Ghana Mutual Prosperity Dialogue a crucial test for Government’s sincerity, PwC asserts
In a stern commentary on the 2024 budget presented to parliament on November 15, 2023, auditing and accounting firm PwC emphasized the imperative for the government to translate promises into tangible actions. PwC asserted that the government “must walk its talk, not merely engage in rhetoric” to effectively address economic challenges.
The commentary highlighted the Ghana Mutual Prosperity Dialogue as a crucial litmus test for the government’s sincerity. This dialogue series is designed to comprehensively understand the private sector’s needs and formulate practical strategies to enhance the ease of doing business in Ghana. The government plans to engage with key sectors such as agriculture, energy, finance, hospitality, manufacturing, mining, retail, and telecommunications.
PwC underscored the significance of the Dialogue, stating that various stakeholders would closely monitor how the government, particularly the Ministry of Finance, utilizes this platform as a resource for economic management.
Citing findings from its pre-budget survey, PwC revealed a deep-seated mistrust of the government among businesses and professionals. Less than 30% of respondents believed that the Minister’s 2024 budget would include necessary interventions to meet macroeconomic targets. Over 85% expressed skepticism about the government achieving the primary balance target of 0.5% of Gross Domestic Product in 2024, an election year.
Moreover, less than 15% of survey participants believed in the government’s commitment to utilizing the Ghana Mutual Prosperity Dialogue effectively to drive 2024 macroeconomic growth goals. PwC emphasized the need for the Ministry of Finance to go beyond technical mandates, urging proactive engagement, communication, and creative outreach to build trust and understanding among the public.
The commentary concluded by stressing that, considering the challenges faced in 2022 and the Domestic Debt Exchange Programme (DDEP) experience in 2023, the Ministry of Finance must communicate its plans and actions clearly and creatively to gain public confidence and support. The analysis indicated that successful execution requires more than technical competence—it necessitates effective communication and engagement strategies.
“Without a doubt, the picture is not pretty. And this should not be surprising with the memory of the challenging year of 2022, and the DDEP [Domestic Debt Exchange Programme] experience in 2023”.
“What this reveals to us is that the Ministry of Finance can’t simply focus on its technical mandate and on executing the IMF-supported PC-PEG. It cannot simply go ahead and execute the budget. It must seek to proactively engage and communicate its plans and actions, and results thereof, in as simple terms as possible. It should be very creative about such communication to be able to reach the masses and for people of various walks of life to understand what it is doing to execute its mandate”, it stated.
