INTERNATIONAL POLICY CONFERENCE

1. INTERNATIONAL POLICY CONFERENCE “COMPETITIVENESS & DIVERSIFICATION: STRATEGIC CHALLENGES IN A PETROLEUM-RICH ECONOMY” How Empoweringthe Ghanaian People Can Help Ghana Avoid an Oily Mess SusanAriel Aaronson 14 – 15 March 2011, Accra, Ghana Not to be used or attributed without permission, saaronso@gwu.edu

2. How Empowering the Ghanaian People Can Help Ghana Avoid an Oily Mess Susan Ariel Aaronson George Washington University and the World Trade Institute Not to be used or attributed without permission, saaronso@gwu.edu

3. Ghana and the Resource Curse • 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? Not to be used or attributed without permission, saaronso@gwu.edu

4. Ghana is “branding,” in the hopes of attracting investment and unifying 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? Not to be used or attributed without permission, saaronso@gwu.edu

5. Ghana mixed performance on governance according to international metrics • Mo 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

6. But Ghanaian people have a different view • They 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

7. Ghana’s new brand born of trust: accountable, participatory and responsive 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. Not to be used or attributed without permission, saaronso@gwu.edu

8. Traditional Anticorruption counterweights • Civil Society • Free Media • Access to Information • Political Participation • Election Integrity • Political Financing • Government Accountability • Budget Practices • Civil 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

9. Goal: create accountable, participatory and responsive government: The good governance feedback loop Not to be used or attributed without permission, saaronso@gwu.edu

10. Some ideas • Enshrine right-to-know legislation • Involve and empower citizens • Encourage 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

11. Some ideas for cell phones • Tweeting • Reporting bribes • Using apps that empower citizens to report information including Ushahidi; comm.unity; see click fix. • Also can use internet • www.ipaidabribe.com Not to be used or attributed without permission, saaronso@gwu.edu

12. Concerns about these platforms • 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. Not to be used or attributed without permission, saaronso@gwu.edu

13. Spillovers of Further Empowering Ghanaians • But 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

14. I welcome your questions and comments…….. Not to be used or attributed without permission, saaronso@gwu.edu