Economic Stability Alone Not Enough to Drive Job Growth – Analyst

Economic Analyst Emmanuel Boateng has cautioned that while Ghana’s recent macroeconomic stability is a step in the right direction, it is not sufficient to drive meaningful job creation.
His remarks underscore growing concerns about the pace of employment recovery, despite signs of macroeconomic improvement, and highlight the need for policies that stimulate demand and support private sector growth.
Speaking on Business Breakfast on Zed 101.9FM with Nii Trebi Hammond, Mr. Boateng explained that economic stability is a necessary foundation for employment growth, but it does not automatically translate into job opportunities without other critical factors in place.
According to him, Ghana’s current economic recovery appears to be driven largely by macro-level adjustments rather than strong private sector expansion
He noted that the private sector, which is expected to absorb a significant portion of the country’s labour force, is still struggling to do so.
“The businesses are seeing improved conditions, but not enough improvement to justify hiring excess labour,” he stated.
Mr. Boateng explained that without sufficient demand for goods and services, businesses have little incentive to scale up production or expand their workforce.
“If consumer demand remains weak, firms have very little incentive to expand production or hire more workers,” he said.
He further pointed to persistent cost pressures facing businesses, even as inflation shows signs of easing.
Mr. Boateng stressed that what Ghana’s economy currently lacks is confidence-driven expansion, a phase where businesses transition from merely surviving to actively pursuing growth.