Editorial: Credibility Of Policy Needed

Yesterday, the Minister of Finance and Economic Planning (MFEP) spent over an hour, to read to the nation the Government’s Budget Statement and Economic Policy for the 2007 Financial Year, under the authority of President John Agyekum Kufuor.

To many ordinary citizens of the country, this is just a ritual, as they do not see how these long speeches in Parliament directly impact on their lives.


However, to serious analysts and economists, the economic and social well-being of the citizenry largely depends on the policies contained in this statement.


It is through this budgetary process, which is subject to debate by the people’s representatives in Parliament, to determine which sector gets what, when, and how.


Unfortunately, many-a-time, for many people, after the budget is read and presented they go to sleep.


We lack the culture of monitoring and supervision so much that in recent times, many roads, for instance, as well as other infrastructure have collapsed in less than a year after their construction.

We have failed to follow up on how well or otherwise allocated resources are being deployed to ensure efficient utilization. In the face of our recent poor showing in the corruption perception index (CPI) ratings, it is important we look critically for where the leakages are. This calls for serious attention to be given to supervision and monitoring.


It was good news hearing that the National Reconstruction Levy, that was introduced in 2001 and was expected to prevail for just about two years has at last been removed. It is the expectation of The Chronicle that this would give businesses some form of relief, in the face of utility shortfalls and potential tariff increases in the course of next year.


But above all, what should be of utmost importance to Government and all stakeholders is the credibility of policy. How much trust are we to repose in the statements and figures contained in this all-important document?


Is Government going to turn round to tell Ghanaians that it is unable to implement some of these policy objectives because donor funding, for instance, was not forthcoming or that we failed to achieve tax revenue targets?


The year 2006 saw once again a lot of turbulence at the labour front, as teachers and health workers embarked on strike actions at different times to back their demands for improved conditions of service.

Many observers, including The Chronicle are already at a loss as to whether contingencies to be made by government would be enough to accommodate salaries and wage negotiation outcomes.


Even before the presentation of the budget had been completed, the leadership of the Ghana National Association of Teachers (GNAT) put out a statement, suggesting betrayal of trust.


With some of its members already on strike, in defiance of the leadership’s call to remain calm while it negotiated, The Chronicle finds it unfortunate and a stab in the back, that the Ghana Education Service Management team are said to have stalled negotiations, by not returning to the negotiating table almost two weeks after it sought to consult its principals.


Since there is apprehension about trust of government in matters to do with teachers and health workers in particular, The Chronicle believes that nothing would be done to erode the little confidence workers have regarding government handling of their wage matters.


The Chronicle would like to impress upon Government that credibility of policy is important for confidence in the health and stability of the nation and therefore it must be committed to fulfilling its stated objectives.