Tag: NPP

Blog Series, Everyday Life, Ghana News, Ghana's Political Economy, Ghanaian Politics, Political Satire & Fiction, Politics, The Bandage Economy

Episode 7: Enemies Tell the Truth

Dr. George Asiamah

The night deepened at Agyakrom Arena. Cedi crouched in the dust, panting, his bandage damp with sweat and whispers. The steroids in his blood had dimmed; each punch now felt like an overdraft. The crowd still clapped, but their rhythm was half-hearted, like churchgoers forced to sing a hymn they don’t know the tune to.

Then something unusual happened: the giants stopped fighting.

Instead of charging, Dollar, Pound, and Euro stood tall, brushing dust from their shoulders. They looked at Cedi – not with scorn this time, but with the weary patience of creditors who have seen too many debtors at their desk. One by one, they spoke—not to taunt, but to teach.

Dollar’s Confession

Dollar stepped forward, his voice booming like oil rigs in the Niger Delta.

“Cedi, hear me. I am not just your enemy; I am your addiction. Every time you thirst for fuel, you come running to me. Every time you borrow, you do it in my name. You waste your reserves trying to tame me, but you never ask why you need me so much.

Build your own refineries, cut your deficits, grow exports, and I will lose my grip on your throat. Until then, I am your oxygen. And if you don’t manage your breath, you will choke.”

Cedi lowered his eyes. He remembered the endless fuel queues of old, the heavy import bills, the sleepless nights of central bankers.

Pound’s Sermon

Pound polished his monocle and cleared his throat like a colonial headmaster.

“Cedi, every September you flood to me with tuition fees, remittances, and consultancy payments. You drain yourself financing dreams abroad while your own schools hunger for chalk. Spare parts, luxury imports, legal advice – you lean on me for all.

Train your own teachers, fix your industries, grow your skills at home. Then I will stop being your examiner. Until then, I am your headmaster, and I mark in sterling.”

Cedi felt the sting. He saw parents selling land to send children abroad, businesses wiring pounds for spare parts, officials hiring British consultants to solve problems Ghanaian brains could have solved.

Euro’s Lecture

Euro shuffled his files, stacked neatly like regulations in Brussels.

“Cedi, your bandage will not protect you from me. You import my machines, my pharmaceuticals, my wheat, my vehicles. My standards control your exports. Until you process cocoa into chocolate, until your farmers meet sanitary tests, until your industries add value, you will remain chained to my clipboard.

Diversify, industrialise, and I will become your market instead of your master. Ignore this, and every cargo ship docking at Tema will remind you who holds the pen.”

Cedi clenched his fists, but he could not deny the truth. Even cocoa – the pride of his veins—was exported raw, only to return as imported chocolate bars.

The Old Wise Man Nods

From under the baobab, the Old Wise Man raised his staff and chuckled.

“Nokware nsuo nom yɛ den.
(Truth is a hard water to swallow.)

Sometimes, even your enemies tell you the bitter truth your friends hide. Do not hate the water because it is hard; drink it and grow teeth.”

The apprentices asked, “Grandfather, why would enemies help?”

He replied: “Because they don’t need to lie. Their profit is secure. It is your pride that blinds you. A man drowning in the river may refuse the insult, but he cannot refuse the water.”

Cedi’s Reflection

For the first time, Cedi did not roar back. He sat quietly, staring at the dust. The ache under the bandage pulsed with each word.

He realised the giants were not just bullies – they were mirrors. They exposed his weaknesses: oil dependence, education outflows, import addiction. He could fight them forever and lose, or he could listen and heal.

Policy Reflection – When Enemies Tell the Truth

  • Dollar’s truth: Ghana’s dependence on oil imports and borrowing drains reserves. Real cure = refinery capacity, fiscal discipline, and export diversification.
  • Pound’s truth: Tuition, remittances, spare parts, and consultancy dependence funnel cedis into pounds. Real cure = strengthen education, industrial base, and domestic services.
  • Euro’s truth: Standards and imports tie Ghana to Europe. Real cure = add value to exports, meet standards, and industrialise.

Lesson: External powers may sound arrogant, but their pressure exposes internal weaknesses. Their insults are uncomfortable data.

Blog Series, Ghana's Political Economy, Ghanaian Politics, Political Satire & Fiction, Politics, The Bandage Economy

Episode 5: The Old Man Under the Baobab

Dr. George Asiamah

The stadium noise began to soften. The initial fireworks of Cedi’s resurrection still glimmered in the minds of many, but the murmurs from Makola, Kaneshie, and Kejetia were now echoing louder than the trotro horns. Tomatoes had spoken. Cement had complained. Fuel had rolled its eyes. And the ordinary stomach – always the most honest economist – kept grumbling.

In the shade of the mighty baobab, the Old Wise Man sat. His beard was long like the minutes of a parliamentary debate, his eyes heavy with memories of cycles past. He had seen currencies come and go, debts pile and collapse, slogans fly and expire. Around him gathered apprentices, traders, students, and curious onlookers who wanted to understand why their cheers had not bought them cheaper kenkey.

The Old Wise Man Speaks

He tapped his staff on the earth three times. Dust rose, as if even the soil knew he was about to speak sense.

