The partial lockdown on Accra, Tema, Kasoa, and Kumasi could not have stayed on for a long time because Ghana’s economy is dominated by the informal sector according to the Finance Minister. The Ghanaian economy, which is largely informal sector, could not sustain that decision beyond the three-weeks.
The partial lockdown which was announced by President Akufo Addo on 27th March 2020 could not stay on for more than 3 weeks it would have greatly affected those who do hand to mouth work on wages and so this was one of the reasons why it was lifted.
At an event organized recently at the Jubilee House, the Finance Minister said it was necessary to lift the lockdown.
“When you look at what happened during the lockdown. It was quite clear after a point that given the 90% of our population is informal and they go out each day to earn wages, M,” he said.
He added that even though the government is taking some fiscal and alleviation measures to help households and business in Ghana at these difficult moments, it was not enough and Ghana’s economy could not have done more considering the fact that the coronavirus pandemic has sent the country’s economy backward and stagnating growth. Ghana’s economic growth rate increase was 6% for the last three years and may reduce drastically to 1.5% or less. The Coronavirus (COVID-19) pandemic has had a significant adverse impact on the global economy. Already, President Akufo-Addo has stated that the effect of the COVID-19 pandemic could affect Ghana’s growth from 7 percent on average to 2.5 percent if the situation persists until the end of 2020.