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Home Business Economy

Ghana’s wealth is underground, but poverty is a choice: how discipline and institutions trump natural resources

Kelvin KokrokobyKelvin Kokroko
September 25, 2025
in Economy, Opinion
Reading Time: 2 mins read
Ghana’s wealth is underground, but poverty is a choice: how discipline and institutions trump natural resources

Ghana is not poor because God denied the country resources. On the contrary, the nation sits atop a mountain of blessings: gold glitters beneath the soil, cocoa thrives in its forests, oil flows from its seas, and the coastline opens doors to global trade. Fertile lands, abundant rivers, and a youthful population suggest Ghana could be an African Switzerland. Yet the reality is stark: broken roads, erratic electricity, collapsing schools, and an economy perpetually on life support. Every government since independence has contributed to this conundrum; none is blameless.

Compare this with Switzerland, a landlocked country with no gold, no oil, and very limited arable land. The Alps dominate the landscape — beautiful but resource-poor. Yet Switzerland is one of the richest nations on earth, with high living standards and institutions that are admired worldwide.

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To understand the paradox, imagine a thought experiment: overnight, Ghana and Switzerland swap populations. The Swiss inherit Ghana’s resources; Ghanaians inherit Switzerland’s mountains, lakes, and institutions.

The Swiss in Ghana would transform the country rapidly. Gold would stay and be processed locally, cocoa would generate high-value exports, ports would function efficiently, contracts would be enforced, and corruption punished. Within a generation, Ghana could emerge as a global economic powerhouse.

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Ghanaians in Switzerland, however, would likely dismantle decades of institutional efficiency. Trains would run late, public finances would wobble, corruption would creep in, and merit would be replaced by political loyalty and tribalism. Wealth and systems built over centuries would collapse, and excuses would follow.

This is not an insult; it is a mirror. Natural resources are not enough. Without discipline, honesty, and strong institutions, wealth becomes a curse, not a blessing. Ghana’s history illustrates this: colonial-era infrastructure like Korle Bu Teaching Hospital, Achimota School, and national harbours have deteriorated. Rail lines that once linked the country have collapsed. Institutions designed to function efficiently have been weakened by neglect and corruption.

The core problem is not resource scarcity but a scarcity of responsibility. Ghana has educated people, but too few disciplined ones. Talent exists, but much of it is misdirected. Laws exist, but enforcement is selective. Corruption is often treated as a career path rather than a risk. Public office is a tool for survival, not service.

The uncomfortable truth is that Ghana is poor by choice. Not because of a lack of natural resources, but because of a failure to build and maintain systems that convert those resources into prosperity. Switzerland prospered not because it had mountains, but because its people built institutions that worked. Ghana’s gold produces little because its people built excuses instead.

The future, however, is not hopeless. Prosperity depends on investing in brains, discipline, and strong institutions. Classrooms, workshops, and governance structures — not just the soil — are the real mines. Only by shifting focus to these can Ghana’s natural blessings yield the wealth they promise. Until then, the hypothesis remains painfully accurate: given the chance, we would ruin even Switzerland in a year.

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# Minority questions government's explanation on frozen contingency fund for flood response The Ranking Member on Parliament's Works and Housing Committee, Martin Adjei Mensah Korsah, has questioned the Finance Minister's explanation that a court order freezing Ghana's constitutional contingency fund prevented government from accessing emergency resources to respond to recent flooding in Accra. According to the Suame Member of Parliament, the explanation is surprising and appears inconsistent with earlier assurances given by government regarding its emergency response to the floods. His comments follow the presentation of the 2026 Mid-Year Budget Review by the Minister for Finance, Dr Cassiel Ato Forson, who disclosed that government's efforts to access the constitutional contingency fund had been frustrated because the account had been garnisheed under a court order. The Finance Minister described the contingency fund as Ghana's only constitutionally established emergency fund and expressed concern that its unavailability had limited government's ability to respond swiftly to disasters. Speaking on JoyNews' *The Pulse*, Mr Mensah Korsah questioned how Cabinet could have approved emergency flood interventions without being aware that the contingency fund was legally inaccessible. "That's quite a big surprise. The aftermath of the rains and the subsequent overwhelming flooding that we saw, every step that the government took, we in Parliament were made to believe, was as a result of a government emergency response born out of Cabinet deliberations," he said. He argued that if Cabinet had authorised the interventions, it was difficult to understand how ministers, particularly the Attorney-General as government's chief legal adviser, were unaware of the court order affecting the fund. "If the Cabinet of Ghana could convene and brainstorm on measures to mitigate subsequent floods and decided to assess money from the contingency fund and it never occurred to Cabinet, of which the chief legal advisor to the President, Attorney-General, is a member, and they did not know that the contingency fund had a garnishee order, then it's quite strange. Absolutely strange," he stated. Mr Mensah Korsah said the development raises concerns about coordination among government ministries and agencies responsible for disaster management. "I don't even know then how these agencies or departments or ministries of government are coordinating to work," he said, adding that the explanation suggested a lack of synergy within government. He further maintained that the Attorney-General's presence in Cabinet should have ensured ministers were fully informed about the legal status of the contingency fund before announcing emergency measures. "There is no way the Attorney-General who sits in Cabinet, chief legal advisor, wouldn't have known the state of this contingency fund. And for you to have come to the Parliament of Ghana, spoken to the whole country, outlined these measures only for us to be told that you went and you couldn't access the money. How are you working as a government?" he asked. ### GARID project The Ranking Member also rejected claims by the Finance Minister that the previous Akufo-Addo administration had mismanaged the Greater Accra Resilient and Integrated Development (GARID) Project. He described the allegations as "complete falsehoods" and accused government officials of presenting conflicting accounts in public and before Parliament. According to him, World Bank implementation reports issued in September 2024 and May 2025 did not identify any misuse of project funds by the previous administration. "At nowhere does the World Bank find any wrongdoing or misuse of money. No, you don't find it anywhere," he said. Instead, he argued that the reports pointed to delays by the Ministry of Finance in releasing funds needed for implementation of the flood mitigation project. "One would have thought that the Finance Ministry would eat a humble pie and get to fix this problem. Rather, when the World Bank report indicts them for sitting on money and not releasing funds for GARID to be completed, they rather turn their backs on propaganda," he stated. Mr Mensah Korsah also disclosed that during a recent meeting of Parliament's Works and Housing Committee involving officials from the Ministries of Finance, Works and Housing, and Sanitation, no allegations of financial impropriety concerning the GARID project were raised. He explained that discussions focused on consultant payments under the World Bank-funded programme, noting that project components cannot be altered without the lender's approval because of the strict implementation framework governing World Bank-financed projects. The debate over government's flood response has intensified following the recent floods in parts of Accra, with renewed calls for improved drainage infrastructure, timely release of project funds and stronger coordination among institutions responsible for disaster prevention and emergency response.

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