“My children,” he began, “you celebrate because the bandaged warrior Cedi has leapt to his feet. You sing because the giants stumbled for a moment. But let me tell you something:

Sɛ ɛprɔ a, yɛbɛte ne kankan.
(When it rots, we will smell the stench.)

What does this mean? A wound under a bandage may look neat, but when it festers, it cannot hide forever. The smell will betray the silence.”

The crowd leaned closer.

“Steroids can make a man run. But steroids do not heal broken bones. Bandages can cover sores, but they cannot cure infections. And when leaders chase optics instead of surgery, the crowd will clap today but cough tomorrow.”

He paused, allowing the proverb to sink like gari into water.

The People Respond

A market woman asked, “So, Grandfather, are you saying the NDC medics were wrong to revive Cedi?”

The Old Man smiled. “No. A dead fighter cannot train. Emergency medicine has its place. But my worry is when emergency becomes tradition, when steroids replace food, when applause replaces planning. That is when the wound rots.”

A young graduate interjected, “But isn’t it good that inflation has slowed a bit, that the exchange rate looks calmer?”

The Old Man nodded. “Yes, it is good to slow the bleeding. But slowing bleeding is not the same as restoring strength. If you remove the bandage and find no healing beneath, then what have we gained? We are only postponing the smell.”

The Giants Listen Too

From across the arena, Dollar, Pound, and Euro leaned against the ropes, listening. They smirked, but even they knew the truth of the proverb. They had seen Cedi rise before, only to stumble again.

Dollar whispered, “He will come running back for me when reserves thin.”
Pound muttered, “September will remind him whose tuition he pays.”
Euro sighed, “Imports will not forgive him. They never do.”

The Old Wise Man raised his voice so that even the giants could hear:
“Your enemies are not merely bullies; they are reminders. They expose what you refuse to fix. Do not hate them – learn from them. For if you build your canoe strong, the flood cannot disgrace you.”

Proverb

“Sɛ ɛprɔ a, yɛbɛte ne kankan.”
(When it rots, we will smell the stench.)

Meaning: Temporary cover-ups will always reveal themselves. True solutions cannot be faked.

Policy Reflection – The Wisdom of the Baobab

The Old Man’s parable cuts deep:

  1. Emergency medicine is necessary – Liquidity injections, IMF inflows, and forex controls can prevent collapse in the short run.
  2. But temporary measures have consequences – They risk depleting reserves, creating distortions, or masking deeper weaknesses.
  3. Structural reform is the only cure – Without boosting exports, building buffers, and cutting wasteful spending, the “smell” of crisis will return.
  4. Markets have long memories – Traders, investors, and ordinary citizens will eventually sense when strength is artificial.

Lesson: The test of policy is not applause in the moment but resilience in the storm. Short-term victories mean little if they cover long-term decay.

Blog Series, Ghana News, Ghana's Political Economy, Ghanaian Politics, The Bandage Economy

Episode 4: Murmurs from the Market

Dr. George Asiamah

The arena still echoed with cheers for Cedi. The trotro mates whistled victory tunes, the kelewele sellers sang exchange-rate choruses, and even the drunk palm wine tappers staggered in to declare, “Our boy is back! Dollar is limping!”

But while the stadium roared, the real world – the quiet, unforgiving marketplace – remained unimpressed. Markets do not clap; they calculate.

The Tomatoes Speak

At Makola, tomatoes sat in their baskets, glistening under the sun.

One tomato whispered to the other:
“So, they say Cedi is now a lion on the battlefield.”

The other replied:
“Lion or lizard, did you see the cost of transport? My journey from Navrongo to Accra is still paid in diesel, and diesel bows to Dollar. Let Cedi run laps in the arena; my price will not fall just because the crowd is excited.”

The women selling them nodded in agreement, adjusting their headscarves.

The Fuel Frowns

At the pumps, fuel yawned and stretched.

“Look at them,” fuel said, watching the arena fireworks on a small TV. “Cheering as if my liters care about hashtags. Until the refinery sings, and until government taxes loosen their belt, I will not bow. Cedi can do press-ups on steroids, but I – fuel – still listen to global oil prices, not local slogans.”

A taxi driver grumbled, wiping sweat from his brow:
“So, this miracle rate, why hasn’t my tank clapped for me yet?”

Cement Crosses Its Arms

Cement sat in its dusty bag at the hardware shop, shoulders broad and unmoved.

“Exchange rates dance every day,” Cement growled. “But my story is longer. Energy costs, shipping fees, raw materials—all of them still salute the giants. If Cedi wants me to fall in price, he must win the marathon, not just the sprint. For now, I remain heavy.”

The mason sighed. “So my building project still sleeps. Even after this miracle, blocks still cost like I’m building with gold.”

The Market as Chorus

Everywhere the same chorus rose:

  • Soap in Kaneshie: “We were imported at the old rate. We cannot turn into charity overnight.”
  • Rice in Kumasi: “Until local harvests replace me, my price is chained to ships, not cheers.”
  • Pharmaceuticals in Tema: “We bow to Euro’s clipboard, not Cedi’s sprint.”

