By Ashiadey Dotse
Economist and professor of finance at the University of Ghana Business School, Professor Godfred Bokpin says the current NDC administration deserves credit for the progress seen in the economy.
Speaking in an interview on TV3’s Keypoint Show on Saturday July 26, 2025, he said government should be praised for Ghana’s improving economy,Prof. Bokpin said there is “considerable room” for the current administration to take credit. According to him, the data shows clear signs of fiscal discipline, direction, and leadership in economic management.
“The data is supportive, If you look at the pace of progress we were making until 2024 and compare it to what we’ve seen after the change in government, there’s a clear shift. The current administration took a more aggressive approach toward expenditure cuts, unlike the previous administration.”
He explained that the previous government increased total expenditure by over 30% in 2017, which, in his view, did not reflect fiscal discipline. In contrast, he noted that the current government significantly cut nominal expenditure in 2025, including more than GH₵1.2 billion in budget implementation, which helped restore economic stability.
Prof. Bokpin pointed to the IMF’s fourth review report as further evidence, saying, “Substantial credit was given to the current administration for its aggressive approach toward expenditure-based fiscal consolidation.”
He also highlighted how the fiscal discipline has allowed monetary policy to work better, resulting in faster disinflation.
“In 2017, inflation dropped from 15.4% to 12.1% in six months. But in 2025, inflation fell more sharply—from 23.8% in December to 13.7% by June,” he said.
He added that the Bank of Ghana under the previous government could have done more to manage the exchange rate if there had been similar fiscal discipline.
“If they had even 40% of the level of fiscal discipline we are seeing now, they wouldn’t have left office with that kind of exchange rate,” he stated.
Prof. Bokpin acknowledged that while the previous administration deserves some credit—especially for the reserves they left behind—it is clear that the current leadership has taken bolder steps.
“I’ve looked at budgets from 2001 to now, and I haven’t seen this level of fiscal discipline. It’s leadership. The Finance Minister couldn’t have done it without strong presidential backing,” he said.
He warned that the aggressive expenditure cuts must be managed carefully to avoid negatively affecting growth in the future. “This approach cannot be sustained exactly the same way beyond 2026. The government must begin to spend more progressively,” he advised.
Prof. Bokpin also said both administrations have played a role, but the current one has shown visible, data-backed results. “There’s no formula for sharing credit, but this much is clear: Ghana has won.”
