Ghana needs resilient policies, not repeated IMF bailouts - Prof. Oteng-Abayie

Professor Eric Oteng-Abayie, an economist at the Kwame Nkrumah University of Science and Technology (KNUST), called on Ghana to adopt resilient, long-term economic policies capable of transforming the economy instead of relying on repeated support from the International Monetary Fund (IMF). He observed that the country's repeated return to the IMF has always been about finding short- and medium-term solutions rather than lasting remedies for economic stability. He stated, "It looks like the IMF is looking at the short and medium term but not economic transformation. If we are not stable and we are not building resilience into our policies, we will always go back and never take off into economic transformation - which is where real development, sustainable job creation, labour productivity increasing, economic growth leading to economic development that is inclusive will happen."

Ghana is currently under the Policy Coordination Instrument (PCI) of the IMF after successfully concluding its $3 billion Extended Credit Facility (ECF) program. The PCI allows the country to commit to economic policies that would prevent crises and ensure macroeconomic stability. Prof Oteng-Abayie believes an economic turnaround is only possible if the government institutes resilient policies that create jobs, increase labour productivity, and foster inclusive growth. He identified low labour productivity, limited adoption of technology, and inefficiencies in public spending-particularly in infrastructure, education, and healthcare-as major constraints. He spoke after a session with the Resident Representative of the IMF, Dr Adrian Alter, and the Department of Economics - KNUST's faculty and students.