Learn to balance politics with economic management – Fifi Kwetey to gov't

The Former Transport Minister in the John Mahama administration is cautioning government to strive to attain a balance between political pressure and management of the economy.

Fifi Kwetey said the challenge with the management of Ghana’s economy has nothing to do with competence but rather politics.

“The problem is how to juggle the bigger boy which has to do with the politics of the economy,” the Deputy Ranking Member on Parliament’s Finance Committee.

Former Transport Minster, Fifi Kwetey
The former Minister made the remarks when he commented on government’s Mid-Year 2017 Budget Review on Joy FM’s Super Morning Show Tuesday.

Finance Minister, Ken Ofori-Atta presented government’s budget review to Parliament Monday, announcing a reduction in expenditure and revenue targets.

He said the total domestic revenue mobilized by the government in both tax and non-tax revenues, amounted to GH¢16.9 billion within the last seven months.

Finance Minister, Ken Ofori-Atta
Mr Ofori-Atta added the total tax revenue (including upstream petroleum receipts) was GH¢13.7 billion as against a target of GH¢15.7 billion.

To reflect the challenges in revenue mobilization, the Finance Minister announced a downward revision of the total revenue and grants by 0.9 percent of the Gross Domestic Product (GDP) from GH¢44.5 billion to GH¢43.1 billion.

The review represents a revenue target cut by GH¢1.4 billion, a development the Minority in Parliament said was expected.

The opposition lawmakers said government’s failure to meet its revenue target shows it is unable to manage the economy.

Contradicting his colleagues, Mr Kwetey said the problem with management of the economy is politics.

He said the failure of a government to manage political pressure with the need to do the right thing is the cause of economic mismanagement.

“In the beginning of every administration there is not really very much political pressure…but in the third getting to the fourth year you get that,” the former Minister who had served two President’s said.

Deputy Information Minister, Kojo Oppong Nkrumah
Contributing to the discussion, Deputy Information Minister, Kojo Oppong Nkrumah said, “One of the biggest risks to our economy are the political realities.”

He said a critical analysis of the 2012 election year deficit points to political challenges as the cause.

Mr Nkrumah said it is for this reason the President Addo Dankwa Akufo-Addo government has cautioned appointees to desist from throwing out of gear, the economic gains and political stability.

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