Ghana’s Economic Oxygen Depleted Before Pandemic – Nii Moi Thompson to Ofori-Atta

Renowned Ghanaian Economist, Dr. Nii Moi Thompson, Highlights Pre-Pandemic Economic Weaknesses Caused by Finance Minister’s Policies

In a recent statement, Dr. Nii Moi Thompson, a prominent Ghanaian economist, has criticized the Minister for Finance, Ken Ofori-Atta, asserting that his policies had severely weakened key sectors of Ghana’s economy even before the COVID-19 outbreak. Dr. Thompson argues that the Finance Minister’s decisions have particularly impacted the financial sector, which serves as the lifeblood of any economy.

Contrary to attributing the economic challenges solely to external factors like the COVID-19 pandemic and the Ukraine war, Dr. Thompson points out that as early as November 2019, the Finance Minister had predicted a downward trajectory in GDP growth. This, Dr. Thompson argues, is a result of the Minister’s own policies, including what he describes as the “wanton destruction” of the financial sector, which saw a significant contraction.

The economist further elaborated that the economy had been heading towards a precarious state before the pandemic took center stage globally. He emphasizes that the Minister’s decisions, including a notable decline in the construction sector and other sectors, had already begun fueling unemployment and hindering growth.

Dr. Thompson’s assessment of the mid-year budget review is scathing. He suggests that the Finance Minister has turned the review exercise into a theatrical display filled with inconsistent biblical references, lacking coherent economic analysis.

While acknowledging the strain that COVID-19 imposed on the economy and government finances throughout 2020, Dr. Thompson asserts that the pandemic also presented financial opportunities for the government. The substantial funds raised, including those from the International Monetary Fund (IMF), were intended for pandemic response and other unspecified budget support. However, Dr. Thompson questions the tangible positive impact of these funds on the economy and the budget, criticizing the government’s decision to increase taxes and rates as counterproductive.

In essence, Dr. Nii Moi Thompson’s critique underscores the pre-existing vulnerabilities within Ghana’s economy that were exacerbated by the Finance Minister’s policies before the pandemic hit. The economist’s insights shed light on the need for a comprehensive review and restructuring of economic strategies to enhance the country’s resilience in the face of future challenges.