President Akufo-Addo has mounted a strong defense of his government’s industrialization agenda in a bid to grow Ghana’s economy.
The President says the flagship one district, one factory program should create employment and improve livelihoods.
President Akufo-Addo made the remarks at the Financial Times Africa Summit where he also justified the recent economic relationship with China to develop Ghana’s bauxite industry.
The New Patriotic Party is convinced that the country’s growth prospects lie mostly in a strong manufacturing sector.
The government prides itself in the marked improvement in the contribution of the industrial sector to Gross Domestic Product (GDP) referring to the total value of all goods and services produced within a particular year.
Industry witnessed 17.7 percent growth as at the end of last year; up from the negative half a percent recorded in the preceding year.
This has also contributed to the increase in economic growth from 3.7 to 8.5 percent.
The President affirmed the impact of the one district, one factory program at the Financial Times Africa Summit.
“There is some raw material there that can be the subject of processing and industrial development. And that is what we are talking about. We want to add value to each of these raw material resources and at the same time, provide the basis for spreading the benefits of economic development throughout our country. We strongly oppose to the idea of concentration in one or two areas. Already we have a big problem or challenge of lots of young men leaving villages in the rural areas to congregate in one or two important centers.”
Again, Ghana’s recent engagement with China has attracted an array of comments from trade analysts.
While some have argued in support of the move, others have urged caution citing possible effects on Ghana’s local economy.
But in a strong defense of the Sino hydro deal, President Akufo-Addo said he is convinced of the significant impact of Ghana China relationship on the local economy.
“The arrangement has been structured rather as a barter deal, whereby we will establish a refinery and smelting process in Ghana; create the value chain in the country for the export of the finish product, alumina, back to China in settlement of this debt. Those are the arrangements we are making with China. We think they are intermittent arrangements and they help us.”
Source: Citi Business News