Leading economists and policy experts have underscored the importance of sound monetary policies, individual economic freedom and sustainable financial interventions as key drivers of Ghana’s long-term prosperity.

The call was made at the 2025 Ghana Economic Summit, organized by the Institute for Liberty and Economic Education (ILEE) in Accra on November 7, 2025.

Held under the theme “From Policy to Prosperity: Building a Framework for Ghana’s Economic Future,” the summit brought together policymakers, government officials, private sector leaders and international economists to deliberate on practical approaches for translating high-level policy commitments into tangible national growth.

Dr Peter C. Earle, Director of Economics and Economic Freedom at the American Institute for Economic Research (AIER), emphasised that sound money characterized by low inflation and stable purchasing power, is not merely a financial concern but a cornerstone of development itself.

“Very often, the concept of sound money is treated as a separate issue, but in reality, there’s no development without it,” he said.

“Stable currencies foster investment, job creation, and entrepreneurship, and Ghana’s progress in reducing inflation is something to be proud of.”

Dr Earle commended Ghana’s ongoing downward trend in inflation, reportedly between 8 and 9 percent year-on-year but cautioned against complacency.

African central banks must boost collaboration, promote gender equality - Bank of England

He urged sustained vigilance to prevent inflationary pressures from resurfacing.

“It’s eternal vigilance. Nations must stay on top of it because the rewards of a stable currency are clear foreign investors, new businesses and sustainable growth,” he added.

Commenting on the global financial landscape, Dr Earle also noted that the weakening of the US dollar against major global currencies reflects both geopolitical and policy-driven factors.

“Using the dollar as a weapon against countries like Russia has made many U.S. allies cautious about overreliance on it,” he explained.

“Additionally, the current US administration appears to be intentionally driving down the value of the dollar as part of broader trade and fiscal strategies.”

He warned that America’s ballooning national debt and persistent fiscal deficits could have long-term implications for global economic stability.

Dr Ryan M. Yonk, Director of Education Programs at AIER, highlighted the need to place individuals and not governments at the center of development strategies.

“True development begins when individuals are empowered to create their own paths to prosperity,” Dr Yonk said.

“Government’s role should be to remove barriers excessive regulations, restrictive credit systems—that prevent people from building their own wealth.”

He cautioned against overreliance on centralized aid programmes, advocating instead for market-based credit systems that allow lending rates and risks to be determined by the market rather than bureaucratic intervention.

Vice President of IMANI Africa, Kofi Bentil, praised the Bank of Ghana’s recent efforts to stabilize the cedi but raised questions about the long-term sustainability of such interventions.

“If the stability we’re seeing is due only to the central bank pumping in dollars, then it’s artificial,” Bentil warned.

“We must ensure that whatever is being done is sustainable; otherwise, the cedi will eventually fall sharply, and the economy will pay the price.”

He explained that while currency stability can influence market prices, the relationship is not immediate.

“If the cedi stabilizes today, prices won’t drop instantly because of existing stock and prior import costs. Sustained stability over time is what will yield real benefits,” he added.

AM

Watch the promo to GhanaWeb's latest documentary, which uncovers the evolution of ‘kayamata,' an exploitative practice fueled by love charms and manipulation, titled, “The Dark Side of Kayamata,' below:



The wait is over! The GhanaWeb Excellence Awards 2025 is officially launched. Let's Celebrate impact, innovation and excellence across Ghana.
Who deserves to be honoured this year?
Nominate now 👉 https://ghanaweb.com/ghanaexcellenceawards/nominate