Audio By Carbonatix
One of the biggest failures in our education system is that we stopped teaching history. People keep saying we can only know where we are going if we know where we are coming from. Today, most of Ghana’s youth do not know what happened in 1990, let alone in the 1960s and 1970s.
Let’s take a trip down memory lane to 1969, when Prof. Kofi Busia became Prime Minister of Ghana. He had policies that overvalued the local currency and embarked on large expansion programmes without the resources to back them. Sounds familiar, doesn’t it?
These policies caused a balance of payments crisis. Other failed policies eventually led Ghana to its first IMF agreement on 27 December 1971. As part of the IMF agreement, there was currency devaluation, which was very unpopular. The result was rioting and widespread discontent, which led to Busia being overthrown by Lt. Col. I.K. Acheampong.
The world has changed. Today’s government has a large supply of foreign exchange reserves—thanks to the innovative Domestic Gold Purchase Programme introduced by Dr. Bawumia. That means we may not have the same foreign exchange shortages experienced in 1971. However, the fundamental economic problems persist.
Today, we are told that the government’s policy is to keep the cedi to the dollar between 10 cedis and 12 cedis. Some people call that stability. The Bank of Ghana sets the exchange rate not based on any clear mechanism, but simply to support a political narrative.
As students of history, we await the outcome of these policies.
Thank you.
KNP.
Latest Stories
-
Ten people linked to Kenya’s first-ever Ebola case quarantined as screening concerns grow
5 minutes -
Ghana warns medical travellers to South Africa to obtain visas for treatment beyond 90 days
11 minutes -
Canada suspends plans to expand assisted dying to people with mental illness
12 minutes -
Minority accuses Sports Ministry, NSA of creating fake portfolios for VISA applicants
14 minutes -
6th Inter Tourism Expo comes off in Cape Coast this October; register now
33 minutes -
Afenyo-Markin accuses government of diverting attention from cocaine seizures linked to Ghana
33 minutes -
GJA gives Armed Forces 14 days to account for alleged assaults on Sika Official, Bullet TV’s Philip Abutiate
36 minutes -
PAC gives CWSA 30 days to recover GH¢10m in unpaid water bills from police, army, hospitals, other public institutions
38 minutes -
Major Accra roads to get facelift ahead of Ghana’s 70th Independence anniversary – Agbodza
59 minutes -
Account for GH¢650bn allocated to existing programmes before new economy – Oppong Nkrumah to gov’t
1 hour -
‘You’re an action man’ – Abena Osei-Asare hails Rent Commissioner’s hostel fee crackdown
1 hour -
Mahama directs Finance Minister to allocate GH¢1bn for Housing Fund in 2027 Budget
1 hour -
NPP celebrates Bawumia on birthday, prays for 2028 election victory
1 hour -
Mahama recounts ‘exhausting and frustrating’ struggle to find a home as a young spouse
1 hour -
‘Take damaged banknotes to commercial banks for replacement’ – BoG warns against repairing cedi notes for resale
2 hours