Ghana must break free from the middle-income trap – Dr K.Y. Amoako

Ghana risks long-term economic stagnation unless urgent steps are taken to move beyond its lower-middle-income status, Dr K.Y. Amoako, Founder and President of the Africa Centre for Economic Transformation (ACET), has cautioned.

Speaking at the National Economic Dialogue (NED) 2025 at the Accra International Conference Centre on Monday, March 3, 2025, Dr Amoako noted that while Ghana has made economic progress over the years, its transition to a high-income economy has stalled.

Citing the World Bank’s World Development Report, he revealed that Ghana is among 108 nations that have remained in the lower-middle-income bracket since 1990.

“We may take solace in knowing we are not alone, but that should not be an excuse for inaction,” he said.

Dr Amoako pointed out that Ghana’s Gross National Income (GNI) per capita remained below $400 for nearly four decades before rising to the current $2,400.

Without a structured plan for economic transformation, he warned, the country could remain at this level indefinitely.

He stressed that long-term economic success depends on policy consistency, strong leadership, and a clear national development vision.

“Economic transformation takes decades, not years. But it should not take another 50 years for Ghana to become an upper-middle-income country,” he stated.

Dr Amoako urged the government, led by President John Dramani Mahama, to use the reset agenda as an opportunity to reposition the economy for long-term growth.

He also called for an end to fragmented development efforts that have slowed progress.

He emphasised the need for industrialisation, innovation, and integration into global value chains, arguing that these would be crucial in lifting Ghana out of its current economic predicament.