After metamorphosing into a lower middle income
country, Ghana needs to transform and diversify its
economy if it is to consolidate its lower middle income
status, reach upper middle income status and drag
more of its people out of poverty. Pertinent questions
that remain unanswered include: what are the principal
self-imposed problems Ghana needs to resolve; what
are the institutional changes Ghana needs to make to
transform and diversify its economy and what lessons
can Ghana glean out of the experiences of other
countries that have transformed their economies?
Using a comparative analysis of published research and
economic analyses, based on the available literature,
this paper provides some answers to these questions.
Key self-imposed problems include: weak
institutions highlighted by a ‘winner takes all’
democratic governance structure that disenfranchises
Ghanaians with no connections to the ruling party;
weak management of the macro-economy; extremely
high cost of borrowing; an unstable exchange rate;
high import taxes; a narrow tax bracket with the
majority in the informal sector paying zero taxes
reducing government revenue; endemic corruption;
ineffective land tenure; an inadequate transportation
network; unreliable access to electric power; inability
to engage in manufacturing; poor sanitation; difficulties
in curtailing illegal mining and widespread indiscipline
that makes management of people unduly challenging.
Critical institutional reform needed includes a
constitutional review that limits the power of the
executive and makes him accountable for his actions
CDR, C (2021). Strategies to stimulate Ghana’s economic transformation and diversification. Afribary.com: Retrieved April 15, 2021, from https://afribary.com/works/strategies-to-stimulate-ghana-s-economic-transformation-and-diversification
Coalition, CDR. "Strategies to stimulate Ghana’s economic transformation and diversification" Afribary.com. Afribary.com, 02 Apr. 2021, https://afribary.com/works/strategies-to-stimulate-ghana-s-economic-transformation-and-diversification . Accessed 15 Apr. 2021.
Coalition, CDR. "Strategies to stimulate Ghana’s economic transformation and diversification". Afribary.com, Afribary.com, 02 Apr. 2021. Web. 15 Apr. 2021. < https://afribary.com/works/strategies-to-stimulate-ghana-s-economic-transformation-and-diversification >.
Coalition, CDR. "Strategies to stimulate Ghana’s economic transformation and diversification" Afribary.com (2021). Accessed April 15, 2021. https://afribary.com/works/strategies-to-stimulate-ghana-s-economic-transformation-and-diversification