Professor Peter Quartey, an economist, is encouraging the government to do more to boost agriculture and industries in order to considerably lower inflation rates.
Prof. Quartey said that harmonizing government policies in the industry will assist address the supply side of inflation, despite praising the government for several landmark programs such as Planting for Food and Jobs and the One District One Factory initiative.
Prof. Quartey, who is also the Director of the Institute of Statistical, Social and Economic Research (ISSER), said there is a need to improve policies to strengthen the real sector of the economy, which is the engine for development, at the Absa Bank-UPSA Roundtable Program.
"Fiscal policy is critical." The budget declaration contains certain fiscal measures, but what are they? More assistance for agriculture and manufacturing, on the other hand, is something I'd want to see. With where we are now, it is clear that we need to increase whatever policy assistance we have for the real sector."
Even if the government is reacting to particular demands of farmers, he believes it is critical to address the challenges holistically.
"I've seen the administration put in place the required institutions to establish a fertiliser industry in the nation in order to avoid a shortage." However, we must move beyond fertilisers," he stated.
"Irrigation is really important; if you look at Burkina Faso, for example, they have gone quite far into irrigation, which is why we import so many tomatoes and other things from there," he added.
Rather than growing locally, Burkina Faso was chosen. All of these are supply-side considerations."
Professor Quartey was also dissatisfied with the agricultural value chain, claiming that it has stifled expansion.
"As I said in the value chain storage section, we typically get bumper harvests when the rains are excellent. We noticed the example of plantains, which were nearly rotting due to a lack of suitable storage and processing facilities to keep some of them."
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