The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney, a part of the Euromoney Institutional Investor PLC.

Black star with a dose of the blues

Not for the first time Ghana, called by independence leader Kwame Nkrumah the Black Star of Africa, has sought to build on prosperity to create a regional leadership position. As before, such hopes have crumbled as commodity prices have fallen, the local currency has depreciated and import dependency has persisted. Chris Cockerill reports

       
Rawlings: poor prospects as he bows out

Ghana, it seemed, was doing all the right things. Its sound fiscal and monetary policies were beginning to pay dividends by the mid-1980s, as the country aspired to regional leadership. Under president Jerry Rawlings, the flight lieutenant who seized power in a coup in 1979 and then again in 1981 before being elected president in 1992, Ghana was set on the road to prosperity. Foreign exchange restrictions were lifted, markets were opened up and a privatization programme was implemented. Ghana thought itself ready to lay claim to the title "The Gateway to West Africa". But by 1998 Rawlings's republic started to look a little shaky and by 1999 the economy had begun to nose-dive.


The gateway has become an emergency exit. "The country received very positive publicity when the idea was aired," says Philip Ihenacho, director of London-based Afrinvest, "but underneath all the reforms Ghana is still a commodity-based economy.


You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree