Ghana's Economy In Free Fall - Politics - Nairaland
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Nassarawa Lawmakers In Free For All Fight / Ghana’s Economy Cursed And Broke – Duncan-williams / Ghana Economy Is Falling Down Andlesson For Nigeria (2) (3) (4)
| Ghana's Economy In Free Fall by tchaikovsky: 7:25pm On Aug 13, 2014 |
I have lost count of the number of times Ghanaians on Nairaland have attempted to compare the Nigerian economy to Ghana's. With Ghanaians insinuating that their economy is outperforming Nigeria's. Well, here is an article on a well respected blog on Africa relations. Read and learn ****updated the link is now working http://blogs.cfr.org/campbell/2014/08/13/is-the-imf-going-to-save-ghanas-troubled-economy/ |
| Re: Ghana's Economy In Free Fall by Galadimabawa: 7:34pm On Aug 13, 2014 |
Whats wrong with your link? |
| Re: Ghana's Economy In Free Fall by Kelewele(m): 8:06pm On Aug 13, 2014 |
Bokoharam in conjunction with ebola is razing your shiithole to ashes and all your peanut brain in a malformed skull could think of was to post this crap about Ghana to suit your fvcking ego.This definitely won't change the fact that your nation is a smelly dustbin. 1 Like |
| Re: Ghana's Economy In Free Fall by tchaikovsky: 8:37pm On Aug 13, 2014 |
^^^^^^^ If only you could use this rage to solve your country's economic problem....i mean, that country is sinking faster than the Titanic. Almost all the country's resources is spent on salaries and pensions..inflation is skyrocketing and they are running to IMF to borrow at cut throat rates to PAY INTEREST ON PREVIOUS OBLIGATIONS?? yet, they flock to Nairaland to rant about their greatness. Imagine having the worst performing currency in the continent this year?? Even south Sudan and Libya outperformed you guys  Lets pray you guys don't default and turn to Zimbabwe where bread will be 100000000 cedis  Very soon, Ghana must go will be resurrected... On a side note, Ebola and Boko haram is ravaging the country yet, it is still blazing the trail in the continent...... 24 Likes |
| Re: Ghana's Economy In Free Fall by jieta: 10:06pm On Aug 13, 2014 |
that is what i want so that there will come here and continue there shoe makers work |
| Re: Ghana's Economy In Free Fall by kobikwelu(m): 10:44pm On Aug 13, 2014 |
Where are the Ghanaian warriors ?? oya come and yap your mouths |
| Re: Ghana's Economy In Free Fall by eaglechild: 10:52pm On Aug 13, 2014 |
I think Ghana made the biggest mistake of their economic lives by revaluing the cedis. For an economy that is still growing and hopes to strengthen its export and manufacturing sector in these uncertain times that is a no no. Nigeria did not make that mistake and is reaping from it, currency fluctuations are less likely to affect actual market prices plus list if other advantages. 1 Like |
| Re: Ghana's Economy In Free Fall by Nobody: 11:02pm On Aug 13, 2014 |
eaglechild: I think Ghana made the biggest mistake of their economic lives by reevaluating the cedis.Ghanaians are like Nigerians without any common sense or pragmatism. We both have the same boastful, loud, annoying, vainglorious tendencies, but only Ghana could codify such foolishness into national policy! Revaluing their currency without an economy remotely capable of supporting it was probably THE daftest economic decision by any country of the 21st century so far. Having said that, we almost followed them off the cliff if not that Yar'Adua stopped Soludo from doing it. Even then it wouldn't have affected us as much as Ghana though it would still have been a disaster for our emerging manufacturing sector. This is actually just the beginning for them. It is going to get a lot worse. Ghana over the next decade is going to turn into Nigeria of the late 80s and early 90s - a ghost country of students, farmers and civil servants and anyone below the age of 50 who does not fit into any of these categories will have to emigrate. See also: Zimbabwe circa 2008. 3 Likes |
| Re: Ghana's Economy In Free Fall by bizlifelines(m): 11:14pm On Aug 13, 2014 |
Methinks, this is a case study in economics, please let us have more intellectual argument .This was how ebola started and Nigerians thought they were so far from Guinea! ! If Ghana's economy continue to fall, does it have spiraling effects on the rest of west Africa?
