The Director of the Institute for Statistical, Social and Economic Research (ISSER) at the University of Ghana; Prof. Peter Quartey, remains unconvinced by the effectiveness of blanket subsidies.
Prof. Quartey said he did not believe in wholesale subsidies because “you cannot subsidise both the rich and poor at the same rate.”
“If you need to subsidise, it needs to be targeted,” he said during the Citi Business Festival Cedi Summit on Monday, June 27, 2022.
He referenced the free utilities Ghanaians got during the COVID-19 pandemic in 2020, which he noted should have been targeted.
“You subsidise for homes that have four or five air conditioners. I think we need to target our subsidies very well,” Prof Quartey said.
The money spent on resources could in turn be targeted at other sectors, he said.
This submission came as Prof Quartey spoke about how various issues had affected Ghana’s economy.
Prof. Quartey’s session during the summit was under the theme, “the effects of global economic conditions on Sub-Saharan countries”, where he spoke about how the activities in the west impact economies in Africa.
The Cedi Summit is being organised by Citi TV in partnership with the Institute of Statistical, Social and Economic Research (ISSER) and ABSA Bank Ghana as part of this 2022 Citi Business Festival.
