Growth must reflect livelihoods of Ghanaians – IMF to govern

Company News of Monday, April 15, 2019

Source: citibusinessnews.com

2019-04-15

The International Monetary Fund (IMF) has advised the government of Ghana to ensure that the country's expected economic growth translates into improved livelihoods for citizens.

The Fund argues that this could be achieved if the government linked its policies and programs to address issues such as unemployment.

IMF Africa Department Director Abebe Aemro Selbadie stressed the need for the government to invest in the development of human capital and the health of the population.

He made the remarks at a press briefing organized by the IMF's Africa Department at the spring meeting that has just finished in Washington DC.

"Keep making sure that you invest in human capital, I think it's very important. Investing in schools, investing in the health of the population, I think, continues to play a very important role, you know, so that people who come into the job market have the necessary skills, the flexibility to be able to works of tomorrow. ," he said.

The institution Breton Woode predicted that Ghana 's economy would grow by 8.8% by the end of 2019.

This, he says, should enable the country to record the highest growth in Africa.

Abebe also called on economic managers to eliminate all the constraints that prevent the private sector from developing and creating jobs.

"To tackle the constraints, the obstacles to private investment will be very important. Do, you know, thousands and thousands of informal businesses. You know, find ways for these companies to grow and enter the formal sector. Removal of barriers Remove the burdens they face as they grow up. Access to credit. All of these kinds of micro-reforms will be very important to the employment program to ensure that this growth requires enough labor and absorbs enough, you know, and creates enough jobs. "

Commenting on the recent consolidation of the financial sector, Mr. Abebe Selbadie congratulated the central bank for this exercise.

He said, among other things, that the move was necessary for an economy like Ghana, a border market economy, evolving into emerging market status.

"I can not emphasize enough the importance of a healthy financial sector. You know, big-cap banks can, you know, be a source of strength for an economy, and so it's the general direction of cleaning the financial sector in Ghana. Of course, it will be important to find ways to minimize them, but I think that tends to be very specific to banks. "

In the meantime, the IMF director is convinced that the policies implemented recently to maintain fiscal discipline could eventually prevent Ghana from reviewing the Fund for help.