The solution is therefore not to dilute the mandate of the Bank of Ghana, but rather to improve coordination between institutions responsible for macroeconomic stability and those responsible for structural transformation and employment creation.

The NDPC, Ministry of Finance, Ministry of Trade and Industry, Ministry of Education, and private sector stakeholders all have critical roles to play in building a jobs-centered development strategy.

Meanwhile, the Bank of Ghana must continue focusing primarily on maintaining price stability and anchoring inflation expectations — a responsibility that remains essential for protecting household purchasing power, supporting investment planning, and maintaining confidence in the economy.

A high-inflation environment ultimately hurts workers and businesses the most.

To be clear, there may be short-run trade-offs between price stability and employment growth

Monetary policy tightening aimed at reducing inflation can temporarily slow economic activity and weaken labour market conditions.

However, in the long run, such a trade-off is largely non-existent. Sustainable employment growth cannot occur in an environment of persistent macroeconomic instability, high inflation, and unanchored inflation expectations.

Indeed, price stability itself is one of the most important foundations for long-term job creation and private sector growth. Businesses are more likely to invest, expand production, and hire workers when inflation is stable, interest rates are predictable, and the macroeconomic environment is credible.

Ultimately, the NDPC deserves commendation for initiating this important national conversation.

Ghana’s long-term development strategy must place greater emphasis on employment creation, labour productivity, and structural transformation.

However, reforms must also preserve the institutional credibility and price stability mandate of the Bank of Ghana.

As such, a broad stakeholder forum involving policymakers, economists, labour unions, businesses, academia, and financial institutions would be valuable in fully discussing the future direction of Ghana’s macroeconomic framework and the appropriate mandate of the central bank.

The writer is Assistant Professor of Economics, Niagara University, NY and a Member of Research Committee, Tesah Capital.

By DENNIS NSAFOAH