The budget statement dubbed, “Infrastructure Development for Accelerated Growth and Job Creation” according to the minister is aimed at strengthening the economy despite it being an election year.

Below are highlights of the 2012 Budget Statement:

The Global Economy and Ghana

2. The present number of unanticipated events and further deterioration of the global economic environment could have substantial spillovers to the Ghanaian economy;

3. Preliminary results from WAMI’s half year surveillance report indicates that the overall economic performance in the WAMZ remained strong with real GDP expected to expand by 8. 0 per cent in 2011, compared to 7. 7 per cent in 2010.

2011 Macroeconomic Performance

4. GDP growth of 4. 0 per cent in 2009, 7. 7 per cent in 2010 and 13. 6 per cent in 2011;

5. Significant reduction of fiscal deficit from 6. 6 per cent of GDP in 2008 on cash basis (14. 5 per cent of GDP – old series) to 2. 0 per cent of GDP as at September 2011;

6. Inflation which was 18. 1 per cent at the end of 2008 now stands at 8. 40 per cent in September, 2011.

7. Significant reduction in the yield of the 91-day money market instrument from 24. 67 per cent in 2008 to 9. 1 per cent in September 2011, making it the lowest recorded money market rate in decades;

8. Gross International Reserves of US$4. 98 billion recorded in October 2011 exceeding 3. 0 months of import cover of goods and services

Highlights of the 2012 Budget

Compared to reserves of US$2. 0 billion at the end of December 2008 which could barely cover 2 months of imports.

Major Achievements of the Economy

Real Sector

9. A Real GDP growth of 13. 6 per cent compared to a growth target of 14. 4 per cent and the actual growth outturn of 7. 7 per cent in 2010.

10. The 2011 provisional GDP growth translates into a real GDP of GH¢27. 49 billion and a nominal GDP of GH¢56. 28 billion.

11. Agriculture Sector grew by 2. 8 per cent against a target of 5. 3 per cent and an actual outturn of 5. 3 per cent in 2010;

12. The Industry Sector grew by 36. 2 per cent against a target of 37. 2 per cent;

13. The Services sector grew by 4. 2 per cent and contributed 48. 1 per cent as its share to GDP, still making it the largest contributor to GDP;

Fiscal Sector for 2011

14. Provisional data on implementation of the budget for the first three quarters of 2011 indicate that, revenues were above the budget target by 8. 4 per cent, and expenditures were lower than the budget estimate by 1. 2 per cent;

15. The fiscal deficit for the first three quarters was GH¢1,132. 2 million, equivalent to 2. 0 per cent of GDP, compared to a budget target of GH¢2,473. 2 million, equivalent to 4. 4 per cent of GDP.

Revenue and Grants

16. Total revenue and grants for the first three quarters of the year amounted to GH¢8,798. 2 million (equivalent to 15. 5 per cent of GDP), compared to a budget target of GH¢8,119. 9 million (equivalent to 14. 3 per cent of GDP). The higher-than-expected outturn was the result of improvements in tax revenue administration during the period. For the year as a whole, total revenue and grants are projected at GH¢12,825. 0 million.

Expenditure

17. Total expenditure, including payments made for the clearance of arrears and expenditure commitments for the first nine months of 2011, amounted to GH¢10,412. 3 million, equivalent to 18. 3 per cent of GDP. The outturn was 1. 2 per cent lower than the budget target of GH¢10,543. 8 million. Total expenditure for the year, including provision for the clearance of arrears and expenditure commitments is projected at GH¢15,565. 5 million, 8. 1 per cent higher than the
2011 budget estimate of GH¢14,397. 4 million.

Overall Budget Balance and Financing

18. Given the performance of revenues and expenditures for the first three quarters of 2011, the overall budget balance showed a deficit of GH¢1,132. 2 million. This is equivalent to 2. 0 per cent of GDP, compared with a budget target of a deficit equivalent to 4. 4 per cent of GDP.

