A senior Economics Lecturer at the University of Ghana, Dr. Priscilla Twumasi Baffour has advised businesses to avoid politically sensitive activities to safeguard their operations in the aftermath of elections.
Her comments come as businesses in Ghana face mounting pressure to adopt Environmental, Social, and Governance (ESG) principles, aligning with global trends toward responsible and sustainable practices.
Speaking to the media during the 2024 KPMG Africa CEOs Outlook event, Dr. Twumasi Baffour highlighted the risks associated with political involvement, particularly in periods of electoral uncertainty.
She emphasized the need for businesses to build resilience by staying neutral and reducing exposure to politically influenced value chains. This, she noted, would help companies remain stable regardless of which government is in power.
She pointed out that elections, though bring potential opportunities, also introduce uncertainties that could disrupt business operations. Businesses that anchor their strategies in politically sensitive activities, she warned, risk being negatively impacted by policy shifts following a change in government.
She underscored the importance of strong macroeconomic fundamentals in fostering business resilience. She noted that with signs of recovery emerging in the economy, businesses should align their strategies with ESG frameworks to position themselves for sustainable growth in the future.
The adoption of ESG principles is increasingly becoming a critical benchmark for businesses globally, and Ghanaian firms are being urged to follow suit. She stressed that businesses must leverage the improving economic conditions to plan effectively, ensuring their operations remain sustainable and adaptable to evolving governance standards.