Bawumia Chased Out

Dr Mahamudu BawumiaThere is no letup in the spate of dismissals in the wake of the John Evans Atta Mills presidency, with Dr. Mahamudu Bawumia becoming the latest to be shown the exit route.

Dr. Bawumia returned to his desk after partnering the New Patriotic Party (NPP) flag-bearer, Nana Akufo-Addo in the recent general elections in the country.

His participation in the electoral exercise was made possible through a contractual arrangement he had with his employers at the Bank of Ghana.

Information reaching DAILY GUIDE indicates that the first Deputy Governor of the Bank of Ghana who returned to his desk soon after his party gave way to the ruling National Democratic Congress (NDC), was subtly asked to vacate his position or face a sack.

Dr. Bawumia, according to reliable information, was under pressure from the transition team of the NDC-led government to resign or proceed on leave.

An official correspondence from the government-led transition team was presented to Dr. Bawumia yesterday.

The paper gathered that the financial and monetary expert was told to leave his post because of certain remarks he made during the recent political campaign considered uncomplimentary to the NDC.

The economist has at least a year more to serve the state as the Deputy Governor, based on a contract he struck with the state, which expires in June 2010.

But the new administration says it would be politically incorrect to maintain him in that sensitive capacity due to his divergent political views.

The financial guru has been described by many as a gem in raising the economic status of the country.

He has been involved in numerous financial sector reforms over the last seven years such as the Banking Amendment Act 2007, Act 738 that establishes the basis for an International Financial Services Centre (IFSC), the Foreign Exchange Control Act 2006, Act 723, the Credit Reporting Act 2008 and many more financial sector laws that have enhanced the financial sector.

Other programmes such as the flagship Ezwich, one of the electronic payment systems introduced to expedite action on payments, was also one of his initiatives.

The Deputy Governor of the Bank of Ghana was appointed by ex-President John Agyekum Kufuor in 2001.

Joining the Bank of Ghana in 2001 first as a Special Adviser to the Governor, subsequently as the Head of Monetary Policy Department (MPC) and later rising to become the First Deputy Governor, Dr Bawumia has played an instrumental role that has led to the numerous restructuring of the country’s financial sector underpinned by prudent monetary policies.

He taught several subjects such as Monetary Economics, International Finance and Development Economics at Emile Woolf College in London, England, and Baylor University in Texas, USA.  

The 45-year-old economist was leader of the Bank of Ghana’s Technical Team that negotiated with the World Bank and the International Monetary Fund for the HIPC initiative, which undeniably brought debt forgiveness to Ghana.

He was also a member of the Government Team that negotiated the Millennium Challenge Account (MCA) Compact with the United States Government.

The sound economic-oriented economic policies which Dr Bawumia and the Central Bank of Ghana pursued with vigor and determination led to the reduction of inflation from 40 percent in 2000 to 9.5 percent in 2007 while maintaining exchange rate stability.

By Charles Nixon Yeboah and Felix Dela Klutse