Ghana’s National Economic Dialogue (NED), held from March 3 to 4, 2025, at the Accra International Conference Centre, brought together government officials, economic experts, industry leaders, and civil society representatives. The discussions focused on tackling Ghana’s economic challenges and implementing strategic reforms. Consequently, the forum emphasized the need for bold actions to stabilize and revitalize the economy.
Finance Minister Highlights Key Concerns
During his opening remarks, Finance Minister Dr. Cassiel Ato Forson provided a critical assessment of Ghana’s economic landscape. He noted that, while the economy has grown at an average rate of 4.4% in recent years, the growth has mainly been driven by the oil and mining sectors. However, there has been limited structural transformation, which poses a long-term risk. Furthermore, Dr. Forson expressed concerns over Ghana’s heavy reliance on agriculture, which still accounts for one-third of the Gross Domestic Product (GDP), along with the persistently low productivity in the manufacturing sector.
Urgent Need for Structural Reforms
Participants at the NED underscored the importance of implementing structural reforms to diversify the economy and enhance resilience. As a result, discussions centered on several key areas:
- Economic Diversification: Reducing dependence on oil and mining by promoting sectors such as manufacturing, technology, and services.
- Agricultural Modernization: Investing in modern farming techniques to boost productivity and value addition.
- Fiscal Responsibility: Strengthening revenue collection and reducing excessive public spending to ensure fiscal stability.
- Private Sector Growth: Creating an enabling business environment through regulatory reforms and infrastructure development.
Following these discussions, the forum issued a communique, urging all stakeholders to work together to implement these reforms and build a stronger economy.
Cocoa Sector Faces Major Challenges
Amidst these economic discussions, the cocoa sector—one of Ghana’s key revenue sources—is experiencing serious challenges. Increasingly, cocoa farmers are abandoning their crops in favor of illegal gold mining, locally known as “galamsey.” This shift is primarily due to unfavorable price controls on cocoa, which deprive farmers of fair earnings despite rising global cocoa prices.
Environmental and Economic Consequences
As a result of illegal mining, Ghana is facing severe environmental degradation, including deforestation and water pollution. In addition, the declining cocoa production is contributing to a global cocoa shortage, which has driven up chocolate prices worldwide. Although the government has attempted to curb illegal mining, political interference and weak enforcement continue to undermine these efforts.
Government’s Commitment and Future Outlook
The government has acknowledged the seriousness of these economic and environmental challenges. Consequently, authorities have pledged to implement recommendations from the National Economic Dialogue. However, specific strategies to address the cocoa sector crisis and broader economic issues remain under discussion.
Going forward, the success of these proposed reforms will be crucial in in determining Ghana’s economic stability and long-term growth. Thus, both local and international stakeholders are closely watching the government’s next steps.
