Economist calls for effective mobilization of resources

Accra, Oct. 2 GNA - Dr Nii Moi Thompson, an Economist, on Monday stressed the need for the country to have sound economic policies that would lead to effective mobilization of domestic resources for development.

He said no amount of debt relief or forgiveness and aid would lead the country out of the woods, let alone eradicate extreme poverty. Dr Thompson was speaking at a workshop organized by the African Regional Network of the Alliance for Poverty Eradication (ALPE) Programme in Accra.

The five-day programme which is on the theme: "Steering the Poverty Reduction Strategy Programme (PRSP) Agenda: Origin, Experiences and Prospects" is a programme for 12 Danish Non-Governmental Organisations (NGOs) with sponsorship from the DANIDA.

The workshop, which is also a programme connecting poor people and Civil Society Organisations (CSOs) with alternative initiatives for poverty eradication and PRSP, attracted participants from Nicaragua, Honduras and Zambia.

Dr Thompson said the country should be able to generate about two billion dollars annually from the Value Added Tax (VAT) alone to finance development projects.

He said the nation could use the leverage gained as a result of the domestic capital mobilisation to borrow from the international capital market to finance its development agenda rather that relying on the Breton Woods institutions.

"Debt relief only makes us more dependent, lazy and irresponsible," he said.

Mrs Rita Ambadire, African Regional Coordinator of ALPE, said the objective of the organization was to strengthen poor people and civil society organizations. She said the ALPE African Network initiatives and studies for some specific groups and local communities could contribute to joint debates and exchange of experiences regarding mobilization, advocacy and influence on the poverty reduction strategy process.