An Associate Professor of Finance at the University of Ghana Business School (UGBS), Elikplimi Komla Agbloyor, has called for a change in the structure of Ghana’s economy.

According to him, this is one of the prudent measures needed to stabilise the economy.

He believes Ghana can actualise its dream of becoming a wealthy country by changing the structure of the economy, rather than seeking an IMF bailout.

“For me what the IMF programme does for us is to provide for us some space and time to be able to put our house in order. So that gives us time in the short to medium term to be able to implement the necessary policies to ensure that the economy is stronger,” he said on Joy FM’s Super Morning Show.

He was contributing to discussions that centered on the country’s decision to seek an IMF bailout as part of measures to cushion the economy, and how the country can do away with this development.

During the discourse which also sought to provide solutions to the country’s endless economic woes, he emphasised that until Ghana is able to change the structure of the economy, the country will continue to frequent the IMF.

What will constitute a change in the structure of the economy?

According to the Professor, for the structure of the economy to change, there is the need to focus on certain key factors such as improving the level of financial development, ensuring that the exchange rate is stabilised and finding ways to bring inflation and interest rates down.

He further noted that one way of curbing inflation is by relying on domestic production.

“If we are very efficient, we can produce at a lower cost compared to importing from abroad,” he said on Monday, July 12, adding that once inflation is curbed, lending rates will also be reduced.

He mentioned that all these factors if taken into consideration will create growth in the economy.