The people began to murmur. “If Cedi has defeated Dollar and slapped Pound, why are our pockets still crying? Why is kenkey still arguing with transport fares? Why does waakye ignore the exchange rate headline?”

The Old Wise Man Under the Baobab

The Old Wise Man listened as the murmurs reached him. He tapped his staff and declared:

“Ɛsono afu gye mmerɛ ansa na aprɔ“
(The elephant may be dead, but its belly takes time to collapse.)

He explained:
“When Cedi rises in the arena, it does not mean prices will fall tomorrow. Traders bought their stock at yesterday’s rate, so they price for yesterday’s pain. Wholesalers fear tomorrow’s uncertainty, so they pad today’s price. And taxes and levies are glue on the price tag; even when the exchange rate breathes out, the levies keep breathing in.”

The apprentices nodded. “So, Grandfather, victory in the arena is not the same as peace in the market?”

He smiled. “The stomach listens to the kitchen, not the stadium. The day we plant enough, process enough, and save enough, then the kitchen will finally clap for the arena.”

Policy Reflection – Why Prices Stay Sticky

  • Import Lags: Goods already in shops were purchased at old rates. Prices don’t adjust immediately.
  • Expectations: Traders hedge against possible future depreciation by keeping prices high even when Cedi rises.
  • Taxes & Levies: Petroleum, utilities, and cement prices are cushioned (or worsened) by taxes and regulatory margins that don’t move with the forex rate.
  • Structural Weakness: Local production is too weak; we depend on imports for food, fuel, medicine, and construction. Until that changes, forex improvements won’t translate quickly.

Lesson: A “miracle” exchange rate does not mean instant cheaper prices. The market runs on memory, caution, and structure – not on applause.

Blog Series, Ghana's Political Economy, Ghanaian Politics, Political Satire & Fiction, Politics, The Bandage Economy, UK Politics

Episode 3: The Giants and Their Taunts

Dr. George Asiamah

The dust settled for a moment at the Agyakrom Arena. Cedi was on his feet again, swinging punches with a swagger only steroids can buy. The crowd still sang, kelewele still hissed in pans, and trotro mates hung off the stands like drunken griots, whistling victory songs.

But the giants had not retired. They had only been surprised. And when giants recover from surprise, their words weigh heavier than their fists.

With a chest broad as the Atlantic and oil barrels rolling behind him, Dollar spat sand and bellowed:

“Listen, small boy! You think you can beat me with temporary medicine? I am not just a fighter; I am plumbing. Every pipe in your economy flows through me – fuel contracts, global trade, your IMF injections. If your pipes leak, I will flood your house. Fix the pipes, and maybe – just maybe – I will calm down. But keep wasting reserves, and I will return with thunder.”

Cedi clenched his fists, but the ache under the bandage whispered, “He is not lying.”

Adjusting his dusty monocle, Pound cleared his throat like a retired headmaster calling assembly.

“You colonial students never learn. Every September, you run to me with your school fees. Every December, you buy my spare parts for your trotro funerals. Every Easter, you come for my visas, my remittances, my consultants. And then you complain when I tighten your throat? Build skills at home, and I shall stop billing you like a stubborn headteacher. Until then, I remain your examiner, and the pass mark is in sterling.”

Cedi glared, but behind his fury lay memories of parents selling land for tuition abroad. He had no reply.

Euro dusted his stack of papers, each stamped with blue stars. His twenty-seven soldiers stood like clerks behind him, filing invoices.

“You punch me today, but tomorrow your ships will dock at my ports, begging for machinery, medicines, and wheat. You say you can fight me, but can your factories meet my standards? Can your farmers pass my sanitary tests? You depend on my bread, my vaccines, my machines. Until you build your own, you cannot escape my clipboard. Imports due, my friend. Imports are always due.”

Cedi tried to laugh it off, but deep in his gut he remembered: even cocoa beans needed European chocolate factories before they reached their true value.

The people in the stands argued.

Some jeered at the giants:
“Stop bullying our Cedi! Today he is winning. Tomorrow too he will win!”

Others scratched their heads:
“Hmm. Dollar, Pound, and Euro sound arrogant, but are they not speaking truth? If we do not produce, how can we stop them from charging us rent?”

The kelewele seller muttered, “My oil still comes from Dollar’s cousin. Unless we fry with palm oil only, we will keep smelling his kitchen.”

The Old Wise Man listened from his corner, eyes closed, staff tapping the earth like a metronome.

He spoke softly:
“Ɔkɔtɔ nwo anoma.”
(The crab does not give birth to a bird.)

“The Cedi cannot pretend to be what he is not. Steroids make him leap, but they cannot change his bones. If he does not build his own muscles—factories, farms, savings—he will always be dragged back to the mudflats where the crab belongs. A crab cannot fly; it must walk its own way. And if it wishes to fly, it must build wings, not borrow feathers.”

The crowd fell silent. Even the trotro mate stopped whistling.

