GHANA CEO PRESIDENTIAL GALA DINNER

Salutations

• H.E, John Dramani Mahama, My brother and Former President of the Republic of Ghana;
• Chief Executive Officers (CEOs);
• Members of the Business Community ;
• Captains of Industry;
• Distinguished Guests
• Ladies and gentlemen

1. It is an honor to be here among so many innovative and dynamic minds and to address the chief drivers of our country’s real engine of growth, the private sector. Mr. Earnest De-graft Egir and team, thank you for the invitation, and for building a network of business leaders.

•  As the presidential candidate of the New Patriotic Party (NPP) in the upcoming December 2024 elections, I have travelled across several cities, towns, and villages to seek the mandate of the people in whom the ultimate sovereignty of this great nation resides. I have seen and heard from Ghanaians from diverse groupings and persuasions; women, men, young people, the aged, professors, professionals, non-professionals, Kayayei (heard porters), the unemployed, and several other equally important groups.

•  As CEOs I believe you have also engaged different constituents. It is in this spirit that I have looked forward to the maiden edition of the presidential manifesto gala dinner, themed :

“Reigniting the Business Economy: A Manifesto for Innovation, Accountability, and Sustainable Development” as an important opportunity to share ideas that will benefit our people. I must say, this theme is in line with the content of the 2024 Manifesto of the New Patriotic Party, which is titled: ‘Selfless Leadership, Bold Solutions for Jobs and Business.’

• Ladies and Gentlemen, as a distinguished group of Ghanaians, CEOs, your contributions can elevate Ghana’s political discourse from sheer rhetoric and disingenuous manipulation of information to real issue-based civic discourse.

• This is what I have championed over the years; a focus on issue-based and data-backed public conversations. One such topic is how to reignite the business economy in Ghana.

Reigniting the business economy

• Ladies and gentlemen, as you may all be aware, Bawumia means business! From being a banker to Vice President to Presidential candidate of the NPP, my commitment to business development has been consistent. The reason is simple. When businesses do well, the economy does well, and vice versa. Show me a buoyant national economy in any part of the world and I’ll show you strong and resilient businesses behind it.

• Indeed, as many of you are fully aware, the Ghanaian economy and subsequently many Ghanaian businesses have suffered from the malaise of the recent global economic crisis, the worst since 1933. Our inflation rate rose to as high as 54% in 2022 with attendant currency depreciation Our debt levels also increased significantly.
• I would like to take this opportunity to show gratitude to the Ghanaian people, especially the business community and the bondholders, for the sacrifices you all made in supporting government’s efforts to restructure our debts and safeguard the economy. However, the good news is; the Ghanaian economy is recovering.

• The Ghanaian economy expanded by 4.8% in Q1 and 6.9% in Q2 of 2024 – the highest quarterly GDP growth in the past five years. Non-oil GDP growth was equally strong with a growth rate of 5.6% in the first half of 2024, far higher than the 3.8% growth rate in the first half of 2023. The industry sector experienced an average growth of 8.0% in the first half of 2024. The Agriculture and Service sectors also expanded by 5.0% and 4.4% respectively in the first half of 2024.

1. It is important to note that notwithstanding the impact of the global economic crisis on our economy, it may come as a shock to some (including the former president himself) that when it comes to the 4th Republic, Former President Mahama has the worst economic performance of all Presidents in the fourth Republic. However, he seems not to understand that and continues to talk about our economic performance as if his was better.  The data shows that in virtually, all sectors of the economy: Jobs created, Gross International Reserves, Primary Balance, Trade Balance, GDP, Agricultural and Industry Growth, our government, even in the midst of the global cris,  has outperformed the Mahama Government.

1. Our government has created 2.6 million jobs between 2017 and 2024 notwithstanding the global economic crisis. This is the highest job creation by any government in the fourth republic.

1. Ghana’s gross international reserves increased from an average of $5.8 billion in the 2013-2016 period to an average of $7.6 billion between 2017 and 2023.

1. Ghana’s primary balance compared to GDP averaged -1.31% over the period 2013-2016 compared to -0.79% over the period 2017-2023.

1. Ghana’s trade balance (the difference between exports and imports) prior to 2017 was in persistent deficit (for best part of 30 years!). Between 2013 and 2016 the trade deficit averaged $2.5 billion. The trade balance improved significantly to a surplus that averaged almost $1.9 billion between 2017 and 2023.

