project on schedule and on budget,” he added.
One of the success stories of the Africa economic integration agenda is the coming into force of the Africa Continental Free Trade Agreement (AfCFTA).
The objective of the AfCFTA is to promote trade among African countries, with the President stressing that “this will be buoyed by the presence of an effective and efficient transport system, especially as Ghana is playing host to the Secretariat”.
President Akufo-Addo was hopeful that “this project and other similar infrastructure projects, such as the development of the Keta Port, the Tema-Akosombo Railway Line, and the ongoing port expansion projects at Tema and Takoradi Ports, would make a positive contribution in ensuring that Ghana derives maximum benefits from the AfCFTA.”
A stalwart of the Convention People’s Party (CPP), Kwame Jantuah has asked the President to place a curfew in all mining areas as part of the fight against illegal small scale mining (Galamsey).
He suggested that the army should be deployed to enforce the curfew if it is done.
Contributing to a discussion on TV3’s New Day show with Roland Walker on Friday October 14, he said “There should be a curfew in galamsey areas, get our army there to enforce the curfew.”
He further called for a five-year ban to be placed on all mining activities.
“Ban small scale mining for five years. The people will lose jobs and so they are afraid to do it but you have to create jobs for them.”
His comments come at a time the Minister of Lands and Natural Resources, Samuel Abu Jinapor has said that the fight against galamsey is tough.
However, he said the government will not relent on its efforts in fighting the menace to protect the environment.
Addressing a press conference in Accra on Thursday October 13, the Damongo Lawmaker said “It is going to be a tough fight but the Ghanaian people should be rest assured that we are fully committed to this fight and we are never going to relent in our efforts.
“I am very confident that if all of us work together in good faith, we take out partisan politics out of it and see this as a national canker or national issue as it truly is, and pull our weight together, we definitely will be able to protect our environment and protect our country, protect our forest, protect our land scape, protect our water bodies for ourselves and our children and future generations.”
He said he has not achieved the results he was looking for in the fight but the government is determined to win the battle against the menace.
“Since I took office I have made it a central feature of my presidency to lead in the efforts to rid our country of this menace which we all now call galamsey. It has not been popular and we have not got the result that I was looking for,” Mr Akufo-Addo said during a meeting with the National House of Chiefs and the Municipal, Metropolitan and District Chief Executives (MMDCEs) in Kumasi on Wednesday October 5.
He further told the National House of Chiefs that the task to protect the lands and the environment from the effect of Galamsey is a joint responsibility between the government and the traditional authorities.
Mr Akufo-Addo explained that 80 per cent of the lands in Ghana are in the custody of the chiefs.
This means they have a role to play in protecting the resource, he said.
He said “80 per cent of the lands in this country continue to be under your custody, much of it having been acquired through the blood and sacrifices of your ancestors. The reminder of 20 per cent which I hold in trust of the people of Ghana, derived from state acquisition from you. What this means is that ultimately, the welfare of the state of the lands is our joint responsibility, although by statute the minerals in the soil belong to the president in trust for the people.”
The chiefs on their part assured Mr Akufo-Addo that they are solidly behind his administration to apply appropriate measures against all persons involved in Galamsey in the country.
President of the National House of Chiefs, Ogyeahohoo Yaw Gyeb indicated that galamsey is having a negative effect on the environment and also threatens revenue mobilsation in the country hence, their resolve to support the President and government in fighting it.
He said “your relentless war against forest degradation and illegal mining in Ghana is of great importance to Ghanaians especially we the chiefs.
“The effects of illegal mining on the environment threaten the survival of water bodies , farmlands, cocoa industry and even encouraging school dropouts, this undermins the revenue mobilsation drive in the country.
“In view of this development [the Chiefs] are solidly behind your administration to apply the appropriate sanctions against persons who are engaged in the practice illegal mining irrespective of their status.”
The paramount chief of the region must now be formally consulted in order to obtain his approval before any mining concession or license is awarded to any applicant. This directive came from President Nana Addo Dankwa Akufo-Addo.
The metropolitan, municipal, and district chief executives (MMDCEs) of that particular jurisdiction, as well as the regional ministers, shall all be formally consulted before any person or corporation is given a mining concession.
In response to the President’s order, Mr. Samuel Abu Jinapor, Minister of Lands and Natural Resources, has issued a Ministerial Fiat ordering the Minerals Commission to halt all procedures leading to the recommendation for the issuance of mining concessions and licenses until the Commission has gotten input from the relevant authorities.