Policy Reflection — What the Giants’ Taunts Mean

  • Dollar’s taunt = Ghana’s dependence on oil imports, external borrowing, and reserve burn. Without fixing fiscal leaks and building real reserves, Dollar remains the landlord.
  • Pound’s taunt = Education, remittances, spare parts, and consultancy dependence. Heavy outflows to the UK weaken Cedi each year. The solution is building skills, industries, and alternatives at home.
  • Euro’s taunt = Dependency on European standards and imports (machines, medicines, food). Until local industries meet those standards, Euro’s clipboard rules Ghana’s destiny.

Lesson: These “giants” are not just villains – they are mirrors. Their taunts expose the weak ribs of the economy. The crowd may not like the insults, but the insults are data.

Blog Series, Ghana's Political Economy, Ghanaian Politics, Political Satire & Fiction, Politics, The Bandage Economy

Episode One: The Fall of the Cedi

Dr. George Asiamah

The drums of Agyakrom Arena rolled, and the crowd gathered. In the red corner stood Cedi, the wiry fighter of the land. He wasn’t the tallest, nor the strongest, but he carried cocoa in his fists, gold in his teeth, and oil dripping down his back. The people chanted his name, believing their warrior could at last tame the mighty giants.

Behind him stood his commander, the NPP Marshal, decorated not with medals but with slogans stitched into his uniform: “Battle-Tested Plan,” “Dr. Fundamentals,” “One District, One Factory.” His sword gleamed with promises; his shield shone with borrowed optimism.

“Forward, Cedi!” the marshal shouted. “This is your destiny.”

But the battle was no village wrestling contest. Across the arena, three giants lumbered forward: Dollar, broad-chested, carrying oil barrels in one hand and global invoices in the other. Pound, dressed like a retired colonial officer, cane tucked under his arm, school-fee receipts in his pocket. Euro, tall, sleek, marching in formation with twenty-seven foot soldiers holding briefcases of regulations, machinery, and pharmaceuticals.

The whistle blew.

Dollar swung first, a heavy punch from crude oil imports. Cedi staggered. Pound jabbed with spare parts and tuition fees, cracking his ribs. Euro didn’t shout; he suffocated him quietly with wheat, vaccines, and machinery. The crowd gasped as Cedi stumbled, his shield splintered, his armour cracked.

“Hold the line!” the marshal cried. But the line broke. Cedi fell face-first in the dust, groaning, the flag of Agyakrom trampled beneath him.

The people looked at each other in silence. The trotro mate muttered: “So, this is the plan?” A Makola trader shook her head: “Even my tomatoes are ashamed.”

The giants didn’t even boast; they simply stood over him, as if to say: “This is what happens when you enter the ring unprepared.”

Proverb

“Sɛ nsuyire ba a, ɛna yɛhu deɛ ne kodoɔ yɛ papa.”
(When the floods come, we see the quality of the canoe.)

Policy Reflection

When global storms hit – rising oil prices, higher imports, currency shocks – Cedi revealed what had long been hidden: an economy built on weak planks. The canoe had been painted with slogans, but its wood was cracked. Imports outpaced exports, debts outpaced revenues, and buffers were too thin to weather the current.

In the flood of global markets, you do not rise by chanting; you rise by building a canoe that floats.

Read Episode Two

Agyakrom Blog Series, Ghana News, Ghana's Political Economy, Ghanaian Politics, Political Satire & Fiction, Politics

Episode 2: At Long Last… Agyakrom is Free!

Dr. George Asiamah

“When the drums of freedom beat, even the slowest beast begins to dance.”

By the early 20th century, young beasts in Agyakrom demanded answers. Beasts who read the colonial scrolls and saw the hypocrisy. Beasts who had drunk both palm wine and European philosophy. Beasts who demanded a Free Jungle.

One of them stood tall.

He was fast.
He was fierce.
He was relentless.

His name? Kwame the Visionary Panther.

Not born into wealth.
Not descended from chieftain trees.
But his speed was unmatched – both in thought and in speech.

He returned from the icy forests of foreign lands with a tail full of socialist theories, a mane full of Pan-African dreams, and a scroll titled “Positive Action.”

The UGCC and the Great Split

Before the Panther returned to Agyakrom, there existed a cautious committee of beasts known as the United Grove for Common Creatures (UGCC). Composed of owls, elder elephants, scholarly squirrels, and coconut-sipping lawyers, this elite circle wanted the colonial zookeeper gone – but politely. Through letters. Through procedures. Through distant petitions and gentlemanly growls.

They needed a spark. A beast with a voice that could rally the groundlings, not just the treehouse elites.

So they summoned the Panther – fresh from foreign groves, fire in his bones, socialism on his breath. Educated in the books of faraway lands, but burning with the fury of local injustice, the Panther spoke not like a bureaucrat, but like a prophet.

At first, he served them dutifully – the UGCC’s roarer-in-chief. But soon, friction brewed. The Panther moved too fast. Dreamed too loud. Called for immediate freedom, while the elders still debated resolutions.

He was bold. They were cautious.

He roared: “Self-rule now! Not next year, not when approved by colonial tail-waggers. Now!”

And so he broke off. He formed his own rebel camp. He built the Crop Protection Party (CPP) – a movement not of parchment and protocol, but of farmers, fisher-beasts, and furious youth.