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| Re: Ghana's Economy In Free Fall by eaglechild: 11:24pm On Aug 13, 2014 |
bizlifelines: Methinks, this is a case study in economics, please let us have more intellectual argument .This was how ebola started and Nigerians thought they were so far from Guinea! ! If Ghana's economy continue to fall, does it have spiraling effects on the rest of west Africa?Anyone with a very basic knowledge of economics will tell you that Ghana got off on the wrong footing. If only they had left the cedis. The countries with the best prospects still remain Angola Nigeria SA Kenya Botswana In no particular order. |
| Re: Ghana's Economy In Free Fall by atlwireles: 12:06am On Aug 14, 2014 |
Is the IMF Going to Save Ghana’s Troubled Economy? This is a guest post by Cheryl Strauss Einhorn, a journalist and adjunct professor at the Columbia University Graduate School of Journalism Long hailed as evidence of Africa’s growing political and economic stability, Ghana is suffering a reversal of fortune. One week ago as President John Mahama arrived in Washington for the U.S.-Africa Summit, his government finally admitted it needed urgent help to fix its faltering economy and contacted the International Monetary Fund for financial assistance. “The ultimate objective is to stabilize the cedi (Ghanaian currency) in order that domestic prices will be brought under control,” Finance Minister Seth Terkper told a local radio station Joy FM. Indeed, despite being rich in natural resources with plentiful oil, gold, and cocoa, West Africa’s second largest economy has been in disarray, its problems laying bare many of the challenges facing the continent as a whole. Ghana’s oil production levels remain stagnant and gold prices are languishing, yet the government has drastically increased its spending. Critics charge that it has overspent on pricey offices and golf courses, as well as public sector wages and subsidies for utilities and fuel. The result: investors have lost faith in Ghana’s ability to pay its debts. Ghana’s cedi is the worst performing currency in the world this year. Its value has been nearly cut in half against the U.S. dollar, sparking a significant rise in the cost of living. Inflation, at 15 percent, is at a four year high and economic growth is slowing just as the nation faces a double digit budget deficit as a percent of GDP. The economic crisis has led to a series of labor protests. News reports recount five separate demonstrations organized against Ghana’s government in July alone with the largest gathering thousands in the streets of all ten regional capitals. More protests are reportedly planned. Yet an IMF bailout may not provide any immediate relief. Instead, it is likely to inflict marginal pain on Ghanaians as the IMF demands faster spending curbs that will impact public wages, subsidies, and taxes. Moreover, Finance Minister Terkper told reporters that Ghana will continue to extend its borrowings, despite expensive terms. Bond yields are near 10 percent. Yet he said Ghana plans to seek over one billion dollars from international investors to fund new infrastructure projects and pay down debts. Terkper predicts an IMF package would increase the bond offer’s appeal, signaling that the IMF believes Ghana will improve its macroeconomic management. But is that assumption correct? President Mahama has been a poor economic steward and stubbornly refused to go to the IMF amid claims that Ghana could fix its own problems, which it did not, or could not. And Ghana has been here before, having tapped the IMF multiple times. Ghana had a golden opportunity in 2005, when as part of a global relief plan for poor nations, most of its debt was cleared. Yet today its economy is in shambles. The question remains: Is Ghana a stable and favorable investment destination, or is it a cyclical economy, beholden to a few volatile commodity markets with a government unable, or unwilling to exercise fiscal and economic restraint?[b][/b] |
| Re: Ghana's Economy In Free Fall by kobikwelu(m): 12:59am On Aug 14, 2014 |
I would say they are towing the path of Argentina in the early 90's. Re-valuating the cedi was a grave error. Also domestic policy is at most populist and not sustainable. If more than 70% of your total income is spent on recurrent expenditures (salaries and local debt obligations), you are in trouble. Rumor has it that that figure could be higher.... Inflation is spiraling out of control and they are borrowing money at cut -throat rates (basically digging your own grave with shovel you borrowed on credit) to pay past debts..... Its looking dangerously bad for Ghana... 1 Like |
| Re: Ghana's Economy In Free Fall by bizlifelines(m): 1:28am On Aug 14, 2014 |
eaglechild: Thanks for your valuable insight. But the countries listed above are not in ECOWAS.Then, it is still puzzling that just few months ago, Ghana was regarded and touted to be on the verge of oil-dollars prosperity and the West(remember Obama's famous speech in Accra) promote Ghana to other African nations as a model in democracy, development and economic Renaissance. Even the countries above don't have these"so-called" accolades. We should be seriously concerned. Poverty is a potent tool in the hands of failed economies especially if such economies are your neighbors. Nigeria and Ghana have so much in common. Is it only the re-domination of the cedi?How does it affect Nigerian businesses in Ghana? Nigeria also spends more than 70% on recurrent expenditure.We are mounting up debts daily in the worthless treasury bills being used to mop up artificially induced excess naira, AMCON remains a seriously leaking pipe and the election is just around the corner! !! Could Ghana's case also be fuelled by distribution of allocation in cedis instead of dollar-denominated sharing of allocations being adviced by the famous Nigerian Economist, Henry Olujimi Boyo?
