United Party founder and leader Alan Kyerematen has cautioned against describing Ghana’s recent macroeconomic improvements as sustained economic stability, arguing that a longer period of consistent growth is needed to support such a conclusion.
Speaking on Monday, September 21, Mr Kyerematen said the positive movement in key economic indicators was encouraging but warned governments against rushing to claim credit for economic gains before they have been sustained over a significant period.
He said successive administrations, including those led by the National Democratic Congress (NDC) and the New Patriotic Party (NPP), have often been quick to highlight improvements in economic performance without paying enough attention to whether such gains can be maintained.
“I think part of the challenge of governments, whether it’s NDC or NPP, they are too quick to be praising themselves about what they’ve done. But I’m saying that you can’t call, you can’t describe two years of macro performance as stability. You need a longer period of sustained growth,” he said in an interview with Channel One TV.
Ghana needs sustained growth
Mr Kyerematen acknowledged that Ghana’s current economic growth rate was positive but stressed that the country needed several years of stronger and consistent expansion to establish lasting macroeconomic stability.
He suggested that annual economic growth of between 8% and 10% sustained over a decade would provide a stronger basis for assessing the durability of Ghana’s economic progress.
“So 6%, it’s good, but I’m saying that it’s a trend, but you cannot… So we need 10 years of at least 8% to 10% growth,” he said.
Stabilisation and growth must go together
The United Party leader further argued that economic stabilisation and economic growth should be pursued simultaneously rather than treated as competing objectives.
According to him, both are necessary to achieve sustainable economic development.
“They are two sides of the same coin,” he added.