He mobilised monkeys in the markets, drummers in the bush, cocoa porters, cassava vendors, and even the goats who had never been counted in jungle censuses.

Positive Action and the Beast Awakening

Under the Panther’s call, the jungle stirred. Farmers refused to send cocoa to colonial depots.
Teachers marched out of classrooms. Market mamas sang protest songs at dawn. Young cubs – who once only fetched water and memorised empire poems – began distributing leaflets and climbing platform trees to speak.

The colonial gatherers and zookeepers panicked. They arrested the Panther.

But that only made him a martyr.

While he sat in silence, his name echoed through the vines. His image spread across banana leaflets. His supporters, fierce and loyal, would not rest.

“Free the Panther!”
“The jungle must be ours!”
“Down with the Bulldog Empire!”

The Election That Changed the Jungle

In 1951, the hunters and the gatherers – realising the jungle’s heat could no longer be managed with cold treaties – organised an election.

The Panther ran from his prison cell.

And he won.

Landslide.

The message was clear: the jungle no longer wanted caretakers in suits.

It wanted leaders who ran with the people.

The Independent Jungle

Right from the start, the Panther did not rest. He dreamt big. Lived large. Built fast.

Banana factories. Coconut oil refineries. Cashew trains stretching across canopy corridors. He constructed cocoa processing hubs. He summoned engineers to build the mighty Volta Dam, a monument to modernity that promised power for all. The Black Star shipping fleet roamed the seas.

He didn’t stop at infrastructure. He wrote books. He launched five-year plans. He gave speeches that turned parrots into philosophers and squirrels into citizens.

African beasts across the continent looked to Agyakrom and said: “If they can run free, so can we.”

The Panther became not just a leader, but a symbol.

His dreams were continental. He envisioned a Union of Forest States. He funded liberation struggles in neighbouring groves. He hosted pan-jungle conferences where beasts debated unity in twenty dialects.

To the West, he was dangerous. To the oppressed, he was divine.

He welcomed revolutionaries.
He built a new capital.
He preached unity.

He declared:

“The independence of Agyakrom is meaningless unless it is linked with the total liberation of the African jungle!”

But… 

JUNGLE WISDOM OF THE DAY

“When the chains fall off the paws, the mind must still unlearn the leash.”

Energy Policy, Ghana News, Ghana's Political Economy, Ghanaian Politics, Politics

Pay 1 Cedi to End Dumsor? Structural Constraints vs Fiscal Fixes

Dr. George Asiamah

On 4 June 2025, Ghana’s Parliament passed a controversial bill introducing a one-cedi per litre levy on petroleum products – framed as a necessary intervention to address the ever-growing debt in the energy sector and, ultimately, to end the country’s lingering electricity supply challenges, popularly known as “dumsor.” The ruling NDC government justified the move by pointing fingers at the mismanagement of the previous administration, suggesting that the Energy Sector Recovery Programme had failed to achieve its intended financial restructuring. Now, they argue, it falls upon the public to pay – not for their sins, but for those of their predecessors. The catch? They promise this is the last push, the final Cedi to buy stability. One more sacrifice so we may see the light, literally.

But this move raises deeper questions about Ghana’s fiscal and political architecture, the nature of state-society relations, and the recurring tension between revenue mobilisation and public trust. While on the surface, the D-Levy is merely an energy financing mechanism, at its core, it exemplifies the political economy of managing scarcity, debt, and blame in a fragile democracy. Ghana has been here before. Levies have often emerged as government tools of last resort – temporary solutions that quietly become permanent fiscal burdens. Recall the price stabilisation levy, the sanitation levy, and more recently, the infamous e-levy. Many were billed as short-term interventions. Few were repealed. Even fewer were transparently accounted for.

To understand the deeper dilemma, one must examine the contradiction embedded in this levy. On the one hand, government presents it as an unavoidable necessity – the only path to restructuring the crippling legacy debt owed to Independent Power Producers (IPPs), fuel suppliers, and financiers. On the other, it insists that the cost to consumers will be negligible because the Cedi has recently appreciated, causing a marginal drop in pump prices. This is a risky fiscal narrative. It assumes currency appreciation is stable, and that petroleum product prices are not volatile. But in Ghana, neither is guaranteed. In fact, both are shaped by exogenous global shocks, domestic political risks, and structural vulnerabilities. To peg the justification for a permanent levy to a temporary macroeconomic blip is, at best, politically disingenuous.

Moreover, this levy arrives at a time when the government is trying to demonstrate that it is reversing some of the more unpopular decisions of the previous regime. The removal of the e-levy, a tax on electronic transactions, was lauded as a win for ordinary Ghanaians. But with the new D-Levy, critics argue, the government has merely shifted the burden from the digital economy to the pump. As some have quipped, “E-levy out, Dumsor D-Levy in.” The logic of this substitution is hardly comforting. For many households and informal sector workers, the increase in transport fares triggered by the levy could be more punitive than the e-levy they celebrated seeing repealed. The narrative, then, becomes one of robbing Peter to pay Paul, all under the guise of energy stability.

