Economist and professor of finance at the University of Ghana, Professor Godfred Bopkin, has emphasised the need for the country to maintain long-term macroeconomic stability to achieve sustainable economic transformation and inclusive growth.

He said short-term economic policies disrupt stability, stressing that low inflation and low interest rates must be sustained over an extended period for effective planning and growth.

“We should be interested in maintaining macroeconomic stability for the long term. You need low inflation for a long. You need low interest rates for a long. If inflation is not low for long, you cannot plan for long,” he said.

Prof. Bopkin was speaking at the  Ghana National Chamber of Commerce and Industry dialogue series which was held in Accra on Tuesday on the theme: “2025 National Budget Discourse: Implication for the Private Sector”.

Short-term stability

He stated that since 1992, the country had often achieved relative stability for short periods, typically two to three years before crises derailed the progress.

Prof. Bopkin stressed that macroeconomic stability should not be viewed as an achievement in itself but as a foundation for long-term economic transformation. 

Drawing comparisons with countries like Malaysia, Singapore and South Korea, he pointed out that their success was built on consistent policies implemented over at least 15 years.

He urged policymakers to take a long-term approach to economic management, ensuring stability beyond short election cycles so that the country could move beyond the preparatory stage and achieve meaningful economic progress.

Spending and efficiency 

The professor also addressed Ghana’s fiscal policy, noting that while the country had been able to generate and spend revenue relative to the size of its economy, the efficiency of spending remained a major challenge.

“Ghana has spent just like Malaysia, Singapore and South Korea. While these countries used their expenditure to create employment, quality infrastructure and economic growth, Ghana’s spending has resulted in inflation, poverty and environmental destruction,” he stated.

He emphasised the need for more efficient government spending, pointing out that in Ghana, infrastructure projects such as road construction often cost multiple times the global average due to inefficiencies and corruption.

He stressed that the country’s economic growth must be intentional, sustainable and people-centred. 

“It is not enough to talk about GDP growth. We must measure how many people are being lifted out of poverty, how income inequality is being reduced and how our growth strategy is preserving the environment,” he said.

Opportunities 

The Chief Executive Officer (CEO) of the GNCCI, Mark Badu-Aboagye, said businesses must identify opportunities in the 2025 budget and strategically position themselves to take advantage of them. 

He said a clear example was the government’s commitment to procuring locally manufactured goods, which presented a significant opportunity for businesses.
Another key opportunity, he said, lay in the infrastructural sector, where the government was expected to invest approximately GH¢1.5 billion. 

“I see a lot of potentials, and as a chamber, we are committed to providing businesses with the necessary information to position themselves effectively and benefit from the provisions in the budget,” he said.

By Jesse Ampah Owusu/Eugenia Otenwaa

Accra, Mar. 21, GNA – Madam Gizella Tetteh-Agbotui, Deputy Minister of Works, Housing and Water Resources, has called on all Ghanaians to join government and stakeholders to safeguard Ghana’s water resources. 

She said the conservation of water resources was not the responsibility of just a few people but all citizens since water was a common resource. 

Madam Tetteh-Agbotui made these remarks at the 2025 World Water Day Celebration in Accra organised by the Ministry together with the Ghana Water Limited and the Water Resources Commission. 

The event held on the theme, “Water Conservation, Let’s Make It Our Way of Life” brought together stakeholders in the water sector to address issues centred on water conservation. 

Madam Tetteh-Agbotui said this year’s theme should serve as a wake-up call and inspiration for all to intensify their commitment and awareness at reversing the deterioration of the country’s water bodies.  

“Ghana’s policy response to conserve and safeguard our water resources for everyone and every sector of the economy is that of a shared responsibility of us all.” 

“We should always bear in mind that we all as individuals have a crucial role in saving our water bodies, just like the popular saying, water source is made up of millions of tiny drops. Let us endeavour to make our efforts count,” she added. 

Mr Adam Mutawakilu, Managing Director of Ghana Water Limited, called for investments in innovation solutions, equitable distribution systems, and sustainable infrastructure to guarantee that every Ghanaian, regardless of their location or economic status, had access to clean and safe water.  

“As we mark World Water Day 2025, let us reaffirm our commitment to water conservation and equitable access, ensuring that no one is left behind in our pursuit of a secure future,” he said. 

Mr Mutawakilu said they were working to increase their potential capacity through the acquisition of new water treatment plants and upgrading existing facilities, by investing in modern technologies such as smart metres, leak detection, and pipeline rehabilitation to reduce water loss and improve efficiency.  

He added that they were collaborating with the regulatory bodies and government agencies to enforce strict laws against illegal mining and industrial waste disposal into water bodies. 

Dr. Bob Alfa, Acting Executive Secretary of the Water Resources Commission, said the public needed to know that water was not an infinite resource, saying, the future of Ghana’s water resources depends on the actions taken collectively.  

“Our challenge is not only to conserve the remaining water resources but to restore the polluted water bodies to ensure equitable access for all,” he added. 

GNA 

SOF 

Professor William Coffie is the head of Accounting department of the university of Ghana

The Head of the Accounting Department of the University of Ghana Business School (UGBS), Professor William Coffie, has stressed the importance of a thoughtful and planned method to include informal businesses and individuals to pay taxes.

During a discussion on the 2025 budget, held by Lima Partners on Thursday, March 20, 2025, Prof. Coffie pointed out that formalizing the informal sector can be challenging as many people and businesses operate outside formal systems.

He therefore suggested using financial institutions to help small businesses comply with tax rules.

“With the proposal to establish the Women’s Development Bank, we can use this and other small medium, and micro firms to comply with tax payments.

“We always talk about formalising the tax sector so that many people will pay tax but I ask, how do you formalise a sector that is not formal in its operations? Every year, we talk about bringing in the informal sector but what do we do about it? We keep saying that but there is no effort.

Prof. Coffie suggested that financial institutions like microfinance organizations, the Ghana Enterprise Agency (GEA), and the new Women’s Bank could help small businesses pay their taxes.

“We have a number of these microfinance institutions and agencies such as the GEA, MALOC, and now the Women’s Bank. Why don’t we use these avenues to encourage micro and small businesses to comply with the reporting and record-keeping of their taxes?” he quizzed.

He also called for a reward system for businesses in the informal sector who pay their taxes regularly, arguing that such an initiative will motivate the operatives in the sector to pay their taxes.

“If we (government) say that if a small business or a micro firm could produce their account for three years and continuously show that they are paying their taxes, we are going to support them with a micro-credit as a way to support them, I believe they will comply with their tax obligations”, he said.

Prof Coffie recommended creating a Tax Compliance Index to monitor and encourage tax compliance among small enterprises.

“We can have a Tax Compliance Index for these people. We have academics sitting there. You can ask them to do this to help implement some of these things. It can help with bringing in additional tax,” he concluded.

MKA/EK