Audio By Carbonatix
'Resetting' an economy usually involves substantial changes or reforms aimed at correcting structural weaknesses, boosting efficiency, and promoting sustainable growth. These measures can vary depending on a country's specific circumstances, but generally include the following:
- Restoring macroeconomic stability: Addressing issues such as high inflation, persistent fiscal deficits, excessive debt levels, restructuring SOEs, and reducing risks to the fiscal, etc. This might also require monetary and exchange rate policy reforms, fiscal austerity measures, or debt restructuring.
- Deep structural reforms: Modifying the fundamental frameworks of the economy to enhance productivity and competitiveness. This could involve further deregulation, labour market reforms, and changes to trade policies, etc.
- Institutional reforms: Improving the effectiveness of institutions that support economic activity, such as the legal system, regulatory bodies, and financial institutions. This could include tackling corruption, improving governance, and strengthening property rights.
- Financial sector reforms: Addressing issues within the banking and financial sector to restore stability and ensure efficient capital allocation. Specifically, this might involve recapitalizing banks, enhancing regulatory frameworks, resolving non-performing loans, and promoting local ownership in Ghana’s financial sector, etc.
- Social and human capital development: Investing in education, healthcare, and social protection systems to reduce poverty and inequality, promote healthcare and education and ensure long-term sustainable growth.
- Innovation and technology: Promoting innovation, advancing technology adoption, and fostering digital transformation to create new growth opportunities.
Hence, the term "reset" implies a comprehensive and fundamental overhaul rather than incremental adjustments (or “upgrading,”). Such resets typically occur in response to a crisis or prolonged stagnation, similar to what Ghana is currently experiencing. Historical examples include the structural adjustments in Latin America during the 1980s and 1990s, transformations in Eastern Europe post-communism, and efforts to address economic turmoil in the wake of the global financial crisis in 2008. The specific details on the NDC’s comprehensive reset agenda for a better Ghana, are all contained in their 2024 Manifesto for reference.
**The writer is a former Deputy Governor of the Bank of Ghana (BoG)
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Tags:
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Latest Stories
-
Togbe Afede XIV lauds government’s $10bn ‘big push’ programme for boosting farm produce transport
1 hour -
FDA urges consumers to prioritise safety when purchasing products during festive season
1 hour -
President Mahama calls for single-digit interest rates on agricultural loans
1 hour -
President Mahama urges Ghanaians in formal jobs to take up farming
1 hour -
Farming interventions paying off, lifting incomes and food security, says Agric minister
2 hours -
Gov’t pledges science-backed interventions in agriculture, says Agric minister
2 hours -
Ghana unveils $3.4bn plan to accelerate national clean energy transition
2 hours -
Interior minister urges security agencies to maximise use of new NSB regional command in Ho
2 hours -
Photos: Ghana celebrates 41st National Farmers’ Day
2 hours -
2025 Farmer’s Day: Farmers demand a 2% interest rate on loans to boost farming activities
2 hours -
Chamber of Aquaculture Ghana calls for strong public-private partnerships to unlock finance and transform the sector
3 hours -
Lions celebrate International Volunteer Day with over decades of service and impact
3 hours -
3 dead, dozens injured in Mampong Abuontem head-on collision
3 hours -
MoFFA shuts down several Eastern Region mortuaries over poor sanitation, non-compliance
3 hours -
Domestic violence case: John Odartey Lamptey remanded over alleged brutal assault on wife
3 hours
