Prime News Ghana

What a Trump Victory would mean for businesses

By Sam Edem
Trump vs Clinton
Trump vs Clinton
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“I am not a politician! I don’t like to be involved in their somewhat game of intrigue!” These are just a few refrains that are shared by those who perceive the activities of politics or government as an isolated or one that has little or no effect on them personally but as polls open in the world’s largest economy, U.S.,

the realities of an obviously unpredictable kind of leadership couldn’t be more eminent. One candidate has created more anxiety than any other in recent memory and his name, Donald Trump. What would a possible Trump victory mean for American and global enterprise?

"Our September client survey showed that the Street convincingly believes that Hillary Clinton will be the next American president," wrote Tobias Levkovich, Citi's chief U.S. equity analyst. "However, if Donald Trump were to win, that outcome would have been unexpected and thereby may cause a jump in the equity risk premium." Now although there are substantial reasons to hang on to that hope, one can hardly claim a prediction to this closely competitive US Presidential race and the uncertainty associated with it possess unmitigated risk to businesses all around the world.


On that note, Citi bank further claims that, a Trump win also poses a big risk to stocks in the long term, and raises concerns about his policies that aim to restrict international trade. The GOP Presidential flag-bearer’s audacious plans - such as starting trade wars with China and Mexico and crippling the U.S budget with massive tax breaks for the rich – would be disastrous  for the U.S. and global economies. Furthermore, the somewhat negatively radical proposals like rounding up and deporting 11million undocumented immigrants, erecting a $25billion wall between the U.S and Mexico, etc., has generated fear of a debilitating presidential administration.


Now, although some like Bill Stone, chief investment officer at PNC Financial Services Group claim that, “Trump can say what he’s going to do, but he can’t do it because Republicans aren’t supporting him”, there would be almost no basis for taking the risk in the first place. That accounts for why the final decision of this Presidential campaign and the fate of enterprises directly or indirectly dependent on a fair- minded leadership at the White House rest not with the lobbyist in Washington or the big donors nor the power brokers that dominate both parties: the decision on who would be the next U.S. President lies with the American people.