Kumasi Ashanti Region) 28 March 2000
Nana
Asante-Frimpong, Member of Parliament (MP) for Kwabre, on Saturday described
the recent increase in fuel prices announced by the National Petroleum Board as
a reflection of the hopelessness of the Ghanaian economy.
The
country is in an economic mess "because of (the) government's incompetence
and insensitivity in dealing with the realities on the ground".
Speaking
to newsmen in Kumasi, the MP said that the country would continue to live with
increases in fuel prices even when the price of crude oil remains unchanged on
the international market, unless the government takes steps to stop the free
fall of the cedi.
The
prudent thing to do is to create the right environment that would encourage the
local production of goods and services for consumption and export.
Nana
Asante-Frimpong said this could be done by bringing down the interest rate from
the prevailing over 40 per cent, which, he described as, "unreasonably
high and punitive".
The
MP pointed out that the country's interest rate makes it cheaper to import than
to produce, a situation that has been unhelpful to the Ghanaian economy and
resulted in the depreciation of the cedi against the major currencies.
Nana
Asante-Frimpong blamed the government for its inability to lead Ghanaians from
poverty and squalor to economic progress and decent living standards, adding
that, increasing the prices of petroleum products tend to aggravate the plight
of the people.
GRi../