• On GDP growth, it is worth noting that between 2013-2016, Ghana’s GDP growth averaged 3.9%. During our first term (2017-2020) GDP growth increased to an average of 5.3%. Following COVID-19 and the global slowdown, Ghana’s GDP growth declined to an average of 4.74% between 2017 and 2023.

• Agricultural GDP growth increased from an average of 2.9% between 2013-2016 to an average of 4.5% between 2017 and 2023, and

• Industrial GDP growth also followed a similar trend. After averaging 3.3% between 2013 and 2016, industrial growth increased to an average of 4.12% between 2017 and 2023.

1. In addition to outperforming the Mahama Government in almost all these areas of the economy, our government has equally implemented more social interventions (i.e. Free SHS, Free TVET), delivered more infrastructure (roads, railway, hospitals, schools, sports facilities, sanitation facilities, courts, fish landing sites, etc.)  across the country notwithstanding the challenging economy we inherited, and the global economic crisis that ensued. We have also digitalized the economy through various initiatives like the Ghanacard and Mobile Money Interoperability.

1. What all analysts, from IMF to the rating agencies agree on, is that the Ghanaian economy will grow even faster next year.  In fact, S&P puts its growth forecast for Ghana in 2025 at an impressive 5.4%. I am even more optimistic that it is possible to hit 6% if, with your vote, we are able to implement the business-friendly initiatives which I have outlined in the NPP Manifesto, some of which I will highlight here.

1. Ladies and Gentlemen, the Ghanaian economy has seen significant progress on several fronts but, teething challenges remain. Many of you, CEOs, especially those of you who do business outside Ghana will know that the challenges we face are common to our sub-regional peers and even throughout the global economy.   More than ever, there is a need for continuous innovation if we are to triumph over the challenges that we face as a country.

1.  This is why I am proposing to upgrade Ghana through innovative BOLD SOLUTIONS. It is important to note that the NPP government has demonstrated policy innovation in tackling some of the most challenging issues in our country in the last few years. In education for example, we implemented a free senior high school and free TVET policy despite the odds.  The records show that Ghana has the second highest education quality in Africa.

1. In Health, we have digitized client records, simplified the NHIS enrolment process, and extended its coverage. Government is working on the ambitious Agenda 111 project. In this most ambitious health infrastructural project, we aim to improve the well-being of Ghanaians, increase life expectancy, and employ about 72,000 health workers. Today, Ghana also has the largest medical drone delivery service in the world.

1. In Industry, our industrial policy has brought in 12 major vehicle manufacturing multinational companies, including Nissan, Volkswagen, Toyota, Peugeot, Suzuki, KIA, Honda and Hyundai. A successful policy roll-out, which, again, is now being frustrated by delays in passing a law, the Customs (Amendment) Bill 2024, which will offer zero rate custom tariff for the inputs for assembling these vehicles.

1. We have also introduced a gold-for-oil policy aimed at reducing the continued dependence on foreign exchange to finance the import of oil products. Again, we have sought to formalize the largely informal Ghanaian economy by introducing the digital property address system and the Ghana card.

1. That’s not all. The Fourth Industrial Revolution is now underway. It is changing our world. The technologies driving this transformation, such as blockchain, artificial intelligence (AI), data analytics, cloud computing, and the Internet of Things, have disrupted entire industries. Through my digitalization drive, I have proven my knowledge of the issues and my readiness to guide Ghana—especially our young people—to take advantage of digital technologies to innovate and transform our economy.

1. The list of the innovative and bold solutions is endless, and it proves a point – I am committed to sustaining our positive growth metrics and building a resilient economic structure capable of delivering broad-based and inclusive development. As leaders, you will agree with me that hardly can initiatives be a hundred percent successful at first instance. It is the commitment to the process and the constant finetuning of them that brings real transformation. The government that I will lead beginning from January 7, 2025, will relentlessly pursue innovative thinking and boldly implement the same to make a difference when I win the upcoming December 2024 National Presidential Elections.  To mention just a few:

• I know many of you in this room are eager to take advantage of the economic recovery to build back up your enterprise. Yet, you may also be struggling with a big tax burden and huge penalties slapped on top of your tax arrears. Many of you are spending precious time that can be used productively, going back and forth with revenue officers, over disagreements on what may be owed. I want to relieve you of that headache. If elected, I will do so by introducing a radically new tax system, beginning in 2025.

