President Kufuor and his NPP government have already decided to grant an election year bonanza to civil and public servants, but they are facing stiff opposition from their external examiners, the IMF and World Bank, who have separately warned them that it is this type of reckless election year spending that sent the economy into trouble in 1996 and 2000 under the NDC Government.
But the NPP Government is bent on implementing the salary increases. Already, the security services have had unannounced pay increases believed to be in the region of about 50% and the government is expecting that the pay increases for other sectors will further bolster its election chances.
The government expects to be able to direct the debate in such a way that there will appear to be a public demand for massive pay increases. They will then present this to the IMF/World Bank as the ”voice of the people” and urge them to “respect the democratic expression of the people” and allow them to implement the otherwise economically inadvisable pay increases.
The Palaver newspaper says it has information that the decision has already been approved by Cabinet.