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| Re: Ghana's Economy In Free Fall by kobikwelu(m): 1:50am On Aug 14, 2014 |
^^^^^ Could Ghana's case also be fuelled by distribution of allocation in cedis instead of dollar-denominated sharing of allocations being adviced by the famous Nigerian Economist, Henry Olujimi Boyo? Which sane person would advice a country to distribute local allocation in foreign currency?? that is against the laws of common sense economics. The article states that their currency is in a free fall against the Dollar, yet you want to use what little foreign reserves left to distribute local allocations  ??The key indices to use is the Deficit to GDP percentage for the Ghanaian state which is above 9% Nigeria's currently stand at 1.9% Fitch downgraded Ghana's sovereign rating in October to B from B+ 1 Like |
| Re: Ghana's Economy In Free Fall by bizlifelines(m): 6:30pm On Aug 20, 2014 |
https://www.nairaland.com/1865623/nigeria-sinks-deeper-into-external Are we truly protected against the present Ghana experience? |
| Re: Ghana's Economy In Free Fall by iamord(m): 8:12pm On Aug 20, 2014 |
bizlifelines: https://www.nairaland.com/1865623/nigeria-sinks-deeper-into-external That's a food for thought |
| Re: Ghana's Economy In Free Fall by obiajuru01: 8:20pm On Aug 20, 2014 |
The problem of ghana is ego and pride, they don't want people to laugh @ them, so they keep falling deep into the pit, they are very good @ hiding the problems. |
| Re: Ghana's Economy In Free Fall by onatisi(m): 8:24pm On Aug 20, 2014 |
The problem with ghana economy is NDc ,the ruling party. Remove ndc and replace it with npp and see how tthe economy of ghana will improve . |
| Re: Ghana's Economy In Free Fall by iamord(m): 8:30pm On Aug 20, 2014 |
eaglechild: I think Ghana made the biggest mistake of their economic lives by revaluing the cedis. Ghanas mistake was bringing in the wrong party. ! shikena |
| Re: Ghana's Economy In Free Fall by atlwireles: 8:35pm On Aug 20, 2014 |
iamord: The problems did not start with the NDC. I actually hold the NPP responsible for most of the problems in Ghana today. |
| Re: Ghana's Economy In Free Fall by akpan123(m): 8:39pm On Aug 20, 2014 |
among 2014 prediction , was the fall of ghana economy. |
| Re: Ghana's Economy In Free Fall by iamord(m): 8:52pm On Aug 20, 2014 |
atlwireles: Well that's because they r the ones that implemented the plans. But I tell u they had it covered! Do U know what it is.. Nothing other than corruption has been happening since attah mills stepped in. Just like yarauda , he was using his tenure to cure his sickness.. The saving grace for nigeria had a few responsible elites that were running the economy. But the ghana own! Chai. I knew a big igbo man that told me. The oil will be the test for ghana .. That the true colors will come out..and I guess we can see it.. It really annoys me when some ghanaians make noise without looking at the situation on ground. Not everyone think like that tho . But I still hold to my point that , No !! Ghana would not have been here.. Tribalism set in and NDC came back into power. And this is the order of the day.. I mean how will u spend 150m for girls sanitary pad.. Millions on genuea fowl farming ..etc.. They just set up office to rob the country naked in this tenure..am not saying npp didn't steal.. But work.. That's what am talking about! Just like fashola.. Just look @ accra..we are suppose to have our monorail , gold coast city,second internation airport , countless of projects etc..all stalled!! And the funds gone..this people have been playing politics and looting at the expense of the country.. It was only a matter of time before it blew for everyone to see.. Its not really a beacon of democracy.. The looters look so innocent. but deep down .. They r devils.. |
| Re: Ghana's Economy In Free Fall by iamord(m): 8:58pm On Aug 20, 2014 |
akpan123: among 2014 prediction , was the fall of ghana economy. The earlier u run away from all this prophecy givers the better! Am talking from experience! |
| Re: Ghana's Economy In Free Fall by mikolo80: 9:07pm On Aug 20, 2014 |
The curse of black gold. Instead of commiserating with our brothers we all pointing fingers my country this my country that.how many times do you see white ppl seperating themselves .there is strength in unity while a house divided against itself cannot stand |
