In his State of the Nation Address delivered to Parliament on February 27, 2025, President John Dramani Mahama presented a transformative economic reform agenda aimed at restructuring government operations to bolster investor confidence and stimulate business growth amid a deepening economic crisis.
Central to his strategy is the implementation of a “lean government” model that cuts bureaucratic overhead, reduces waste, and reallocates public funds toward critical investments, all measures designed to enhance market competitiveness and long-term economic stability.
President Mahama stressed that streamlining administrative operations would result in significant cost savings and improved fiscal discipline, benefitting both the public purse and the private sector. “I trust that this significant reduction to sixty (60) Ministers and Deputy Ministers, including Regional Ministers, will set the stage for further reductions in the size of future governments,” he declared, underscoring the potential for a more efficient allocation of resources that could drive down operational costs across the board.
Economic analysts have noted that by curtailing wasteful government spending and redirecting savings toward growth-oriented projects, the lean government initiative is poised to create a more favorable business climate. This approach is expected to not only optimize public expenditure but also enhance fiscal prudence, thereby fostering a competitive environment where businesses can thrive with greater certainty and lower administrative burdens.
President Mahama further outlined the reform’s multidimensional impact on public administration; “Fighting corruption effectively. Running a lean government of not more than 60 Ministers. Realignment of the ministries, agencies and departments. Introducing austerity, reducing wasteful expenditure and spending, and improving tax collections,” he said. These measures are intended to drive transparency and accountability, creating a stable fiscal framework that reassures investors and supports sustainable economic growth.
Additionally, the Mahama administration will reduce the number of presidential staff at the presidency, a move aimed at cutting overhead costs and enhancing productivity without compromising effectiveness. “We cannot continue to run a government where the cost of administration outweighs the benefits to the people. My government will take decisive steps to reduce the number of presidential staffers to promote efficiency and accountability,” he stated.
A comparative look at previous administrations reveals that while the former Nana Addo-Bawumia government operated with 126 ministers in its first term and 46 in its second term, President Mahama’s first term had 101 ministers. This shift to a leaner structure is seen as a proactive measure to stimulate economic activity and build investor confidence.
