Economic growth alone not enough to improve living standards – Haruna Iddrisu

The Minister of Education, Haruna Iddrisu, has dismissed claims by the opposition that the 5.7 percent growth recorded in 2024 is insufficient to gauge improvements in citizens’ living standards.

Commenting on the 2024 Budget Statement on Wednesday, March 12, Haruna Iddrisu asserted that the budget accurately reflects the current state of Ghana’s economy, which he described as burdened by debt.

He emphasized that the Finance Minister had presented a truthful picture of the nation’s economic condition rather than an exaggerated or overly optimistic outlook.

He also lamented the distressing state of the Ghana Cocoa Board (COCOBOD), which he noted was once the backbone of the country’s economy but is now struggling under massive debt.

“The honorable Ato Forson behaved like a woman in labor, sharing with Ghanaians the true state of the economy—an economy burdened by debt, in crisis, and on the brink of failure,” Iddrisu remarked on Joy FM on Wednesday.

He added that while economic growth is important, it does not necessarily translate into an improved standard of living for citizens.

One of the key concerns raised was the struggling cocoa sector. Once a pillar of Ghana’s economy, COCOBOD played a crucial role in employment, foreign exchange earnings, and providing stable incomes for cocoa farmers. However, its current debt-ridden state raises concerns about its sustainability and the well-being of those dependent on it.

The 2025 budget highlighted three major layers of debt weighing down the nation: the national public debt, which has exceeded GHS 750 billion, as well as mounting debts in the cocoa, energy, and road sectors. Given these challenges, expectations that the first budget of this administration would resolve all economic issues overnight are unrealistic.

In response to these concerns, the Finance Minister extended an invitation to all Ghanaians to participate in the country’s economic recovery. The focus, he stressed, must be on correcting past mismanagement.

He further criticized the previous administration under President Nana Akufo-Addo and Vice President Dr. Mahamudu Bawumia, arguing that their claims of superior economic management ultimately led the country into unsustainable debt levels.

“Between now and 2027, the burden on the government is immense. There are no excuses—Ghana must find a way to service its debts and set the economy on a sustainable path,” Iddrisu concluded.