Finance Minister Dr. Amin Adam has voiced serious concern over the prolonged drought in Northern Ghana, warning that it could significantly impede the country’s economic development.
The drought, which has lasted for over two months, has heightened fears about food security and the welfare of many farmers in the region.
With insufficient rainfall stalling crop growth, the outlook for a successful harvest is bleak, leaving numerous farmers in a difficult situation.
In a press briefing in Accra on Monday, August 26, Dr. Amin Adam addressed the extensive impact of the drought, noting that the crisis affects not only agriculture but also poses a broader threat to the national economy.
He acknowledged that even those managing the economy, including himself, are feeling the effects of this environmental challenge.
Dr. Adam expressed that the drought has undermined hopes for strong economic growth this year, emphasizing the urgent need to address the situation to lessen its impact on the country’s development.
“For those of us in charge of the management of the economy, we’re directly affected from different perspectives. Number one: Our focus as a government [after] having stabilised the economy, and we’re seeing the micro fundamentals improving day by day. We decided that we would focus on economic growth and we saw the numbers.
“Last year, [2023] ending [we had] 2.9% economic growth, the first quarter of this year, achieving 4.7% growth. We were expecting that this trend will continue till the end of the year. But we realised that one of our growth poles, if you like one of the major contributors to our growth, which is agriculture is now facing challenges.
“It simply means that our economic growth trajectory is in danger, our economic growth is in danger. We also look at it from the perspective of pricing, we have seen for some time now that inflation [is] going down from about 54% inflation by the end of 2022 to about 20% inflation in June this year [2024].”
