In 2016, Dr Mahamudu Bawumia pointed out that the NDC had increased Ghana’s debt in seven years by GH¢90 billion, from GH¢9.5 billion at the end of 2009 to some GH¢99 billion currently an equivalent of some 37 billion dollars at the time of borrowing.
“First, If you sum the cost of all the loan financed projects listed in the green book (even including those with artistic impressions, it is less than $7 billion. Meanwhile, the government has borrowed the equivalent of $37 billion so where is the rest of the money? Indeed, given the resources at its disposal one should expect at least four times the quantum of investment that the NDC claims to have undertaken” Dr Bawumia said.
Through this, the then running mate for the NPP said, “He’s coming to arrest the cedi”, he further added that “he’s coming to build a stable economy” by quoting a lot of Adam Smith’s theories. Thinking about managing a country’s economy is all about bookish theories.
Dr Bawumia, if speaking is silver, then listening is gold.
In simple words, the digital economy is an economy which operates predominantly with the help of digital technology. It implies the global network of economic activities, processes, transactions and interactions among, people, businesses, devices, etc. which is supported by Information and Communication Technology (ICT).
Mr Vice President looking at the definition, your idea of making Ghana a Digitalize country is superb, but are we there yet? Dr Bawumia you must understand that digital transformation is not a technological fix, a blueprint plan, a one-off event, or a one-size-fits-all strategy. Rather, it is a social learning process, sustained over time, involving diverse stakeholders. Its ultimate objective is to harness the global digital revolution to meet a country’s specific socio-economic priorities. This process is a marathon, not a sprint. It is driven by vision, leadership, innovation, learning, and partnerships among government, business, and civil society.
“Mr Digitalization” you must know that Digital technologies are highly interdependent and constitute a dynamic ecosystem which includes: communication infrastructure, digital platforms, digital economy skills, local ICT services and content industries, service transformation for all sectors, cyber policies, and ICT sector leadership and regulatory institutions. Maximizing digital dividends requires nurturing this digital ecosystem and tapping into its synergies at the national, local, and sector levels. But Mr Vice President do we have all these agencies to start?
Here is the case the country you are going through “hell” to digitalize is very sick, the NPP headed Nana Addo Danquah Akufo Addo told us that, there’s money in the country therefore there’s no need to borrow, as at 2020, you have borrowed about 235 billion Ghana Cedis in less than three years and received more than 7 billion US Dollars from our oil revenue. Besides, your government has received more than 9 billion US Dollars in the past three years through aid from donors. Billions of Ghana Cedis have also been raised through taxation. The question is where is the money “Adam Smith”.? Corruption, embezzlement, bloated government, expensive trips, mismanagement, and several others have become the order of the day In your government.
Where is the Ghana Beyond Aid and the US$1.9 billion raised during the Year of Return?
In 2017 you said; “The world’s most valuable resource is no longer oil, but data.” Data is as important in this Fourth Industrial Revolution as oil discoveries were for countries decades ago. That’s interesting Dr Bawumia but is the data reflecting in the pocket of the citizens?
He arrested the cedi by mouth in 2016. In 2017, he said, “When we said we were going to arrest the cedi, it doesn’t mean we are going to lock it at one rate but essentially lock it within the range of the fundamentals such that the lower inflation rate will produce lower depreciation.” Now one dollar is 9.98 Ghanaian, when will the Cedi be arrested?
Ghanaians clapped for you and indeed elected Nana Addo Danquah Akufo-Addo into office as President of the Republic. Unfortunately, you manufactured macroeconomic figures to woo Ghanaians and the international community.
More intriguing is the quality of the so-called three years of sustained 7% average GDP growth under your government. The much-touted “cholesterol growth” engineered by oil revenue amidst performance in the agriculture sector from 6.1% in 2017 to 2.2% in the first quarter of 2019 and the service sector from 8.1% to 7.2% over the same period speaks for itself. The emergence of the coronavirus has come to aid us to comprehend the realities much easier than the usual uproar.
In 2016, in an interview with JoyNews, you said “ We are going to build a new economy, a different economy and there will be a little bit more because you cannot criticize without providing alternatives.” Is this the alternative you promised Ghanaians?
It seems your case posits otherwise where your government is struggling to feed even the “poorest of the poor.”
Dr Bawumia, Digital transformation demands substantial investment in organizational capabilities, process innovation, and institutional learning. Best practice suggests that every dollar invested in ICT should be matched with a $4 or $5 investment in process improvement, training, change management, etc.
The Gross Domestic Product (GDP) in Ghana was worth 72.35 billion US dollars in 2020, according to official data from the World Bank. The GDP value of Ghana represents 0.06 percent of the world economy. Source: World Bank.
The economic slowdown had a considerable impact on households. The poverty rate is estimated to have slightly increased from 25 percent in 2019 to 25.5 percent in 2020.
The overall fiscal deficit doubled to 15.2 percent in 2020. Public debt increased to 81.1 percent of GDP in 2020, placing Ghana at significant risk of debt distress. Growth firmed up further in the first and second quarters of 2021 despite a sharp contraction in mining, and the second wave of the pandemic.
All this money couldn’t manage the country but E-Levy will do magic? Let me hold my breath for another day because you said “if the fundamentals are weak, the exchange rate will expose you”.
