Economist Adu Owusu Sarkodie has warned that Ghana’s heavy reliance on imports could threaten the country’s economic stability if tensions in the Middle East escalate.
Speaking on PM Express Business Edition on Joy News on Thursday, he said global conflicts can sometimes create opportunities for oil-producing countries like Ghana, but the country’s dependence on imports remains a major risk.
Dr Sarkodie explained that rising global crude oil prices could increase Ghana’s revenue since the country exports crude oil.
“If international oil prices increase and production levels remain the same, Ghana could earn more revenue than projected,” he said.
He suggested that any additional revenue should be used to support vulnerable groups who may be affected by rising global prices.
According to him, targeted interventions such as fuel coupons for commercial drivers—including trotro, taxi and ride-hailing drivers—could help reduce the impact of fuel price increases on transport fares and commuters.
The economist said Ghana has not yet felt the full economic impact of the tensions in the Middle East, but warned that the situation could worsen if the conflict continues for a long period, similar to the Russia–Ukraine War.
He recalled that the Russia–Ukraine conflict disrupted global supply chains and caused shortages and rising prices of key inputs such as fertiliser and wheat.
Dr Sarkodie noted that Ghana’s reliance on imported products, including wheat used for bread production, exposed the country to global market shocks.
He therefore called for renewed efforts to boost domestic production, particularly in agriculture and industry.
According to him, Ghana should prioritise the local production of essential goods such as fertiliser, poultry and sugar to reduce reliance on imports and strengthen the economy against external shocks.