Scores of Ghanaians have rubbished President Akufo-Addo’s address to the nation on the state of the economy, which took place last Sunday.

Describing the address as a publicity stunt, some Ghanaians have touted that the President failed to address the locus of the challenges burdening the economy.

Prior to Akufo-Addo’s speech on Sunday, October 30, 2022, citizens envisaged that the President would highlight key measures to address some specific challenges they believe are the causes of the country's economic crisis.

Among other things, some Ghanaians wanted the president to scrap taxes on petroleum products, downsize his government, halt the construction of the national cathedral, and sack his Finance Minister, Ken Ofori-Atta.

However, to their dismay, the President focused on other challenges that he believes are the main factors crippling the economy.

President Akufo-Addo also listed five measures his government would be implementing to turn around the adverse impact.

He mentioned that the government will improve the revenue collection effort from the current tax-revenue to GDP ratio of 13% to somewhere between 18-20%.

He also indicated that the government will reduce Ghana’s total public debt-to-GDP ratio to some 55% in present value terms by 2028.

The President added that his administration will, among other things, review the reforms in the energy sector, capping of statutory funds, implementation of the exemptions Act, a new property rate regime, a 30% cut in the salaries of political office holders and encourage the habit of eating what you grow policy.

Taking to his Facebook page, the Member of Parliament of North Tongu, Samuel Okudzeto Ablakwa who expressed his disappointment stated that Akufo-Addo should have apologised for the economic difficulties he has "imposed" on Ghanaians in his address.

Mr Ablakwa said "just imagine how President Akufo-Addo would have been celebrated by Ghanaians tonight if he said the following: I am sorry for the economic difficulties I have imposed on you; I have with immediate effect fired Ken Ofori-Atta and Charles Adu Boahen; I am reducing the size of my government by 40%; I am slashing taxes on petroleum products."

President Akufo-Addo did not render an apology since he has pinned Ghana's unfortunate situation on COVID-19 and the Russia-Ukraine war.

Commenting on the 30% salary cut by Akufo-Addo’s, former Finance Minister, Seth Terkper,  said the measure is insufficient in helping the government in its debt sustainability.

He noted that “30% fall in staff wages to help fiscal consolidation? Total Expd: Budget (c135.6b), Rev. Budget (c133.8b), hence reduction is c1.8b (only 0.0133%). Note, total wages & allowances rise, not decrease: Budget (ghc35.8b) vrs Rev. Budget (c37.9b) = c2.1b or 0.059%. Waiting for 2023B.”

Taking his part, Ransford Gyampo, a lecturer at the University of Ghana, asserted that the President's address was inadequate and failed to address some fundamental issues.

For him, Akufo-Addo's address was merely rhetoric to achieve a political score.

According to him, the president failed to pinpoint how his government intends to achieve the objective of restoring confidence in the economy and hope in the people.

Arguing his point out, he said, "the ratio of our debt to GDP was around 56% in 2016. It is now expected to hit 104% according to the World Bank by the close of 2022. We must focus on addressing this rather than the manoeuvrings to keep power. There’s no potent campaign message than fixing our current challenges."

Source: The Independent Ghana