| Re: Ghana's Economy In Free Fall by iamord(m): 9:17pm On Aug 20, 2014 |
mikolo80: The curse of black gold. Instead of commiserating with our brothers we all pointing fingers my country this my country that.how many times do you see white ppl seperating themselves .there is strength in unity while a house divided against itself cannot stand God bless u broda |
| Re: Ghana's Economy In Free Fall by SantaMafia: 9:53pm On Aug 20, 2014 |
Most of you don't even know what you are talking about. There is nothing inherently or fundamentally wrong with the Ghanaian economy. The Ghanaian economy is growing nicely at nearly 7 percent, foreign direct investment is very strong. Ghana is ranked the third highest recipient of foreign direct investment in africa. What better expression of confidence by the business community can you get? What is happening with the Ghanaian economy is what can be described as a short term fiscal distortion brought about by excessive public spending. The argument is that an IMF help will help in bringing some discipline into government spending. and there is serious merit in that argument. I personally have full confidence in the future of the Ghanaian economy. The long term prospects are very good. First, Ghanaians will have to kick out the current government of John Mahama in 2016. There is absolutely no reason for Ghana to find itself in any economic difficulty at this point if not for the reckless spending of the administration. And even the Nigerian economy has its own share of problems with debts rising and the naira under pressure etc. even at a time oil prices remain high. In the case of Ghana, most of its key exports like gold and cocoa have witnessed big fall in prices lately. |
| Re: Ghana's Economy In Free Fall by SantaMafia: 9:59pm On Aug 20, 2014 |
akpan123: among 2014 prediction , was the fall of ghana economy.The Ghanian economy did not fall in the 1980s when the country suffered severe food shortages as a result of widespread bush fires and the mass deportation of its citizens from nigeria. is it today that the economy is growing at nearly 7 percent and the country is an oil producer that the economy will fall? you need to look at your own country's economy? It is not as if the nigerian economy is doing any better and with crucial elections ahead, you just need to hold your breath for your country's oil-based economy |
| Re: Ghana's Economy In Free Fall by iamord(m): 10:06pm On Aug 20, 2014 |
^^^^^^^^^^^ U making valid points here to sum it up |
| Re: Ghana's Economy In Free Fall by iamord(m): 10:09pm On Aug 20, 2014 |
SantaMafia: Most of you don't even know what you are talking about. There is nothing inherently or fundamentally wrong with the Ghanaian economy. The Ghanaian economy is growing nicely at nearly 7 percent, foreign direct investment is very strong. Ghana is ranked the third highest recipient of foreign direct investment in africa. What better expression of confidence by the business community can you get? |
| Re: Ghana's Economy In Free Fall by Nobody: 11:07pm On Aug 20, 2014 |
SantaMafia: The Ghanian economy did not fall in the 1980s when the country suffered severe food shortages as a result of widespread bush fires and the mass deportation of its citizens from nigeria. is it today that the economy is growing at nearly 7 percent and the country is an oil producer that the economy will fall? you need to look at your own country's economy? It is not as if the nigerian economy is doing any better and with crucial elections ahead, you just need to hold your breath for your country's oil-based economy even small Ghana. wey Lagos get money pass. |
| Re: Ghana's Economy In Free Fall by SantaMafia: 11:14pm On Aug 20, 2014 |
patmaine:Lagos get money pass Ghana? and yet people in Lagos eat from the dustbin? and life expectancy in lagos is a miserable 52 years? is it the same Lagos that workmen were killing each other for fashola's leftover fanta? hahahaha you need to get rid of the generator fumes in your tiny brain.huh?
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| Re: Ghana's Economy In Free Fall by Nobody: 12:28am On Aug 21, 2014 |
you mean just $1billion dollar will solve their problems.? oya where are all our celebrities start donating to save Ghana. Mr dangote, adenuga,otedola you guys shouldn't stress yourselves, wizkid and davido and co have got dis one. |
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