Not to be used or attributed without permission, saaronso@gwu.edu 1

INTERNATIONAL POLICY CONFERENCE

“COMPETITIVENESS & DIVERSIFICATION: STRATEGIC CHALLENGES IN A PETROLEUM-

RICH ECONOMY”

How Empowering the Ghanaian People Can Help Ghana Avoid an Oily Mess

Susan Ariel Aaronson

14 – 15 March 2011, Accra, Ghana

How Empowering the How Empowering the Ghanaian People Can Ghanaian People Can Help Ghana Avoid an Oily Help Ghana Avoid an Oily MessMess

Susan Ariel AaronsonGeorge Washington University and the World Trade Institute

2

Not to be used or attributed without permission, saaronso@gwu.edu

Ghana and the Resource Ghana and the Resource CurseCurse

EITI is an important step and to its credit Ghana has used EITI to build a dialogue with its people about their resources. But EITI is not accountability.

According to Revenue Watch and other observers, the Ghanaian government is working to be transparent and responsive. However, it has not adopted resource contract transparency nor has it done enough to encourage transparency and accountability in general.

Meanwhile, 70% of Ghanaians polled in 2008 believe government should act like a parent and take care of people like children.

Could imply acceptance of patronage…but what if Ghanaians were empowered to act more against corruption?

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Ghana is “branding,” in the hopes Ghana is “branding,” in the hopes of attracting investment and of attracting investment and unifying its peopleunifying its people

But what is Ghana’s brand?African success story?Is success threatened or possibly

enhanced by new oil? Can Ghana avoid the resource

curse and in so doing find a path towards economic diversification, reducing poverty and ensuring sustainable development?

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Ghana mixed performance on Ghana mixed performance on governance according to governance according to international metricsinternational metricsMo Ibraham foundation-Ghana is # 7 of

53.On World Bank “Doing business,” 67 of

183.On Revenue Watch Index-Ghana’s

transparency is “scant.”On Legatum Prosperity Index-measuring

wealth and wellbeing, Ghana is 90 of 110.On Bertlesmann Transformation Index,

142 of 179.Not to be used or attributed without permission, saaronso@gwu.edu 5

But Ghanaian people have a But Ghanaian people have a different viewdifferent viewThey are relatively pleased

with their government and optimistic about the future.

However, they see local government as corrupt.

Weak citizen engagement has reduced trust in Ghana’s governance at local level, but that trust is strong at national level.

Ghana can build on that trust. Not to be used or attributed

without permission, saaronso@gwu.edu 6

Ghana’s new brand born of trust: Ghana’s new brand born of trust: accountable, participatory and accountable, participatory and responsive governanceresponsive governance

Ghana’s brand = effective and stable democracy.

But like every government including US, Ghana has problems. Economy is not diversified, some corruption, over reliant on foreign expertise and aid.

Ghana: must find ways to improve education and

develop a well-educated productive workforce to attract investment for diversification.

should not ignore its comparative advantage in agriculture and should also focus on increasing farm productivity. It can then take advantage of rising commodity prices.

should also provide greater access to credit.

can deal with its new oil wealth and thwart corruption by empowering its people and building on their trust.

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Traditional Anticorruption Traditional Anticorruption counterweightscounterweightsCivil SocietyFree Media Access to

InformationPolitical

ParticipationElection IntegrityPolitical FinancingGovernment

Accountability Budget PracticesCivil Service

Regulations

• Ombudsman• Auditing• Taxes and Customs

Practices• State-Owned

Enterprise Safeguards

• Business Licensing and Regulation

• Anti-Bribery Laws• Anti-Corruption

Agency• Law Enforcement

Oversight

Goal: create accountable, participatory and Goal: create accountable, participatory and responsive government: The good responsive government: The good governance feedback loopgovernance feedback loop

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Some ideasSome ideasEnshrine right-to-know

legislationInvolve and empower citizensEncourage public

participation in decision making

Use every means necessary to provide information and to ask for feedback. Internet is not the answer, but given Ghana’s 63% cell phone penetration, perhaps cell phones could help empower Ghanaians. Not to be used or attributed

without permission, saaronso@gwu.edu 10

Some ideas for cell Some ideas for cell phones phones TweetingReporting bribesUsing apps that

empower citizens to report information including Ushahidi; comm.unity; see click fix.

Also can use internetwww.ipaidabribe.co

mNot to be used or attributed without permission, saaronso@gwu.edu 11

Concerns about these Concerns about these platformsplatforms

Could provide citizens and policymakers with feedback, but could also empower citizens who manipulate or exaggerate information or empower high tech lynch mobs.

Government could pressure companies to halt services or breach privacy rights.

Ghanaian government should set up firm rules to ensure protection for freedom of expression, access to information and privacy rights. In so doing, Ghana will not only disseminate integrity but become a role model for integrity.

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Spillovers of Further Spillovers of Further Empowering GhanaiansEmpowering GhanaiansBut in empowering

citizens to monitor government Ghana will become more accountable, participatory and responsive.

In so doing, oil may not make Ghana greasy.

And in so doing, Ghana may find its brand. Not to be used or attributed

without permission, saaronso@gwu.edu 13

I welcome your questions and I welcome your questions and comments……..comments……..

Not to be used or attributed without permission, saaronso@gwu.edu 14