• My government will provide a total tax amnesty (i.e. a complete exemption from the payment of prior taxes due and the waiving of all associated interest and penalties) to individuals and businesses who failed to file taxes in previous years. 

• The intention, like all amnesties, is not to reward bad behaviour but, rather, to give the beneficiaries a fresh start. In return, my government will expect all those who benefit from this most significant gesture to invest such savings directly into creating jobs and growing their business.

• Second, from all my interactions with taxpayers, what you want is a tax regime that is easy to understand, easy to comply with, easy to enforce, softer on the taxpayer and, certainly, not dependent on the discretion of the tax collector. I pledge to give you exactly what you want.

• My government will introduce a flat tax of a percentage of income for individuals and businesses with appropriate exemption thresholds set to protect the poor. We will simplify the corporate tax system. We will reform the Value Added Tax regime by merging all levies into a single line-item levy and treat the merged levy as part of input and output VAT. The new system should allow you to complete your tax return in minutes!

• Also, everyone will be required to file a very simple tax return electronically. E-invoicing, as being implemented by the GRA will be extended to all companies. There will be no manual or paper filing of taxes. The sight of GRA officers stationed on factory and shop floors will soon be history. Faceless assessments will provide transparency and accountability and enhance the fight against corruption and the push for greater compliance.

• Let me emphasise, my government will be for business. All I ask is for business to be with me. A Bawumia Presidency will encourage and empower the private sector to finance, build, and rent or lease-to-own to government a vast number of public infrastructure, from schools to homes, and from roads to equipment and vehicles.

• We recognize the primacy of government spending in enhancing growth, and the NPP will be deliberate in directing this significant government power to the private sector. By leveraging the purchasing power of government and channeling it towards the private sector, Ghanaian businesses will have a stable and increased pipeline of projects and revenues, based on which they will create jobs and services.  The government will facilitate structured long-term financing and payments options to support it. This will also lead to efficiency gains by cutting waste, corruption and ensuring value for money in procurement. My focus is to find solutions and not to echo problems, repetitively.

• To achieve this, I will

1. increase Public-Private-Partnerships (PPPs) as an important financing model for delivering public infrastructure projects, including schools, housing, water, and roads

1. cut 3% of GDP from government expenditure (GH₵30 billion), and redirect it towards private sector provision of public infrastructure and services, as earlier stated

1. leverage government’s purchasing power to stimulate industrial expansion and business growth with a strict “Buy Ghana First” policy, under which all goods and services procured by the public sector will first be sourced from local producers or service providers

1. establish an SME Bank to meet the special financing needs of small and medium businesses, which employ over 80% of Ghanaians, especially women
2. set up a Women’s Trade Empowerment Fund to support women-owned businesses with funds for expansion and working capital

• offer start-up companies Investment Tax Credits (ITC) for the first three (3) years of their operations

• make the cost of electricity cheaper for industries by making commercial tariffs equal or lower than residential rates

• introduce a flat rate system of duties for all importers

1. lower port charges to compete with charges in regional ports, particularly, Lome, Togo

• Today, we made history when I launched the first individualized credit scoring regime in Ghana, MyCredit Score. We are going to use the Credit Scoring System to enable the average Ghanaian to buy on credit: “Buy now, pay small, small”. This will increase domestic demand, increase production and create jobs
• establish a Fintech Fund with seed capital of US$100 Million (GH₵1.6 billion) to attract additional private sector funding to support Ghanaian start-ups developing payments and financial services solutions

• provide venture funding and grant support for commercially viable tech projects by Ghanaian start-ups to drive innovation, foster high-tech entrepreneurship, create jobs, and grow Ghanaian high-tech businesses, and

• complete the digitalisation of land titling and registration to allow owners of landed properties to use their assets to raise capital for business growth and expansion.

• Sustainable development and accountability

My vision for Ghana is to implement bold innovative solutions to ensure sustainable development. Beware of those seeking short-term mandates and promising quick fixes. They don’t last. Sustainable development is not an alternative, it is our only option. In Ghana, 73% of the population is 0 to 35 years old. This means that about seven in ten Ghanaians are children and young people. The present and future generations are counting on us for quality and more affordable education. They are counting on us for improved health services, peace and security, reliable food supply, a safe environment, clean water, and above all sustainable jobs and economic prosperity.

