Parliament waives tax

....on credit facility for Winneba District Hospital

Accra, July 15, GNA - Parliament on Wednesday waived a tax element of 2,414,790 Euros on a loan agreement between Ghana, the Netherlands and Fortis Bank for the construction and equipping of a new Winneba District Hospital in the Central Region. Presenting the Report on the waiver, Mr James Klutse, Chairman of the Finance Committee of Parliament said on July 21, 2008 the House approved a sum of 18,774,596 Euros Mixed Credit Facility to construct and equip the Hospital.

The credit comprised 11,669,596 Euros and a grant of 7,105,000 Euros.

Mr Avedzi said the Committee noted that it was necessary for Parliament to give up the taxes to ensure that government does not borrow further to payback.

He said the benefits to be derived from the successful completion of the project would include quality healthcare to the people of Winneba and its environs and enhanced productivity.

The Chairman who is also the Member of Parliament for Ketu North noted that Winneba occupies a strategic location along the major trans-West Africa highway (Aflao-Accra-Cape Coast-Takoradi-Elubo corridor) and is prone to road traffic accidents.

He said the Committee carefully considered the request for the tax waiver and a necessary condition for the smooth implementation of the project and therefore recommended to the House for its approval. All members who contributed to the motion lauded the agreement and asked government, to go in for more of such contracts to equip other hospitals that are along accident-prone routes.