[ 2017-03-02 ]

Former Deputy Finance Minister, Casiel Ato Forson

Akufo-Addo might tap statutory payments to fund campaign promises – Ato Forson
A former Deputy Finance Minister has disclosed the
governing New Patriotic Party (NPP) might tap into
statutory payments to finance its many campaign
promises.

Casiel Ato Forson said President Nana Addo Dankwa
Akufo-Addo’s statement on the economy during the
State of the Nation’s Address last week points
to how he intends to fund his government’s
programmes.

The President has said he needs a fiscal space to
implement his policies and has promised to reduce
the budget deficit and cut waste in all sectors of
public life to achieve that.

“I will not allow this economy to collapse under
my watch. We will reduce significantly the fiscal
deficit this year,” he said.

The President has promised to make senior high
school (SHS) free, build one factory in every
district; restore payment of allowances to nursing
and teacher trainees; reduce import taxes and
scrape the energy levy completely.

These policies among others have described as
ambitious by political opponents especially the
National Democratic Congress (NDC).

Finance Minister, Ken Ofori-Atta is expected to
present government's first budget which would
detail how they intend to fund their many promises
and to revive the Ghanaian economy.

But the Member of Parliament for Ajumako Enyan
Essiam constituency in the Central Region said he
suspects that out of the three items - wages and
salaries, debt serving and statutory payment - the
President might touch the latter.

“Wages and salaries you can do nothing about
them in the medium term because clearly we’ve
already negotiated it,” he said.

He was emphatic that he could see the NPP
government tapping into the 7.5 percent District
Assembly Common Fund.

Currently, the various district assemblies receive
7.5 percent of the Consolidated Fund despite the
constitutionally minimum of 5 percent.

Mr Ato Forson also said he could see the 2.5
percent Ghana Infrastructure and Investment Fund
as well as the GETfund being used by the
government.

Although he said there is nothing wrong for
government to realign these items, he is more
concerned about what the funds would be used for.

"I will not conclude that it is a bad thing what I
will wait is what they are going to do with it,"
he said, adding same was done by former Finance
Minister Seth Terkper.

According to Mr Ato Forson, it would be wrong for
the NPP government to remove resources meant for
GETfund into the general resource pool for
consumption purposes.

"If you are realigning you must do that towards
the objective of the fund [you tapped]."

Source - Myjoyonline.com

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