The Member of Parliament for Nhyiaeso, Dr Stephen Amoah, has called for a major shift in Ghana’s economic policy framework, arguing that the largely free-market system is contributing to the high cost of living and has failed to sufficiently improve the welfare of citizens.
Presenting a statement in Parliament, Dr Amoah proposed a mixed market economy, combining state intervention with market-driven principles, to address economic inequalities and improve living standards.
“The call for this new paradigm shift has been necessitated generally by decades of high cost and low standard of living which have been holding up the expected utility and satisfaction of the citizenry,” he said.
Dr Amoah acknowledged that free markets protect private property rights and encourage private-sector participation but said the system has significant weaknesses in Ghana.
He argued that monopolies, oligopolies and cartels are able to dominate markets, create artificial shortages and increase prices at the expense of consumers.
“In an ecosystem such as ours in which business actors are predominantly profiteering, absolute free market economy will rather do us more economic harm than good,” he stated.
The Nhyiaeso MP also said Ghana’s free-market structure has created a disconnect between economic growth and improvements in the living standards of ordinary citizens.
He noted that although the economy may record positive performance indicators, the benefits often take too long to reach households because of inefficiencies within the market system.
As an alternative, Dr Amoah cited the United Kingdom, United States and Germany as examples of advanced economies operating mixed-market systems.
He urged Parliament to consider legislative or policy measures to facilitate a shift towards a mixed market economy. He proposed that relevant parliamentary committees study the issue and advise on whether a new law or executive policy framework should be introduced.
Dr Amoah also called for price-cap laws or policies to control what he described as excessive charges imposed by monopolies, oligopolies and cartels.
Beyond market reforms, he called for broader reviews of Ghana’s economic policies, including inflation targeting, fiscal anchors, fiscal targets and the country’s approach to managing exchange-rate volatility.
He expressed hope that Parliament and the Executive would give serious consideration to the proposals as part of efforts to address Ghana’s socioeconomic challenges and improve the welfare of citizens.