Monetary Sector

19. Broad money supply, including foreign currency deposit (M2+) grew by 41. 9 per cent year-on-year to GH¢ 15,851. 3 million compared with growths of 28. 0 per cent and 33. 8 per cent in September and December 2010, respectively.

The Medium-Term Macroeconomic Framework (2012-2014)

20. The “Ghana Shared Growth and Development Agenda” (GSGDA) is the medium term development strategy of Government (2010–13).

21. In 2012 and the medium term, Government’s macroeconomic policy agenda will focus on three complementary objectives:

a. Ppreserving the gains of macroeconomic stabilization and fiscal consolidation achieved since 2009;
b. making fiscal space for high-priority investments to spur long- term growth and development; and
c. maintaining inflation in single digits.

Macroeconomic targets of the 2012 Budget

22. The overall economy is projected to grow by more than 8 per cent, with the inflation rate remaining broadly stable at the upper single digit range.

23. The details of the macroeconomic targets for 2012 are as follows:

a. Real non-oil GDP growth of 7. 6 per cent;
b. Real overall GDP growth of 9. 4 per cent;
c. Average inflation of 8. 7 per cent;
d. End-period inflation of 8. 5 per cent;
e. Overall budget deficit equivalent to 4. 8 per cent of GDP; and
f. Gross international reserves of not less than three months of import cover for goods and services.

Fiscal Sector for 2012

Resource Mobilisation

24. Madam Speaker, total non-oil revenue and grants for the 2012 fiscal year is estimated at GH¢14,374. 5 million, equivalent to 20. 6 percent of GDP. This represents an increase of 18. 1 percent over the projected outturn for 2011.

25. Total benchmark oil revenue is estimated at GH¢1,239. 8 million. Out of this, an amount of GH¢877. 9 million, equivalent to 1. 3 percent of GDP, is estimated as government’s share of the benchmark revenue, whilst GH¢362 million is estimated as GNPC’s share.

26. Total oil and non-oil revenue and grants for the 2012 budget is estimated at GH¢15,614. 3 million, equivalent to 22. 4 percent of GDP.

27. Total expenditure including arrears clearance and commitments for
2012 is estimated at GH¢18,983. 2 million, equivalent to 27. 2 percent of GDP. The estimated expenditure for the year represents a 22 percent increase over the projected outturn for 2011. Of this amount, recurrent expenditure is estimated at GH¢11,817. 2 million, equivalent to 16. 7 percent of GDP and 62. 3 percent of total expenditure. An amount of GH¢5,697. 9 million, equivalent to 8. 2 percent of GDP is estimated for capital expenditure.

Overall Budget Balance and Financing

28. The 2012 budget is expected to result in an overall cash budget deficit of GH¢3,368. 8 million, equivalent to 4. 8 percent of GDP.

29. Financing of the deficit will be from both domestic and foreign sources. Net Domestic Financing of the deficit is estimated at GH¢1,665. 9 million, equivalent to 2. 4 percent of GDP.

30. Net financing from foreign sources is estimated at GH¢1,572. 3 million, equivalent to 2. 3 percent of GDP. In addition to this, GH¢1,201. 8 million is estimated as disbursements from the Chinese Development Bank (CDB) loan in 2012.

Monetary Sector

31. The Bank of Ghana aims at keeping inflation broadly stable with the central point of the target band moderately reduced to 8. 7 per cent in 2012. The Bank will also stand ready to adjust its policy rate in support of this target depending on the risks to inflation.

Key Resource Mobilization Initiatives

32. Taxation of Professionals and Informal Sector contribution to domestic tax revenue will improve from the current 4 per cent to a targeted level of 8 per cent over the medium-term;

33. Government will raise the VAT registration threshold from an annual turnover of 90,000 to 120,000. Businesses with a turnover of less than GH¢120,000. 00 over a twelve month period will pay a presumptive tax of 6 per cent of turnover;

34. Government is offering a tax amnesty to companies and individuals that are operating outside the tax net and would urge such companies and individuals to take advantage of this opportunity;

35. Beginning in the fiscal year 2012, the following changes to the taxation of mining activities will apply: the corporate tax rate for mining companies will be increased from the current 25 per cent to 35 per cent; A windfall profit tax of 10 per cent will be collected from all mining companies; and A uniform regime for capital allowance of 20 per cent for five years for mining, as is the case in the oil and gas sector is also established.

