Forum urges govt to minimise effect of global crisis

PROGRESSIVE National Forum (PNF), a non-partisan group committed to the promotion of democracy and good governance, has called on the government to indicate in concrete terms how it intends to minimise the effect of the world economic crisis on the country.
“What we want the government to address is what is the current situation in Ghana as regard the world economic crisis, if Ghana is being effected and the concrete plans put in place to minimise its effect on the nation,” it said.
Addressing a press conference in Accra on Wednesday, the Spokesperson for the group, Mr Richard Nyamah said such an assurance from the managers of the economy would calm the people, limit the fear of businessmen in the country and offer them the opportunity to plan ahead.
He said it was disturbing that the rich nations Ghana depended partly on for its budgetary support had been hit badly by the economic crunch and Ghana was not taking any concrete steps to nib in the bud the repercussions of the crisis on the nation’s economy.
On the campaign promises made by President Mills, he described as a worrying situation where the government reduced fuel prices by five per cent but latter turned around to increase it by 10 per cent.
He said although the initial reduction in the tax component of the fuel price build up did not reflect in the pockets of Ghanaians, it was estimated that the nation would lose $50 to the nation’s revenue and asked if the move was a political propaganda or prudent economic management?
Mr Nyamah described as ironical that the Mills administration decided to increase interest rates and base rates in the face of rising inflation and the depreciation of the cedi, against a global trend of cuts in interest rates to boost local businesses in the developed world.
He added that due to the wrong economic decisions by the Mills Administration, the exchange rate which stood around $1 to GH¢ 1.2 had shot up to GH¢ 1.5 and said if the trend continued, it would be disastrous for the nation’s economy.
He expressed worry that despite its campaign promise to review import duties on some consumer goods such as rice and poultry products to help boost the local industry and reduce the over $500 spent in importing such items yearly, the Minister of Finance had deferred the review to June.
Mr Nyamah said this was the appropriate time to take certain measures to boost the local industry especially in the area of food production.
He said although the Mills Administration had made moves to give meaning to its promise of having a lean government, it had in a way deceived Ghanaians by appointing two deputy chiefs of staff and a number of presidential staffers who drew salaries from the state.
He said it was shameful that at this stage in the country’s development, government operatives would be concentrating on seizing the cars of former President J. A. Kufuor and his former ministers as well as individuals .
Mr Nyamah reminded Ghanaians that it was in the NDC manifesto to return Ga lands to their rightful owners and this created the impression that the Kufuor Administration and its functionaries sold Ga lands to themselves.
“Though Ga Adangme people have a rightful claim, the politicisation of the issue by the NDC had seen it degenerate into tribal politics with other groups in the Western, Brong Ahafo and Ashanti regions among others making similar ridiculous demand,” he added.