Leaders of the 1966 military coup justified their takeover by charging that CPP administration was abusive, corrupt and dictatorial. Nkrumah's involvement in African politics was overly aggressive, and that the nation lacked democratic practices. The Busia administration which followed after the country's first election due to Nkrumah's fall could not help improving the situation already prevailed.
The leaders of the coup, National liberation Council (NLC), comprising of four army officers and four police officers drafted a constitution for the second republic of Ghana and held an election in 1969 which was the first political contest since1956. The Progressive Party (PP) won the election with 59 % of the popular votes and 74 % of the seats of the National Assembly. The PP leader Busia became Prime Minister.
The first measure that the present Government took was to expell large number of non-citizens , such as Lebanese, Asians and Nigerians to relieve the country from the load of unemployment. In economic sector he itroduced , 1. a loan programm for university students who had hitherto received free education. but this was not appreciated as it encourages class system., @. devaluation of national currency which was criticised by obsevers as conservative ideas and could undermine Ghana's Sovereignty.
despite broad popular support and strong foreign connections, the Busia government fell victim to an army coup within 27 months. The crucial causes were country's foreign debts.
1. The PP govt. had inherited US $ 580 millionin medium and long term debt,
2. An amount equal to 25 % of the gross domestic product of 1969,
3. By 1971 the US $ 580 million had been further nflated by US $ 72 million in accrued interest payments,
4. US $ 296 million in short term commercial credits,
5. A lrger amountof internal debt.