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Tag: Dr. George Domfeh

  • Gold for oil is an excellent decision ever – Economist lauds government

    Dr. George Domfeh, a development economist and research fellow at the University of Ghana Legon‘s center for social policy studies, has supported the government’s choice to exchange Ghana’s priceless natural resource, gold, for oil.

    He called the action that has not yet been taken by the current demonstration a “great decision.”

    In an interview with the morning program “Ghana Montie” on NEAT FM, he commented, “It is really original.

    Dr. Bawumia previously said that the government is discussing a new strategy to make sure that the nation pays for imported oil goods with gold rather than foreign currency.

    In a Facebook post on November 24, 2022, the Vice President said the policy is expected to take effect by the end of the first quarter of 2023 and form parts of efforts to address the persistent depreciation of the cedi.

    He explained that once the policy is implemented, “it will fundamentally change our balance of payments and significantly reduce the persistent depreciation of our currency with its associated increases in fuel, electricity, water, transport, and food prices”.

    “This is because the exchange rate (spot or forward) will no longer directly enter the formula for the determination of fuel or utility prices since all the domestic sellers of fuel will no longer need foreign exchange to import oil products,” the Vice president said.

    Adding that, “the barter of gold for oil represents a major structural change. My thanks to the Ministers for Lands and Natural Resources, Energy, and Finance, Precious Minerals Marketing Company, and the Governor of the Bank of Ghana for their supportive work on this new policy. We expect this new framework to be fully operational by the end of the first quarter of 2023. God bless our homeland Ghana.”

  • Ofori-Atta had to feature in Akufo-Addo’s address on the economy – Economist

    Dr. George Domfeh, an economist and senior research fellow at the University of Ghana, has expressed concern about the President Nana Addo Dankwa Akufo Addo’s -failure to mention the Finance Minister during his Sunday, October 30, 2022, economic address to the nation.

    A few days ago, some lawmakers from the Majority Caucus in Parliament demanded that Mr. Ken Ofori Atta, the finance minister, be fired immediately.

    At a news conference in Parliament, the majority group, which was chaired by Andy Appiah Kubi, the member of parliament for Asante Akim-North, urged that the Finance Minister be fired.

    According to them, the decision is based on issues of lack of confidence and non-performance on the part of Minister Ofori Atta.

    Aside from the Finance Minister, the NPP MPs have also called for the removal of the Minister of State at the Finance Ministry, Dr Charles Adu Boahen.

    But President Akufo Addo responding to the calls asked for more time for the embattled Finance Minister to conclude negotiations with the International Monetary Fund (IMF) before any talks of resignation.

    Read Also: Fresh inflows of dollars providing liquidity to foreign exchange market – Akufo-Addo

    Also addressing the country on the economy on Sunday, October 2022, President Akufo Addo did not say anything concerning the Finance Minister.

    President Akufo Addo said as much as the Government believes in free trade, the country must work to ensure that the majority of goods in our shops and market places are those produced and grown here in Ghana.

    “My fellow Ghanaians, the success of our efforts at diversifying the structure of the Ghanaian economy from an import-based one to a value-added exporting one is what will, in the long term, help strengthen our economy. We are making some progress with the 1D1F but our current situation requires that we take some more stringent measures to discourage the importation of goods that we can and do produce here,” he said.

    But speaking on Atinka TV‘s morning show, Ghana Nie with Ekourba Gyasi Simpremu, Mr. George Domfeh said, “One thing I did not hear about was the Finance Minister. I thought he would speak about it but he did not.” And all that he said was just a summary, he did not give details about the measures. He said he would do a review of imports, but he did not give us the details as to what kind of review he would do. “

    Meanwhile, he said the President should establish a Committee which includes stakeholders especially rice producers to review the imports as stated and as well update the public on the whole process.

    He was also of the belief that the injection of dollars in the system will help stabilise the cedi.

  • National dialogue is not the solution to current economic crisis – Lecturer

    A national debate, according to Dr. George Domfeh, a Development Economist at the University of Ghana, is not the answer to Ghana’s economic dilemma.

    This comes after John Dramani Mahama, a former president, alleged that Ken Ofori-Atta, the minister of finance, had been concealing his activities behind Ghana’s dire economic state the entire time.

    The Akufo-Addo administration has been urged by Mahama to be transparent and to consult with the “best minds” among Ghana’s decent citizens.

    “The government should come clean and tell us, ‘What is the state of the economy?’ You must put everything on the table…That is why I called for a national dialogue. I said bring the best brains together. I have been president before, it served me well. I called the Senchi Forum, it didn’t reduce my stature as President,” Mahama added.

    Speaking in an interview with the host of Atinka FM’s AM Drive Kaakyire Ofori Ayim, Dr George Domfeh, said the call for a national dialogue is needless.

    He explained that the current economic crisis is “God sent” adding that it has exposed how vulnerable Ghana’s economic situation has been.

    Read Also: Economic crisis: “Mahama’s call for national dialogue apt”- Amon Kotei

    According to the development economist, factories that could have mitigated our crises have been left to rot in the bushes.

    “The call for a national dialogue is needless as the solution to our economic crisis is right in front of us.” I believe the current crisis is God-sent, especially for a country that does not prioritize local industries and has left factories from the Nkrumah era to rot.

    “What national dialogue do we need again? Belgium doesn’t grow cocoa, but they have built factories to make chocolates from cocoa. Cocoa is giving Belgium so much money, yet we take pride in exporting our cocoa to these countries, and we are here talking about a national dialogue. We import toothpaste into this country. Are we serious?”,” Dr. George Domfeh told Kaakyire Ofori Ayim.