In normal political discussions in Ghana, particularly among the country’s elite, Dr. Mahamudu Bawumia frequently faces criticism due to his dual role as Vice President and Head of the Economic Management Team (EMT). Despite relentless efforts by the opposition NDC to depict him as the least effective Vice President, empirical data contradicts this narrative. In this article, I present a compelling argument based on two key macroeconomic indicators: the GDP-debt ratio and the Primary Balance.
To begin with, the debt-to-GDP ratio serves as a crucial metric in assessing a nation’s economic health. The debt-to-GDP ratio, denotes the proportion of a country’s debt to its gross domestic product (GDP). This ratio, typically expressed as a percentage, serves as a measure to assess a country’s capacity to service its debt obligations. A lower ratio indicates a more favorable fiscal position, suggesting that the country’s economic output is relatively robust compared to its debt burden. Analysis of historical data under the 4th Republic reveals that notwithstanding global economic shocks, Ghana has witnessed notable improvements in the debt-to-GDP ratio under Dr. Bawumia’s stewardship, signifying a more sustainable fiscal trajectory compared to previous administrations under the fourth Republic.