GRi Business, Economics & Finance 10 – 02 - 2003

Black marketers fuelling exchange rate

Volunteers initiate pilot revenue project

Tema Customs exceed revenue target

 

 

Black marketers fuelling exchange rate

 

Kumasi (Ashanti Region) 10 February 2003-The Ashanti Region branch of the Association of Forex Bureau Operators has attributed the current high exchange rate to the brazen activities of black marketers.

 

The Association said for instance that, black marketers now operate openly on tables in the Kumasi central market without any hindrance or check while others also operate at Ala Bar.

 

This situation, the Association said, was not only throwing licensed forex bureau operators out of business and doing serious damage to the economy.

 

Speaking to the Ghana News Agency in Kumasi on Saturday after a meeting to deliberate on the current situation, Isaac Raphael Bio, assistant secretary of the association, therefore called on the government to take immediate steps to check the activities of these black marketers before they did irreparable damage to the economy.

 

Bio said the forex bureaux were contributing to the socio-economic development of the country through the taxes they paid, whereas these black marketers enjoyed their profits without paying anything to the state.

 

"We are subjected to regular scrutiny by the Bank of Ghana (BoG), pay renewal fees and taxes to the Internal Revenue Service (IRS) and the Kumasi Metropolitan Assembly (KMA), while these people who reap huge profits pay nothing to anybody and the law enforcement agencies look unconcerned.

 

Bio added, "Are we now being told that certain categories of people doing genuine business should pay taxes while another category take the law into their own hands and reap huge profits without paying anything to the state".

 

He wondered why the security agencies who used to arrest these people had stopped their regular swoops on them but had allowed them to have a field day. He therefore called on the security agencies to clamp down on these black marketers.

 

Bio said the activities of these people who were operating on tables and on street corners was not only encouraging the spread of fake currencies but also put many unsuspecting customers in danger.

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Volunteers initiate pilot revenue project

 

Accra (Greater Accra) 10 February 2003-The United Nations Volunteer UNV) Programme has embarked on a pilot project to boost the income of Tema Municipal Assembly (TMA) as part of a long-term measure to improve on the income levels of local government administrations in Africa.

 

"The UNV project in Tema is a large success. The municipality authorities have testified to a net increase in their revenue generation and also a remarkable improvement in confidence and trust between the Assembly and tax payers," Joseph Oji, UNV Programme Officer in Ghana told the Ghana News Agency in Accra at the weekend.

 

Oji, who quoted a number of documents to elaborate on the merits of the two-year project, said the focus was on the causes of the deficiency in the municipal system of collection and management of taxes.

 

"This deficiency constitutes a serious and recurring problem in Tema and many other cities. It has a direct effect on the capability of the local government to provide urban infrastructure and services."

 

Oji said the United Nations Development Programme (UNDP) and the World Bank Global Initiative were supporting the project to reverse the low revenue problem, which is the bane of the development efforts of local government administrations on the continent.

 

Oji noted that there was a high degree of default in the payment of taxes, a problem, which is fundamentally related to lack of social cohesion and confidence. He said: "Tax payers do not trust local authorities regarding the management of taxes collected."

 

As a result, a team of UN Volunteers and other stakeholders embarked on a civic education process to build trust in people to honour their tax obligations. Oji said an important component of project was the funding of the technical capacity of TMA Revenue Department, traders, butchers, drivers, artisans, restaurant, chop bar and drinking bar operators and other tax payers to streamline revenue collection.

 

The series of consultations led to the production of an Action Plan for the development of Tema that tackles issues like "governance and development," "market potentials and economic development," "waste management and health," and "security and development."

 

Oji announced the formation of a UN Volunteers Association in Ghana that brings together Ghanaian nationals who have served under the UNV programme to harness their knowledge and skills in the development of the country.

 

The UNV supports human development globally, by promoting volunteerism. It is administered by UNDP with focus on economic and social development. In Ghana, there are 24 volunteers working in various fields including public administration, water and sanitation, household food and micro-credit, business and community relations and enterprise support projects.

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Tema Customs exceed revenue target

 

Tema (Greater Accra) 10 February 2003- The Tema Collection Point of the Customs, Excise and Preventive Service (CEPS) has exceeded its targeted revenue of 2.8 trillion cedis by 327 billion cedis for the year 2002.

 

In the year 2001, CEPS collected revenue of over 1.2 trillion cedis and exceeded its target by 167.3 billion cedis. Isaac Ankrah, Assistant Commissioner in-charge, who made this known at the end-of-year party held at the TDC Club house on Saturday noted with appreciation that the Tema Collection Point mobilized a total of 3.2 trillion cedis approximately representing 11.5 percentage points.

 

He commended the officers and stated that the collection point was looking into 2003, well prepared for all challenges that may confront it adding, "The management will as usual run an open door policy and was prepared to accommodate all views with the intention of lifting the performance of the collection beyond expectation."

 

To this end, the programme to introduce the Ghana Trade Network (GCNET) and Ghana Customs Management System (GCMS) in the collection for that matter at the Tema port would now migrate from the manual system as ASYCUDA to a fully automated system to facilitate clearance of goods.

 

The Assistant Commissioner said, already the Collection Point has already well-trained officers in waiting, saying, "Most of these officers require only a day or two refresher courses to fine-tune them for serious business."

 

Ankrah said in 2003, the collection point would seek to enhance on all the positives it achieved in 2002 and correct and possible shed all the negative factors that militated against revenue mobilization.

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