36. Government will grant excise duty reduction on a sliding scale to companies using local raw materials as substitutes in the production of excisable goods.

37. There will be an improvement in the monitoring of Free Zones transactions.

ACHIEVEMENTS AND OUTLOOK FOR KEY SECTORS FOOD AND AGRICULTURE
Performance

38. The National Buffer Stock Company (NBSC) off-loaded over 10,000 metric tonnes of maize to the market to stabilize maize prices;

39. In all, a total of GH¢23. 950 million was utilized under the Fertilizer Subsidy Programme to supply 55,000 metric tonnes of chemical fertilizers to farmers.

40. Three hundred and fifteen hectares of irrigated land was rehabilitated for tomato cultivation to feed the Northern Star Tomato Factory at Pwalugu.

41. Under the Phase II of the rehabilitation/extension works at the Tono Irrigation Project, two reservoirs, and night pump houses were completed with the provision of electricity and water pumps;

42. In addition, 52 per cent of rehabilitation works on flood damaged dams in the Northern, Upper East and Upper West Regions were completed;

Outlook

43. Two Harbours will be constructed at Elmina and James Town and 12 landing sites at Axim, Dixcove, Moree, Fete, Mumford, Winneba, Senya Breku, Teshie, Ada, Keta, Abotoase and Dzemeni;

44. Government will expand the Agriculture Subsidy Programme to include liquid fertilizers (bio-fertilizer) and improved seeds, and also distribute 165 metric tonnes of chemical fertilizer and 800,000 litres of liquid fertilizer to farmers in 2012;

45. The National Food Buffer Stock Company will acquire another rice mill with a capacity of about 8. 5 metric tonnes per hour to be located in the Upper East Region;

46. Construction of the first phase of the Accra Plains Irrigation Project, covering an area of about 5,000ha, and the irrigation dam at Mprumem will be commenced;

47. In collaboration with the University of Cape Coast, Government will establish a Fisheries College at Anomabu in the Central Region and establish a fish processing plant at Elmina;

COCOA Performance

48. For the 2011/12 crop year, an amount of US$2. 0 billion was raised in the syndicated loan as compared with the US$1. 5 billion during the 2010/2011 cocoa season;

49. The producer price of cocoa was reviewed upwards in October 2010 to GH¢3,200. 00 per tonne (i. e. GH¢200. 00 per bag) from GH¢2400 indicating an increase of 33. 3 per cent over the previous year. This new price was 74. 84 per cent of the net Free on Board (FOB) price;

50. In line with Government’s commitment to pay farmers a minimum guaranteed price of 70 per cent of the net FOB price, the producer price was increased to GH¢3,280. 00 per tonne (i. e. GH¢205. 00 per bag) of cocoa for 2011/2012 cocoa season with effect from October
2011;

51. Government paid a total of GH¢50,793,724. 00 as bonus to farmers for the 2009/2010 main cocoa season.

52. COCOBOD will rehabilitate 1,000 hectares of small-to-medium scale coffee farms. An amount of GH¢1. 57 per tonne of the net FOB. has been allocated to fund this project;

ENERGY Performance

53. Four Hundred and Six communities were connected to the National Electricity Grid under SHEP 4 phase 2 in Volta, Western, Central and Northern Regions;

54. Construction of 6 primary sub-stations in Kumasi and Accra has been completed under the Distribution Improvement Project;

55. The Jubilee Oil Field development and production successfully increased in production from 30,000 barrels per day to about 85,000 barrels of crude per day from 3 wells;

