Dysfunctional Leadership: Current State Of Ghana's Economy

Preface

Leadership that projects self-interest, with conscious disregard for citizens and nation, is no leadership. Leadership based on lies, deceit, tricks, arrogance, illegalities amid bribery and corruption is no leadership. Leadership that compromises State Institutions, subjugating them to influences of the Executive is no leadership. True leadership seeks to transform national and societal visions into reality. True leadership hangs on integrity, probity, accountability and transparency, with a clear concept on national development plan implementations. Last and not the least, leadership reflects ability to listen, love and respect nation and people. Anything less, is dysfunctional.

Rating Agencies / Economy

There is no doubt that the Ghanaian economy, is in deep crisis, due to massive corruption and lack of accountability. Akufo Addo is however living in twisted realities and too proud to appreciate the pressing unconformities of his mismanaged economy. Not quite long ago, he vigorously sought to justify himself and his collapsing economy, by criticizing Moody and other rating agencies. Instead of listening to their advice, he generalized, and blamed Covid-19 and Russia/Ukraine conflict for his woes.

Crisis

Indeed Ghana`s economic crisis is characterized by : huge budget deficit of 7.5%; rising inflation of 15%; huge and unsustainable public debt of 351 billion GHC (83% of GDP); a national revenue of GHC 600 billion (which requires GHC247 billion to service our debt, that has serious difficulty in external and internal debt payments); a rapidly depreciating currency (1$ = 8 GHC, the second worst currency in the World) ; high unemployment numbers of about 4 million (13% of national population); high interest rate ; ever rising cost of living (leading to high prices of : goods, food, fuel, transport-fares, water-rate, electricity, and high rate of multiple taxes including the obnoxious e-Levy). There is loss of confidence among investors and International creditors are unwilling to lend, because they fear loosing their money. The concept of the crippled government (still striving to stay in power) is to adopt Rambo style deception, lies, corruption, insecurity, media harassment and imposition of culture of silence.

Ghana is Broke / High Expenditure

As a result, Ghana is broke. MCE`s are not getting their allocations. Contractors have not been paid for the past four years and basic schools have had no text books for the past three years. SHS (feeding program), NABCO and NHIS have payment arrears for several months. Poverty levels have increased and Ghanaians are increasingly crying out for help. The dichotomy of economic hardship in the face of irresponsibly high national expenditure is worrying. Indeed, there can be no justification in a relatively poor country, where the President alone has a budget of 3.1 billion GHC most of which goes into luxury flights. We have over 110 ministers and over 1,500 presidential staffers —far too high. Flights in luxury jets ; costing $ 400 million, over a period of four years is crazy, and irresponsible. Just this week the President again wasted $ 460,000 on a luxurious jet flight to USA and London. Sadly, 430 billion GHC in the Auditor General`s reports, over a period of four years (2017-2020) cannot be accounted for. During his infantile banking reform, Akufo Addo`s used 21 billion GHC to collapse nine Banks and several Financial Institutions. Above all, it is estimated that Ghana has lost in 4years (2017-2020), 60 billion GHC to corruption. WHY?

Punitive Measures

As I write, Ghana government has suffered punitive measures from International Creditors, for not paying its International debt in 2021. This can only be the mark of DYSFUNCTIONAL LEADERSHIP.

Dr E. K. Hayford

Executive Director Caucus for Democratic Governance

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