The Cost of Politics in Business: Why Ghana’s Growth Hangs in the Balance
Ghana stands at a critical juncture. A nation brimming with entrepreneurial spirit and youthful energy risks stunting its economic potential due to the growing politicisation of business. At the 2025 Kwahu Business Forum in Mpraeso, Minority Leader Alexander Afenyo-Markin sounded a clarion call: political interference in Ghana’s business landscape is eroding investor confidence, stifling innovation, and threatening the private sector’s growth. His words resonate with urgency, and it’s time we listen.
Imagine a young Ghanaian graduate with a groundbreaking tech idea or a small-scale farmer ready to scale their cocoa business. Their success should hinge on talent, grit, and market demand—not political connections. Yet, Afenyo-Markin highlighted a troubling reality: partisan considerations increasingly dictate access to state contracts, loans, and opportunities. “When everything is politicised, from cocoa purchasing to road contracts, you push away people who just want to work hard and succeed,” he warned. This systemic flaw doesn’t just discourage honest effort; it breeds inequality and resentment, alienating the very youth who are Ghana’s future.
The numbers paint a stark picture. Ghana’s economy, once a beacon of growth in West Africa, has faced volatility, with inflation hitting 54.1% in 2022 and public debt soaring to GHS 742 billion by 2024. Corruption and mismanagement, often tied to political favoritism, cost the nation an estimated $10 billion annually. When contracts go to politically connected firms rather than competent ones, inefficiency festers, and investor trust wanes. Afenyo-Markin’s call for meritocracy isn’t just rhetoric—it’s a blueprint for survival. “Ghana’s future cannot be built on partisan loyalty; it must be built on merit,” he asserted, urging leaders to foster fairness in public economic affairs.
The private sector, the engine of job creation, suffers most. When businesses must navigate a maze of political allegiances to secure funding or contracts, innovation takes a backseat. Young entrepreneurs, who make up a significant chunk of Ghana’s population, are sidelined if they lack the “right” connections. Afenyo-Markin’s message to the youth was clear: reject the shortcut of political favoritism. Instead, demand a system where hard work and creativity are rewarded, not party loyalty.
So, what’s the way forward? First, Ghana needs transparent, merit-based systems for awarding contracts and distributing resources. State institutions must prioritize competence over connections. Second, political leaders must champion policies that empower local businesses—think accessible financing and reduced bureaucratic red tape. Finally, the youth must hold leaders accountable, using platforms like the Kwahu Business Forum to amplify their voices.
Ghana’s potential is undeniable, but its growth hinges on depoliticising business. As Afenyo-Markin aptly put it, “We need to get to a point where your political background doesn’t determine your success.” Let’s rally behind this vision, creating a nation where every Ghanaian can thrive based on their abilities. The clock is ticking—will we seize this moment for change?
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