The political economy implications are profound. First, the D-Levy reinforces a trend in Ghanaian fiscal policy where governments resort to indirect taxes and levies to fund structural inefficiencies, rather than addressing the root causes. These include overcapacity in power generation, misaligned procurement contracts, and opaque financial arrangements with IPPs. Second, it exposes the failure of successive governments to ringfence public funds or build institutional trust. Civil society actors have long complained about the lack of transparency in how energy levies are spent. Audits are sporadic, reports often withheld, and public oversight weak. In this environment, even a well-meaning levy appears predatory.

Finally, this situation raises philosophical questions about who bears the cost of public failure in Ghana. Is it fair to ask today’s citizens to fund yesterday’s poor contracts, bloated power deals, and policy inertia? And if so, where is the evidence that this new stream of revenue will be managed differently? The D-Levy is not just about energy – it is about the moral and institutional legitimacy of governance. It is about the citizen’s role not just as taxpayer, but as shareholder in a public enterprise that seems to suffer from chronic mismanagement. If the goal is to end dumsor, then fiscal tools must be matched with structural reforms, transparency, and a governance model that rewards efficiency rather than excuses it.

In the end, Ghana’s energy future cannot be levied into stability. It must be planned, trusted, and built. A one-cedi solution to a multi-billion dollar governance problem may win a few political points in the short term. But without systemic reform, it risks becoming just another levy in the dark.

Ghana News, Ghana's Political Economy, Ghanaian Politics, Politics

Don’t Bet on the Cedi… It Has Mood Swings

Dr. George Asiamah

In Ghana, we celebrate the cedi’s short-term gains like a political victory parade. And in 2025, the band is playing again. The cedi has appreciated by over 24% against the US dollar in just a few months, dropping from over GH₵16 to around GH₵10.35. On the surface, this looks like redemption. A national comeback. Proof that the “economic management team” is finally awake.

But before we start naming our kids after the Finance Minister, and nominate the currency for the Nobel Prize in Economic Recovery, let’s take a hard, analytical look. Because history – and economic logic – tell us this performance is more likely to be a sugar rush than a sustainable meal.

Here’s why:

Supply of Dollars Will Begin to Dry Up

When a currency appreciates sharply in a short period, it disturbs the natural rhythm of the market. Those who hold dollars become hesitant. If you had dollars at GH₵16 and now it’s GH₵13, you’re not going to rush and exchange. You’ll wait – watching nervously, hoping the cedi will slide again so you can recover your margin. This behavior is natural, and it immediately begins to choke supply.

Remittance flows, a critical lifeline of Ghana’s forex market, also respond negatively. When the cedi is weak, sending money from abroad makes sense. For instance, if someone sending $100 previously got GH₵1,600 but now gets only GH₵1,300, they may wait or send less. Some may delay their projects, especially, if the appreciation of the currency does not correspond to reduction in price of goods. That is to say, whenever there is a sharp appreciation of a currency, inflows naturally slow, and another source of foreign currency begins to dry up.

Exporters, too, feel the pinch. When they convert their dollar earnings into cedis at a weaker rate, they earn more. But with this new wave of appreciation, their revenue in local currency shrinks. Rational business people do what rational business people do: they delay repatriation, under-invoice their exports, or keep funds abroad. Again, this starves the market of much-needed forex.

Demand for Dollars Will Start Creeping Up

While the supply side begins to strain, the demand side quietly builds up pressure. A stronger cedi means cheaper imports. For a heavily import-dependent country like Ghana, this spells trouble. As imports become more affordable, importers begin to order more – everything from electronics and machinery to fuel and food. This increased demand for dollars puts pressure back on the very currency that was just gaining strength.

Then comes the speculator class. These actors don’t buy into the hype – they’ve seen this before. Every sharp appreciation, they argue, is a temporary market sugar high. So while everyone else is praising the finance ministry, speculators begin to quietly accumulate dollars, betting on the inevitable reversal. And they are often right. Once the market begins to sense that the rally is over, the panic starts. Importers scramble for dollars. Parents looking to pay school fees abroad rush to buy. Businesses accelerate their purchases. The psychology shifts from confidence to fear, and in that moment, the cedi starts its descent.

The Invisible Hand the Gravity of Reality

This isn’t a new story. In 2015, the cedi surged in June, and by August, it had fallen just as sharply. In 2022, the same pattern repeated. There’s nothing uniquely 2025 about this. We are simply watching the same script play out, only with new actors and slightly different lines.

What’s often missing in these debates is the understanding that the market, like nature, abhors imbalance. Adam Smith called it the “invisible hand.” But let’s call it what it is – gravity. You can push the cedi up with policy tools, foreign inflows, gold-for-oil arrangements, or central bank interventions. But if the structural foundations aren’t strong – if your economy still imports more than it exports, still depends on remittances and commodity booms, still lacks industrial depth – then the appreciation is merely a balloon on a windy day.

Eventually, gravity wins.

So yes, you may clap for the cedi now. You may tweet, “Ato Forson is the man!” or argue over whether Bawumia could’ve done this. But remember: unless we fix the fundamentals, every sharp rise will end with a fall. That’s not cynicism – it’s economics. And unlike politics, economics doesn’t campaign. It simply responds.