Outlook

56. As part of efforts to further expand the Power Generation Capacity from 2,000MW to 5,000MW in the medium term, the sector will commission the First Unit of the 133MW out of power production into the national grid system. The 132MW Takoradi 3 Thermal Project will also be completed and commissioned;

57. Government will extend electricity supply to 1,200 communities in the Central, Western and Brong Ahafo Regions, 400 communities in the Upper West Region, 106 communities in the Ashanti and Brong Ahafo Regions and 500 communities in the Northern and Upper East Regions;

58. Construction of 150,000 cubic meter capacity tanks for gasoline, diesel and kerosene storage for the BOST Petroleum Terminal will commence in 2012;

59. The construction of LPG satellite storage depots at Kumasi, Savelugu and Mami Water (on the Akosombo-Ho Road) will commence;

WATER RESOURCES, WORKS AND HOUSING Performance

60. The drilling of 670 boreholes and 20 hand-dug wells are about 90 per
cent complete. Government has substantially completed phase 3 of the Koforidua Water Supply Project;

61. The construction of water tanks to ensure 24 hour supply of safe water is about 70 per cent complete;

62. Government provided loans for 101 public servants to complete, purchase SSNIT/ Estate Houses;

Outlook

63. Government will provide 4,000 new boreholes countrywide in fulfillment of its promise in 2010 of providing 20,000 boreholes over the next 5 years;

64. Hydrocol Ghana Limited and Befesa Agua of Spain will start the installation of the 60,000m3 sea water desalination plant at Teshie to improve water supply to the area;

65. Government will facilitate private sector companies to commence the construction and delivery of safe, decent and low income affordable housing units;

66. The Takoradi Port Expansion Project and the Multi-Modal Transport Project that links the Tema Port by rail to the Volta Lake will be undertaken under the CDB Facility. Coastal fishing harbours and landing stages will be provided under the CDB;
TRANSPORT Performance

67. The rehabilitation and extension of the Accra-Tema sub-urban railway
line from Tema Harbour to Japan Motors (Community 1) is about 60 per cent complete and a draft railway sector licensing regulations has also been completed;

68. Four new Ghanaian airlines have been licensed to commence operations on both the domestic and regional routes to improve connectivity on the continent;

69. A National Road Safety Strategy III (NRSS III) has been developed and launched to serve as a National blue print for road Safety Management to guide all road safety practices;

70. Inter-City STC (ISTC) Coaches Limited took delivery of 10 Yutong Luxury Coaches to augment their fleet and improve upon service delivery. Metro Mass Transit (MMT) also took delivery of 50 buses to augment their fleet to enable the company deliver better services;

Outlook

71. The Reconstruction of the Western Line will commence under the
China Development Bank (CDB) Facility;

ROADS AND HIGHWAYS Performance

72. The Ghana Highway Authority completed the following major road projects: Bamboi-Tinga, Sogakope-Adidome-Ho, Kumasi-Techiman (ph2), Nsawam Bypass (Kumasi bound), Akatsi-Dodze-Akanu (Lot1), Akatsi-Dzodze section, Akatsi-Aflao Road (Lot 1) and Akatsi- Agbozume section;

Outlook

73. The following projects in the Western oil & gas enclave will commence. These are Agona-Nkwanta –Dixcove road, Busuta Junction – Busuta road, Princes Junction – Princess Town road, Sankor Junction–Cape Three Points road and Mpataba Junction – Half Assini – Jewi Wharf road;

EDUCATION Performance

74. An amount of GH¢15. 3 million was released during the year as
payment of Capitation Grant for 5,252,683 pupils in all public basic schools for the second and third terms of the 2010/2011 academic year;

75. Government distributed 1,258,690 free uniforms and 39,536,119 free exercise books to pupils in deprived communities across the country;

76. A total amount of GH₵36. 8million was released for the construction of lecture theatres, staff accommodation, library blocks, and halls of residence, computer laboratories, auditoriums and agricultural engineering workshops which are at various stages of completion;

Outlook

77. Government will provide an amount of GH¢25. 37m, GH¢28. 80m, GH¢28. 97m and GH¢54. 92m as intervention packages for capitation grant, free school uniforms, free exercise books and subsidies to basic and senior high schools respectively;

