AFAG must stop the Hypocrisy or ……

The Youth Activist Network of the National Democratic Congress wishes to express great shock and utmost disappointment in the way the Nana Akuffo-Addo brainchild the AFAG now realizes that Ghanaians are poor and for that matter must be treated with sensitivity. This is in no doubt the case of AFAG playing the ostrich.

These are people who in 2001 were preaching increments unabated, because they claimed they had inherited a “so called” ailing economy with budget deficit of GH¢260million which was about 9.6% of GDP and was even in conformity with the ECOWAS Convergence Criteria of less than 10%. This complains by the NPP led to the astronomical increase in taxes as well as petroleum prices as follows:

• Airport taxes by 150%

• Taxes on gross profits of banks, insurance companies and other institutions by 15%

• Petroleum prices by 64.3%

• Lowering of the VAT threshold per annum to include more of the poor traders who were struggling to make “ends meet”

• And many others in their first year of the “so-called POSITIVE CHANGE”

At the time where was AFAG. This is purely hypocrisy and double standardness. Fellow countrymen, YAN wishes to bring to the attention of Ghanaians that the NPP left about 22.4% of budget deficit in 2008, which was very unacceptable by the ECOWAS Convergence Criteria standards.

Now to the truth of the increments, we must place on record with strong emphasis that it is never true that various basic commodities such as water have all been increased drastically. Indeed we presume what the NPP’s AFAG had wanted to mention was “akpeteshie” which has been their greatest interest, especially in recent times when it was mentioned in the budget that government was considering an increase in the taxes on beverages. Secondly, it not true that government is considering a 347% increment in electricity charges.

It has been in no doubt, the need for increment in toll charges and other service fee in MDA’s which had not seen any reform since 1990’s. Indeed, AFAG got it right when they quoted the portion of our manifesto which stated that ‘the new NDC government will not introduce any new taxes. Instead, shall seek to improve tax revenue by introducing reforms in the tax administration, shifting from reliance on direct taxes to indirect taxes and enhancing tax incentives’. Clearly, government has not ignored their manifesto promises and this essentially indicates that government is on course with its Better Ghana Agenda and for that matter will make sure that we rely on indirect tax regime to reduce its impact on the suffering masses.

A study conducted by Dr. Terry L. Clower and Dr. Bernard L. Weinstein both of Center for Economic Development and Research in University of North Texas indicated their paper titled “Impacts of Toll Roads on the Regional Economy” that the construction of any new road network generates local economic activity supporting jobs, labor income, and tax revenues and for that matter most countries with good road networks are highly productive with low poverty levels.

We believe the enormity of the responsibility of settling road contract debts and reconstructing of good- quality roads has been the utmost motivation for this increments and not the infantile jokes of tea parties as mentioned by AFAG and some of their apparatchiks’.

On Tuesday 9th February 2010 the sector minister Hon. Joe Gidisu outlined various projects to be prosecuted by government under the 2010 budget which include:

• Ayanfuri-Asawinso

• Tarkwa-Bogoso-Ayanfuri

• Giffard - Road

• Maatse - Tsuru

• Awoshie - Pokuase

• Dodi Pepesu-Nkwanta

• Hohoe - Poase Cement

Not to mention the existing projects which government is committedly pursuing.

YAN has argued that the Road fund which is usually used for these activities has various component which include the road and bridge tolls that contributes only 1.8% to the fund whiles other components like petroleum levy which is borne by the majority of the populace contributes 94%. Hence any caring government would reduce the burden on the people by lowering the petroleum levy or taxes and adjust the road toll, which doesn’t have direct impact on the majority of the populace. This informed the 5% reduction in petroleum taxes in 2009. This truly is pro-poor than spending $ 71million on Ghana@50 celebration and also spending close to about $ 158million on Presidential Palace while motorist plied unmotorable roads, pupil sat under trees to study and others lived on one meal a day, clearly that was profligacy and mismanagement at its highest.

YAN would however want to congratulate the Prof. Atta-Mills led administration for a good work done stabilizing the limping economy the NPP left in 2008 by dropping inflation to 14.76% and injecting about $ 2 billion into the economy in one year. We further assure Ghanaians by the current indicators that the Better Ghana Agenda is on course.

We will therefore advice NPP and their AFAG to desist from spreading falsehood and unholy mischief and rather concentrate on solving the Allan – Nana Akuffo-Addo /Akyem – Ashanti tribal conflicts in their party.

Long live the Better Ghana Agenda!!

Long live Ghana!!!

Signed:

Otokunor Boamah Peter

(Spokesperson)

0276902003