Parties suggest VAT be increased to fund political parties

Koforidua, July 3, GNA - The majority of participants at the first regional forum to seek views on state funding of political parties at Koforidua on Wednesday suggested an increase in the Value Added Tax (VAT) to fund political parties. They said an independent regulatory body be set up to disburse the fund based on the strengths of the parties.

Spokesmen for all the parties except the New Patriotic Party (NPP) presented a common view in support of the proposal while the Eastern Regional Chairman of the NPP, Nana Adi Ankamah, opposed the idea. However, a member of the NPP Regional Finance Committee, Mr Ike Appaw-Gyasi supported the proposal saying the party made the proposal while in opposition and President John Agyekum Kufuor also called for a re-visit to the issue.


The Eastern Regional Secretary of National Democratic Congress (NDC), Mr Anthony Gyampoh, cautioned that the "the day we allow political parties to be run as business entities will be the end of democracy as it will be the survival of the fittest contest." He said state funding was necessary to enable the parties to shape the political will of the people and empower them to exercise their franchise wisely.

The General Secretary of the Great Consolidated Popular Party, Mr John Ameka, said public funding of the parties would promote peace and tranquillity, as it would assure the politicians that their parties could win power through the ballot box rather than war. He suggested that a law should be passed to make it mandatory for both local and foreign companies in the country to contribute to the fund.


The Eastern Regional Secretary of the Conventions Peoples' Party (CPP), Mr Kwabena Apea, expressed the hope that the proposal would be implemented before the 2004 elections. The Koforidua constituency chairman of the National Reform Party, Mr Alta Wogbe Dogoe said his party incurred a debt of 4.6 billion cedis during the 2000 elections and called for equal share of the money when set up. Those who opposed the idea said those who formed political parties should be prepared to fund it or fold up.