“Our brother President Mahama needs to act fast. He needs to sack the Finance Minister, Mr. Seth Terkper from his post or Mr. Seth Terkper would ensure that he loses the 2016 elections. You don’t need a rocket scientist, or an economist trained from the Mars or Jupiter to tell you that we are heading towards the danger zone.” The above are the exact words from a disappointed Member of Parliament (MP) from the ruling National Democratic Congress (NDC) in a private conversation I had with him on the current economic situation in the country.
As a sympathizer of NDC myself (although not a fanatical one) I am alarmed by the daily insults from the general Ghanaian public from the tro-tros, taxis, the buses, markets, at the universities, polytechnics, government MDAs (Ministries, Departments and Agencies), the banks e.t.c. This reminds me of the late 2000 when we were exiting power. But from what am hearing and seeing, if something is not done now to remedy the situation, by December 2016 when we are going for another election, the image of our President, our party and our government will be so battered that the episode of the year 2000 will pale into insignificance.
If we are not careful, we will not only lose the elections, but also it will be difficult for us to come back to power again, given the level of our performance in terms of the management of the economy. This is coupled with the fact that this nation has been endowed with an opposition who are very adept at propaganda and outright lies. They will ensure through their propaganda that we are painted as black as possible. And if we are to lose the election, they would continuously remind the people of our economic performance while in power. So, Mr. President, you have to act and act now, because we are moving to the point of no return.
Before I put my pen and paper to write this article, I have had a wider consultation within our party, the NDC and spoke to some members of the opposition NPP and there is unanimity across the divide that the current finance minister, Mr. Seth Terkper is not fit to manage an economy like that of Ghana. His background as an auditor/accountant and a tax expert may be enough qualification to manage an economy given the fact that in some developed countries even historians are appointed as finance ministers. But the issue at contention is not that he lacks the requisite qualification but he does not have the requisite competence, the negotiating skills, the human-centered feelings, the leadership skills to manage this economy. People who have worked with him during his VAT days in the 1990s and when he was the Deputy Minister from 2009 will attest to the fact that Mr. Terkter is not only a bad leader and autocrat, but also has very bad human relations. He finds it difficult to even sit with people and discuss difficult or even simple issues and he is impervious to advice. He thinks he knows everything and anything from anybody is wrong and he is always right. He has very little or no respect for his subordinates. And he sees people with differences of opinion as enemies. That is the mentality of somebody who is managing the Ministry of Finance with population of somewhere close to 1000 people! That is the mentality of somebody who needs to negotiate with the vociferous labour unions of Ghana frequently! That is the mentality of a finance minister who needs to build consensus in a highly polarized Parliament! That is the mentality of a finance minister who needs to dialogue with the financial institutions like banks, insurance companies and businesses! That is the finance minister who has to negotiate with Ghana’s bilateral and multilateral partners for support!
No wonder Mr. Terkper is very unpopular in the Ghanaian Parliament. From my investigations, both the Majority members from the NDC and the Minority from the NPP are highly in favour of his dismissal by the President. He is also very unpopular within the NDC as a party and I can say without any equivocation that the NDC members including the senior ones are eager to see the day that he will be removed from that critical position.
Unfortunately, president Mahama see things from a different lens regarding the performance of the finance minister. Recently, in his own words, he rebuffed concerns raised by some leading members of the NDC against the finance minister and his style of management, saying the finance minister is doing well with the reforms of the economy especially the GFIMIS reforms. This position of the president is informed by what Mr. Terkper seems to have put in his head, that he is a reformer.
But the President needs to understand that you need to manage the economy among others by critically putting your eyes in the various layers of markets we have in the economy. These include the goods market, the bond market, the foreign exchange market and the money market. The most critical and volatile are the money market and the foreign exchange market. Once you get the two in the best of shapes, then you have everything right. Inflation will be right, interest rates will right, fiscal deficit will also be right, current count will be right, debt levels will also be right. So is not the question of GIFMIS reforms, because that has little or no significance to the direction of the economy.
In his early days, everything that anybody says about the economy, Mr. Terkper sought solace in GIFMIS. So the issues are GIFMIS here, GIFMIS there and GIFMIS everywhere. However, it has dawn on him now that using GIFMIS to bamboozle people especially critics has come to an end. For avoidance of doubt, GIFMIS is just accounting software, managed principally by the staff of Controller and Accountant General Department (CAGD). The finance minister has little or no role to play in the way it is managed.
Mr. President, you need to act and act fast. Time is not on your side. If you want to care, we are already in the danger zone and at a point of no return. But we need to try another hand and see if luck will be on our side, to reverse the situation. If this situation should continue, then it is better you hand over power in 2016 without even contesting the elections, because your currency alone, the CEDI will by that time be sold at GHC5 per $1 (or even more) from about GHC1.8 per $1 in February 2013 when Mr. Terkper was taking over the management of the national economy.
Any close observer of what is happening will know that Mr. Terkper is confused and has lost control; and is just like a driver being confronted with a fatal accident and doesn’t seem to know what to do. The removal of Mr. Terkper from that position will save you from further embarrassment; it will also save the image of your government and our party and then will relieve the finance minister himself from the arduous task facing him.
Any delay in taking this tough and critical decision by you the President will be regretted. You have just about few weeks remaining. The decision is your and entirely yours!
ALBERT SENAYA
[email protected]
Greater Accra Region