Confidence restored in banking sector – Deputy
Minister
Prime Minister to address Parliament today
Accra (Greater Accra) 08 February 2002 - Mr John Setuni Achuliwor, Deputy Minister for Communication and Technology, on Thursday said the achievements chalked in the macro-economy over the past year had restored confidence in the banking system.
He said due to the stabilisation of the cedi, the banks have now responded by lowering their base rates to an average of about 35 per cent from an average of about 50 per cent at the beginning of last year.
Contributing to the debate on the State of the Nation address delivered by President John Agyekum Kufuor last week, Mr Achuliwor said there had been a significant growth in savings and time deposits, indicating lower inflationary expectations and increased confidence in the holding of domestic assets.
He said inflation, which raged at 40.5 per cent in 2000 has now come down to 21.3 per cent with the cedi also stabilising against the major currencies recording a marginal annual depreciation of only 3.6 per cent as compared to an annual depreciation of 91.5 per cent.
Mr Achuliwor said the government had also reversed the imbalances in the economy such as high inflation, sharp depreciation of the cedi against convertible currencies, high interest rates and huge domestic and external debts and a demoralised private sector.
The government also needed commendation for clearing all arrears inherited in the public sector; such as the District Assemblies' Common Fund and the Ghana Education Trust Fund and paid 214 billion cedis out of the 234 billion cedis arrears.
Mr Achuliwor, who is the NPP member for Navrongo Central, said if proper focus was placed on the five priority areas of the President's address, there would be accelerated growth that would be the envy to most governments.
On the transport sector, the Deputy Minister said the idea of stimulating the rail system would improve urban railway services while the telecommunication industry would receive further boost due to the positive change the government was bringing about.
Mr Achuliwor said the government by placing irrigation on its high priority agenda would not only encourage the numerous tomato farmers in his constituency but would allow for more farmers to go into supplementary farming.
Mr Modestus Ahiable, NDC-Ketu North said the address contained inconsistencies and failed to address various atrocities in the past, which had continued to confront the people.
He said the address did not mention the issues of harassment, equitable distribution of funds under emergency social relief and poverty alleviation and the cocoa spraying exercise, which he claimed were all partisan.
Mr Ahiable said on assumption of office, the government withdrew military guards for police guards but a military officer was guarding the President just a year after, which was a clear case of inconsistency.
He said the government asking district assemblies to hold decentralised departments accountable was unconstitutional since no law backs the directive. Mr Ahiable said the GETFund would not succeed without further support if the government went ahead with its plan to upgrade at least one senior secondary school in each of the 110 districts.
Mr Paul Collins Appiah-Ofori, NPP-Asikuma/Odoben/Brakwa said for the past five years there had been short falls in the internally generated revenues, which had had a telling effect on the economy. He said the government's economic policy was, therefore, in the right direction since it would bring about sanity in the socio-economic development of the country.
GRi../
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Accra (Greater Accra) 08 February 2002 - British Prime Minister, Tony Blair will address Parliament at 10:15am on Friday as part of activities of his three-day visit to Ghana.
Mr Peter Ala Adjetey, Speaker of Parliament, in announcing this in a statement on Thursday said the visit would enable the parliamentarians to interact with the Prime Minister, who is also a member of the House of Commons (British Parliament).
A diplomatic source said the central theme for Mr Blair's visit would be conflict prevention and peace keeping in addition to trade and development. It said Britain appreciated the socio-economic conditions of under-development in Africa and would not fan conflicts in Africa. Conflicts in Africa were equally as reprehensible as terrorism, which Britain had vowed to fight.
Parliamentary sources in extending their heartfelt-welcome to Mr Blair said it was significant that Britain had realised that Africa needed the collaborative effort of the developed world to tackle her deprivation. Mr Blair speaking in a pre-departure interview with the Times of London was quoted as saying the developed world had a duty to act to help ease global poverty.
The Sources said it was well that Britain, a Colonial Master had realised that "the developed world runs the risk of a repeat of the situation in Afghanistan" whereas previously the cries of Africa and the under-developed world would have blighted "the civilised world".
They said they expected Mr Blair to address the issues of the third world not only considering them as nations to be exploited to enrich the already rich Western countries.
The fact that the trip would afford him the opportunity to familiarise himself with the cocoa industry as part of UK's interest in trade globalisation should let him apprise himself with Ghana's effort in securing good price for the commodity. It noted that Britain would listen and address the issues of unfair trade systems that perpetually put the developing world in a disadvantageous position.
GRi../
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