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Contingency Fund used for Prez JAK's trips?

Thu, 3 Jan 2002 Source: Ghanian Voice

....$100,000 per trip

Heated debate surrounded the Mid year review budget submitted to Parliament by the Hon Minister of Finance on the 8th November. The Review Budget called on Parliament to make certain variations in the Appropriations Act 599, which was passed when the so-called Interim Budget was approved in March last year.

Now that the dust has settled certain troubling variations are coming under scrutiny.

One of the major discrepancies the Minority drew attention to, but which was ignored and rail-roaded by the Majority, was the varied increased in the contingency budget from 1.2 billion to 122.5 billion.

This increase is troubling because during the debate on the appropriations act in March, the Honourable Kusi Kedem is said to have drawn the attention of the Minister of Finance to the inadequacy of 1.2 billion for the Contingency Vote.

The Minister replied that he would manage with the amount.

The sudden quantum jump in contingency has therefore raised eyebrows and a source close to government has indicated that a large Bulk of this money has been used to fund the frequent travels of the President and his entourage.

The public has been critical of the overly frequent foreign trips of President J.A. Kufuor, since he assumed the reign of Government and government officials have been hedgy in disclosing how much these travels are costing the Ghanaian taxpayer.

The disclosure by our source will therefore seem to explain the source of funding for the expensive travels being undertaken by the President and his large entourage.

Estimates obtained by our research desk indicate that average amount expended on a Presidential trip amounts to $100,000. This includes first class, Business and Economy tickets on commercial airlines, per diems for officials, imp rests and in some cases, hotel bills. With the recent increase in per diems for officials from $70 to $250, this amount is bound to increase dramatically.

Meanwhile it is reported that an urgent question filed by the minority, asked the Minister for Presidential Affairs how much the President’s travels has cost the nation, has not been scheduled by the Business Committee.

Members of the public polled have been unanimous that Government must make a full disclosure of how much the taxpayer has had to pay for the travels of the President, his Ministers and other top government officials.

Other matters relating to the mid year review budget which are troubling experts despite the loud self praise of the Finance Minister are the steep cuts in the investment budget and the increase in the administration budget.

Administration under item 2 was increased by 384 billion, from 469 billion to 733 billion. This was at the expense of investments under item 4 in health, education, roads agriculture etc, which were cut drastically by 47%. With such cuts in investment and the private sector virtually stalled the experts wonder whether the modest 3.7% GDP growth target can really be met.

This situation is compounded by the fall in revenue targets especially in direct taxes as a result of the difficult HIPC environment created in which business has been operating through out last year.



....$100,000 per trip

Heated debate surrounded the Mid year review budget submitted to Parliament by the Hon Minister of Finance on the 8th November. The Review Budget called on Parliament to make certain variations in the Appropriations Act 599, which was passed when the so-called Interim Budget was approved in March last year.

Now that the dust has settled certain troubling variations are coming under scrutiny.

One of the major discrepancies the Minority drew attention to, but which was ignored and rail-roaded by the Majority, was the varied increased in the contingency budget from 1.2 billion to 122.5 billion.

This increase is troubling because during the debate on the appropriations act in March, the Honourable Kusi Kedem is said to have drawn the attention of the Minister of Finance to the inadequacy of 1.2 billion for the Contingency Vote.

The Minister replied that he would manage with the amount.

The sudden quantum jump in contingency has therefore raised eyebrows and a source close to government has indicated that a large Bulk of this money has been used to fund the frequent travels of the President and his entourage.

The public has been critical of the overly frequent foreign trips of President J.A. Kufuor, since he assumed the reign of Government and government officials have been hedgy in disclosing how much these travels are costing the Ghanaian taxpayer.

The disclosure by our source will therefore seem to explain the source of funding for the expensive travels being undertaken by the President and his large entourage.

Estimates obtained by our research desk indicate that average amount expended on a Presidential trip amounts to $100,000. This includes first class, Business and Economy tickets on commercial airlines, per diems for officials, imp rests and in some cases, hotel bills. With the recent increase in per diems for officials from $70 to $250, this amount is bound to increase dramatically.

Meanwhile it is reported that an urgent question filed by the minority, asked the Minister for Presidential Affairs how much the President’s travels has cost the nation, has not been scheduled by the Business Committee.

Members of the public polled have been unanimous that Government must make a full disclosure of how much the taxpayer has had to pay for the travels of the President, his Ministers and other top government officials.

Other matters relating to the mid year review budget which are troubling experts despite the loud self praise of the Finance Minister are the steep cuts in the investment budget and the increase in the administration budget.

Administration under item 2 was increased by 384 billion, from 469 billion to 733 billion. This was at the expense of investments under item 4 in health, education, roads agriculture etc, which were cut drastically by 47%. With such cuts in investment and the private sector virtually stalled the experts wonder whether the modest 3.7% GDP growth target can really be met.

This situation is compounded by the fall in revenue targets especially in direct taxes as a result of the difficult HIPC environment created in which business has been operating through out last year.



Source: Ghanian Voice
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