Kwesi Botchwey: I Agree With Much Of What Bawumia Said About Ghana's Economy

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Prof. Kwesi Botchwey   Related Stories   As economic experts continue to proffer their views about the state of Ghana's economy at the Distinguish Speaker Series organized by the Central University College, Prof. Kwesi Botchwey has raised certain salient points, aimed at rebuilding the economy. Being the third speaker to be offered the same platform to speak after Dr. Mahamud Bawumia, it could have easily occurred to some that he would seize the moment and deliver a speech embroiled with rebuttals. Dr. Mahamudu Bawumia, a former deputy governor of the Bank of Ghana, in an earlier speech delivered at the Central University College, urged the Bank of Ghana to reverse measures rolled out to stem the downward spiral of the cedi. He made an impeccable analysis of the continuous depreciation of the Ghana cedi and proved with empirical figures and data that the cause of the cedi depreciation boils down to the weak fundamentals of the Ghanaian economy today including the high fiscal deficit, rising inflation, the unprecedented increase in borrowing and the public debt, the low net international reserves, declining GDP growth, large and increasing central bank financing of the government (printing of money), government inability to meet statutory payments and the loss of investor confidence in the economy. He pontificated that dollarization is not the cause of depreciation but rather the effect of weak economic fundamentals and the loss of confidence in the cedi. According to him, any attempt to solve the rapid depreciation of the cedi by focusing on de-dollarization will ultimately be an exercise in futility. But Dr. Bawumia hardly finished this much praised lecture when government and NDC propagandists pounced on him to rubbish the lecture without giving any sound basis for their critique of the lecture. From advisor to the President, Nii Noi Thompson through Fiifi Kwetey, a Minister of State through Deputy Ministers of Information, Mutala Mohammed and Felix Ofosu Kwakye to Allotey Jacobs, Hannah Bisiw amongst others, they all set to devour Dr. Bawumia. Interestingly, when he took his turn, Prof. Kwesi Botchwey completely agree with most of the previous points raised by Dr. Bawumia and maintained that he has respect for him. I offer no rebuttals to his lecture. I do agree with much of what he said," Kwesi Botchwey stated. The seasoned economist however believes no economist can evaluate the nation's political economy on the basis of a tale but rather, after conducting a properly analyzed study. This he said, holds key to give true reflection about the state of the economy.       Source: Chris Joe Quiacoe/Peacefmonline.com/Ghana