Professor Charles Godfred Ackah, a finance and economics expert at the University of Ghana, has cautioned the government against celebrating superficial fiscal discipline, warning that Ghana’s core economic challenges remain unresolved. Speaking on JoyNews’ PM Express Business Edition on July 31, 2025, Ackah criticized the focus on budget cuts as misleading when urgent needs persist.
Ackah argued that fiscal discipline should mean reducing waste and corruption, not slashing spending in a developing nation with idle resources. “Cutting your coat according to your cloth makes little sense when roads are broken, graduates are jobless, and hospitals lack beds,” he said. He advocated for strategic budget deficits to fund infrastructure and boost private sector growth.
Highlighting global examples, Ackah noted that even wealthier nations like the United States and Singapore run deficits for productive investments. He stressed that borrowing for infrastructure, not salaries or luxury vehicles, is prudent. Ghana’s low public sector wages, averaging GH¢1,000–1,200 amidst rising inflation, further underscore the need for targeted spending.
The Ghana economic policy debate intensifies as Ackah urges investment over austerity to address unemployment and infrastructure gaps. Stay updated on Ghana’s fiscal strategy and its impact on development!
Source: Myjoyonline