Mr Jinapor announced this at a media briefing in Accra on Thursday to update the public on new measures being implemented by the Government to combat illegal small-scale mining, otherwise known as “galamsey”.
The directive had become necessary to ensure the traditional and local authorities played a central role in the fight against illegal small-scale mining, which had wreaked havoc on the environment and water bodies.
When the President met the National House of Chiefs in Kumasi recently, the chiefs raised concerns about being sidelined in the issuance of mining licences and granting of concessions to individuals.
Therefore, whenever there was illegal mining within their traditional areas, they had no power to stop it because they did not play any meaningful part in the granting of the licences.
Mr Jinapor said with the enforcement of the Ministerial Fiat, traditional rulers and MMDCEs would play a central role in the fight against galamsey.
He highlighted a gamut of measures implemented by the Government to stop the galamsey menace; procurement of speed boats to patrol rivers, training of river guards, forest reserves declared as “red zones” for mining, and distribution of mercury free gold processing machines (gold kachas) to small-scale miners.
Others are collaboration between the Lands Ministry and the Attorney-General’s Office to prosecute illegal miners, both Ghanaians and foreigners; rolling out Community Mining Schemes for local people, recruitment and engagement of about 80,000 people for alternative livelihood programme, frequent operations by the military (Operation Halt) to mining sites to arrest and burn excavators belonging to illegal miners, and setting up 83 district mining committees to oversee mining at the district level.
Operation Halt II campaign has also been launched, spearheaded by the Military High Commands in the southern, middle and northern belts, which would be sustained until galamsey was brought to the minimal.
The government has, therefore, allocated significant funds and logistics to the new military operation, Mr Jinapor stated, and called for collaboration with stakeholders and a change of attitude by all to help fight the menace.
He said the media should constantly educate the public on the dangerous consequences of galamsey such as kidney diseases and buruli ulcers affecting inhabitants in the mining areas.
Mr Jinapor pledged the unflinching support of the President and the Ministry towards fighing the menace, with integrity and transparency without shielding anyone, irrespective of one’s political affiliation or standing in society.
Dr. Kwaku Afriyie, Minister of Environment, Science, Technology, and Innovation (MESTI), has directed the Nuclear Regulatory Authority’s (NRA) new board to step up efforts to incorporate nuclear power into the nation’s energy mix.
He claimed that in order to get the Authority ready to properly carry out its mandate in the country’s nuclear power program, the committee was required to start pragmatist policies and actions.
Inaugurating the board in Accra, he also tasked the board to ensure that nuclear devices for medical and agriculture purposes that would come into the country were well regulated.
The seven-member board which is the third for the NRA is chaired by Professor Aba A. BentilAndam, a fellow of the Ghana Academy of Arts and Sciences with members including Professor Isabella A. Quakyi also from the Academy.
Others are Colonel Tim Ba-Taa-Banah, National Security Ministry; Daniel Adumuah, Adentan Municipal Chief Executive; Ebenezer Appah-Sampong, Environmental Protection Agency; Dr Nii K. Allotey, NRA and Prof. Edward Akaho, Former Director-General of the Ghana Atomic Energy Commission.
After many years of preparations, President Nana Addo Dankwa Akufo-Addo, last month, approved the inclusion of nuclear power into the country’s power generation mix, indicating readiness to go nuclear.
The announcement of the government’s approval, called the National Position, is one of the key 19 infrastructure issues under phase one of the programme, a guideline set by the International Atomic Energy Agency (IAEA).
“The board is a requirement in international circles because if it does not exist we would not have the IAEA permission to proceed and that would be against international law, so this board is very important,” said Dr Afriyie.
He said the country, having completed the first phase, had initiated the second phase with a call for expression of interest from vendors and identification of sites for the project.
“Your inputs should ensure the proper management of the resources of the Authority, and also ensure that the Authority is abreast with all emerging new technologies.
“I urge you to be passionate about this duty, bring your years of experience, expertise and excellence which all of you are noted for, to bear on the task ahead. Above all, take your mandate as a “sacred calling” for which posterity would applaud your memory,” he said.
Prof. Andam thanked and assured the president that the board would be committed to the task ahead, initiate policies and see their quick implementation, and ensure good governance in the NRA.
“I can attest to the fact that members of this board are known for their lives of service and commitment to the nation. This gives me the confidence that history will show that in our day we met the demands which our time requires of us,” she said.