Ghana News, Ghana's Political Economy, Ghanaian Politics, Politics

The Cedi is Smiling – But Should We…?

Dr. George Asiamah

Over the past month, Ghanaians have witnessed a sharp appreciation of the Cedi. All the major trading currencies, especially the US Dollars, are now being humbled by our currency – causing ripples of excitement across radio shows, social media, and street corners. In a country where exchange rate movements are treated with the same passion as Black Stars matches, the recent cedi performance is naturally triggering political bragging rights.

With the NDC back in office for less than six months, some supporters have already crowned Dr. Cassiel Ato Forson the miracle worker. “What Bawumia and Ofori-Atta couldn’t do in 8 years, Ato Forson has done in 6 months!” is the new anthem of partisan pride. But while we celebrate with dancing emojis and #CediIsBack hashtags, let’s take a breath – and a glance into our rearview mirror.

Because we’ve been here before.

Déjà vu, Anyone?

In President Mahama’s first term (2012–2016), Ghanaians saw similar episodes. At one point in 2014, the cedi lost nearly 40% of its value – then made a dramatic comeback after the Bank of Ghana injected dollars and tightened monetary policy. The then Finance Minister, Seth Terkper, even launched the now infamous “Home Grown Policies” programme – celebrated by some, criticized by others, and followed by an IMF bailout.

Each time the cedi gained strength, we thought the corner had been turned. Each time, the dollar eventually reminded us who was boss.

Even under the Akufo-Addo/Bawumia administration, the cedi had its brief “honeymoon” phases – especially after Eurobond inflows, syndicated cocoa loans, or IMF disbursements. The currency appreciated, optimism surged, but then came the reversals. These were not failures of specific finance ministers alone – they were reflections of a structural vulnerability that runs deep in the Ghanaian economy.

Political Football or Economic Fundamentals?

The temptation to turn every uptick into a partisan football match is strong. We know the rules: If the cedi falls, blame the Finance Minister. If it rises, crown him saviour. But currency strength isn’t the product of charisma or political proximity to President Mills’ ghost. It’s about fundamentals, market confidence, and often, external factors we can’t control.

No doubt, the new finance minister deserves credit for calming the markets. His tone has been measured, his statements less performative than his predecessors’, and his initial actions suggest an effort to restore fiscal discipline. That said, the real test will come in:

  • Managing debt repayments without mortgaging future revenues;
  • Growing domestic production to reduce reliance on imports;
  • Expanding the tax base without stifling growth;
  • And reforming institutions to prevent future macroeconomic shocks.

Can the NDC administration resist the political pressure to over-spend ahead of elections? Can it negotiate smartly with the IMF, without triggering public backlash or social unrest? Can it shield the poor while implementing structural reforms?

That’s where the actual battle lies – not in the month-to-month dance of the exchange rate.

What Are the Real Indicators?

Is inflation down sustainably? Are we exporting more than we import? Is the tax base broadening? Are we reducing our debt-servicing burden, or merely refinancing it? These are the indicators that will tell us whether this cedi appreciation is a trend or a teaser.

We’re also yet to see the full fiscal picture. The mid-year budget will be the real test of Ato Forson’s strategy. Will he cut politically costly subsidies? Will he resist the temptation of printing money to fund populist programmes? Will he negotiate with external creditors and investors in ways that secure both debt relief and investor confidence?

These are not six-month miracles. They are long-haul battles. And even a sharp appreciation, while psychologically soothing, can come with side effects — for example, harming export competitiveness or disincentivising diaspora remittances.

A Time for Humility, Not Hype

Ghana’s economic story is complex. The cedi’s behaviour is not an emotional teenager reacting to the Finance Minister’s tone of voice; it is a reflection of deep-rooted structural issues, geopolitical dynamics, and market sentiments.

If history teaches us anything, it is that premature jubilation often precedes disappointment. So, while we appreciate the short-term gains — and God knows we needed some good news — we must resist the urge to confuse symptom relief with full recovery.

Dr. Ato Forson may well prove to be one of Ghana’s most effective Finance Ministers. But let’s give him the space and time to actually do the work, not just benefit from a temporary upswing and social media applause.

As the saying goes, “When the rain drizzles in the dry season, don’t start planting your maize just yet.”

So to my fellow Ghanaians, breathe… but don’t break into azonto just yet. The economic battle isn’t won on the forex charts of May 2025. It’s fought — and won — in the policies, institutions, and choices that shape the months and years ahead.

Ghana's Political Economy, Ghanaian Politics, Politics

Ghana’s Economic Crisis: Is Dr. Bawumia Really to Blame?

Dr. George Asiamah

In the realm of Ghanaian politics, few figures have seen their reputations transform as dramatically as Dr. Mahamudu Bawumia. Once hailed as the economic messiah, Bawumia rode a wave of optimism and high expectations when he assumed the role of Vice President in 2017. His economic credentials and promises of transformative policies positioned him as a beacon of hope for many Ghanaians. However, fast forward to the present, and the economic landscape has shifted dramatically. With the country grappling with significant economic challenges, the once-revered Bawumia is now the subject of widespread criticism. But is it fair to place the blame for Ghana’s economic crisis squarely on his shoulders?