• The NPP Manifesto, which some have described as the greenest manifesto, makes clear my commitment to protecting our environment. My government will enhance the protection of our forests and biodiversity hotspots and restore our forests through reforestation programmes.

• We will usher in a Golden Age for Ghanaian-owned small-scale Mining for Wealth and Jobs, and promote responsible and sustainable small-scale mining, including addressing illegal small-scale mining by:
• making available proven reserves data to small-scale miners to help deal with the associated problem of trial-and-error digging for gold, and
• simplifying the small-scale mining licensing regime.
• Establishing a minerals development bank

• This is expected to impact positively in improving the lives of, particularly, the estimated 3 million Ghanaian livelihoods that are said to depend on small-scale mining.

• My aim, over the first four years, is to ramp up economic activity across board to achieve, and sustain, at least, an average 6% growth, which will be positive for job creation and enhance living standards of the Ghanaian worker.

• Distinguished Ladies and Gentlemen, I want to build a Ghana where we leverage technology, data and systems for inclusive economic growth. I want us to apply digital technology, STEM, robotics and artificial intelligence for the transformation of agriculture, healthcare, education, manufacturing, fintech and public service delivery. To do this and more,

• we will train 1,000,000 young people in all areas and levels of digital skills, including software developers to provide job opportunities worldwide. I want to eliminate the digital divide by achieving 100% internet penetration in Ghana by 2028. Already, we have increased internet penetration from 34% in 2016 to some 70% today. I am determined to not let Ghana miss out on the Fourth Industrial Revolution as our continent did on the Industrial Revolution some centuries back.

• Enhancing Accountability

Ladies and gentlemen, without accountability, there will be no trust, and without trust, the economy will not thrive. Trust is the bedrock of any economy, and we must establish systems that foster this trust between businesses, the government, and the people of Ghana. My administration will continue to strengthen anti-corruption institutions and streamline government processes by making them simpler for you to start, operate, and expand your businesses without bureaucratic hurdles. We aim to make doing business in Ghana more transparent, efficient, and attractive to local and international investors.

• Accountability is part of our strategy to build a resilient, business-friendly economy for growth and jobs. As indicated in our manifesto, we will make better use of public policy and resources to finance business growth and jobs by ensuring exchange rate stability as well. To do this; we will

1. use our tried and tested Gold Purchase Programme to stabilise the currency, to give businesses and industries predictability in planning, and ensure stability in input prices, and
2. reduce the minerals export tax to 1% to discourage gold smuggling and support Bank of Ghana’s purchase of gold.

• Furthermore, we will improve transparency in the distribution and use of public monies by adopting digital solutions and open-data platforms, ensuring that all citizens are aware of the efficient and responsible use of their hard-earned money.

Conclusion

• Ghana is at the crossroads of a unique opportunity. Our economic situation is improving in line with targets. We have what it takes to build an even stronger, more robust, creative, and open economy.

• As you can see from my submissions so far, every theme mentioned is followed by concrete steps and actions to achieve results. In creating a business-friendly economy, we will take bold and pragmatic actions.

• Our proposed solutions are best for the country, especially when the difference between the two choices confronting us as a people is undeniably vast, from our respective track records to vision and programmes.

• Moreover, four years from today, you can bring me back here to stand before you and render account to you on how far we have gone in fulfilling this ambitious promise that I make to the Ghanaian people today. What about my opponent?

• Distinguished Ladies and Gentlemen, it is possible to reignite the business economy through continuous innovation, enhanced accountability, and commitment to sustainable development if we put our minds to it and work hard at it. Everyone has a role to play.

• I believe I have demonstrated my selflessness and personal integrity through public service. I have served with utmost sincerity, passion and excellence. I have never asked “what is in it for me?”

• I humbly ask for your support so that together we can work to transform our country and deliver prosperity to our citizens.

• I offer myself in your service as your Selfless Leader, proffering bold innovative Solutions for Jobs and Business. I am counting on your support for this mission.

• Invest your trust in me. I will not let you down. I know of the challenges that you have been through. It is what kept me awake and how to help you back is what keeps me awake. This is my commitment to you, and I shall account for every pledge I have made before you today.

The choice is ours. Let us choose wisely.

• Thank you for your kind attention. God bless our homeland Ghana.