To understand the current economic situation and Bawumia’s role in it, we must first revisit the context of his rise to prominence. Dr. Bawumia entered the political arena with a robust academic background and considerable experience in economic policy. His tenure at the Bank of Ghana and his work with international financial institutions gave him a reputation for expertise that was unmatched by many of his peers. When he was selected as the running mate for Nana Akufo-Addo in the 2016 elections, it was clear that the New Patriotic Party (NPP) was banking on his economic prowess to turn around the fortunes of the nation.

Upon assuming office, Bawumia’s initial efforts appeared promising. He championed various reforms aimed at stabilising the economy, reducing inflation, and fostering growth. His policies on financial inclusion and digitalisation, such as the mobile money interoperability system, were hailed as innovative steps towards modernising Ghana’s economy. For a while, it seemed that Bawumia was delivering on his promises. However, the economic realities of governance soon began to test his capabilities.

The global economic environment has always had a significant impact on Ghana’s economy. Factors such as fluctuations in commodity prices, especially for cocoa and gold, have historically influenced economic stability. The COVID-19 pandemic, which erupted in 2020, dealt a severe blow to economies worldwide, and Ghana was no exception. The pandemic disrupted supply chains, reduced economic activity, and necessitated increased government spending to mitigate its effects. These external shocks contributed to a strained economic environment, complicating Bawumia’s efforts to maintain stability.

Internally, Ghana’s economy faced structural issues that predated Bawumia’s tenure but which he had to contend with. The country’s debt levels have been a persistent concern, with successive governments borrowing to finance development projects. While infrastructure development is crucial, the accompanying debt burden has often led to economic constraints. Bawumia inherited an economy already grappling with these challenges, and his policies, though well-intentioned, had to navigate this complex landscape.

One of the central criticisms leveled against Bawumia is the perceived disconnect between his promises and the outcomes. Critics argue that despite his assurances, the economic indicators have not improved as expected. Inflation has remained a thorny issue, with prices of essential goods and services continuing to rise, impacting the everyday lives of Ghanaians. The depreciation of the cedi, Ghana’s currency, against major international currencies has further exacerbated the situation, increasing the cost of imports and contributing to inflationary pressures.

However, attributing these economic woes solely to Bawumia overlooks the multifaceted nature of economic governance. The Vice President, while influential, operates within a broader government framework where various actors and factors play critical roles. Fiscal policy, largely driven by the Ministry of Finance, and monetary policy, managed by the Bank of Ghana, both significantly impact economic outcomes. Bawumia’s influence, though notable, is part of a collective effort that includes other key players in the government.

Moreover, economic policy implementation is not an instant process. The effects of policy changes often take time to manifest fully. Some of Bawumia’s initiatives, particularly in the digitalisation space, are long-term projects whose benefits may not be immediately visible. The push for a cashless society and the integration of digital technologies into various aspects of the economy are ambitious undertakings that require sustained effort and time to yield significant results.

The political dimension of Bawumia’s predicament cannot be ignored. In the high-stakes arena of Ghanaian politics, economic performance is a critical determinant of public perception and electoral success. As the Vice President and a prominent figure in the ruling NPP, Bawumia is a natural target for political opponents seeking to undermine the government’s credibility. The narrative of failure, therefore, serves not only as an economic critique but also as a strategic tool in the political contest for power.

Furthermore, the expectations placed on Bawumia were extraordinarily high. His branding as an economic savior created a perception that he had almost magical abilities to fix the economy. Such expectations were always unrealistic and set the stage for disappointment. The complexities of economic management, especially in a developing country with numerous structural challenges, mean that no single individual, regardless of expertise, can singlehandedly transform the economy.

In analysing Bawumia’s role and responsibility for the economic crisis, it is essential to adopt a balanced perspective. While he is undoubtedly a significant player and his policies and decisions have impacted the economy, the broader context in which these policies were implemented must be considered. External economic shocks, pre-existing structural issues, and the collaborative nature of governance all contribute to the current situation.

Moving forward, it is crucial for Ghana to adopt a holistic approach to economic management. This involves not only addressing immediate challenges but also implementing long-term strategies to build resilience and foster sustainable growth. Strengthening institutions, enhancing transparency and accountability, and promoting diversification of the economy are critical steps in this process. The lessons from the current crisis should inform future policies, ensuring that the economy is better prepared to withstand shocks and uncertainties.

Dr. Bawumia’s journey from economic messiah to embattled Vice President is a reflection of the broader complexities of governance and economic management. While his tenure has seen both achievements and setbacks, it is clear that the challenges facing Ghana’s economy cannot be attributed to him alone. A nuanced understanding of the factors at play and a collective effort to address them are essential for the country’s progress.

Overall, while Dr. Mahamudu Bawumia’s role in the current economic crisis is significant, it is not singularly determinative. The economic challenges Ghana faces are the result of a confluence of internal and external factors, structural issues, and policy decisions that extend beyond any one individual. Blaming Bawumia alone oversimplifies the complexities of economic governance and overlooks the collaborative nature of government operations. It is essential to move beyond the scapegoating and focus on comprehensive strategies to build a more resilient and prosperous economy for all Ghanaians.