78. The sector will commence the construction of infrastructure facilities and installation of equipment in the University of Energy and Natural Resources in Sunyani and The University of Health and Allied Sciences in Ho with a campus at Hohoe;
HEALTH Performance

79. Two rounds of national polio immunization days were organized to
protect children from polio and maintain the zero wild polio reporting status of Ghana;

80. Government established 276 new functional Community-based Health
Planning and Services (CHPS) Zones;

81. The Guinea worm elimination status of the country was maintained with no reported cases since May 2010;

Outlook

82. Government will continue to focus on the following Priority areas: Bridging equity gaps in access to health care and nutrition services to ensure sustainable financing arrangements that protect the poor; Strengthen governance and improve efficiency and effectiveness of the health system; Improve access to quality maternal, neonatal, child and adolescent services; Intensify prevention and control of communicable and non- communicable diseases; and Strengthen institutional care including mental health service delivery

POVERTY REDUCTION

83. Government has allocated an amount of GH¢3,433. 5 million, representing 23. 7 per cent of total Government Expenditure, to support the provision of basic education, primary health care, poverty-focused agriculture, rural water, feeder roads and rural electrification;

84. Government has allocated GH¢1,088. 69 million to fund a number of
Priority Intervention Programmes;

STRUCTURAL REFORMS

85. Government will continue with a number of reforms to strengthen the current PFM systems. Notable among these reforms are the Ghana Integrated Financial Management Information System (GIFMIS), Programme Based Budgeting (PBB) and Wage and Payroll Management;

86. Government is undertaking a biometric registration and verification of all pensioners and active employees on government payroll. It is estimated that on the average, about 30,000 employees would be eliminated from the National pension’s payroll at the end of this exercise. This would translate to a significant savings of over GH¢3 million per month on the pension’s payroll;

Arrears Clearance and Management

87. A total cash payment of GH¢3,078. 0 million has been made to reduce arrears owed to road contractors, statutory funds and SOEs from 2009 to end September 2011, leaving a balance of GHC1,499. 4 million;

88. A comprehensive database tracking the stock and flows of payment arrears has been developed;

FISCAL DECENTRALIZATION Composite Budget

89. In 2012, government will strengthen the fiscal decentralization
process, by transferring resource allocation functions to the local authorities as a way of deepening democratic governance at the grassroots;

90. Government will also undertake other major activities to support the

Fiscal Decentralization process; These will include: the review and implementation of the intergovernmental fiscal framework drafted in 2008; introduction of social accountability systems into the Public

Financial Management System at the local level; undertaking direct releases to MMDA’s treasuries to minimize delays in transfer of funds to MMDAs; reviewing all funds transfer systems to ensure that indicative budget allocations from central level are timely communicated and also actual transfer of grant allocations are in accordance with more predictable transfer schedules, developing a formula for sharing ceilings between MDAs and the decentralized departments of the MMDAs

POLICY INITIATIVES

CDB Facility in Support of Infrastructure Projects

91. The US$3. 0 billion loan facility from China Development Bank (CDB) would be utilized to reduce the infrastructural deficit of the country. Specific projects identified to be funded include: Accra Plains Irrigation Project; Coastal Fishing Harbours and Landing Sites Project; Tema-Akosombo-Buipe Multi-modal Transportation Project; Western Corridor Gas Infrastructure Project, Helicopter Surveillance Fleet for Western Corridor “Oil Enclave”; Development of ICT Enhanced Surveillance Platform for Western, Corridor “Oil Enclave”; Western Corridor “Oil Enclave” Road Re-development Project; Western Railway Line Modernization; Takoradi Port Rehabilitation/Retrofit ; and Sekondi Industrial Estate.

Public-Private Partnership (PPP)

92. A Project Development Facility will be used to finance upstream investment appraisal, value-for-money assessment and other feasibility and safeguard studies;

93. Viability Gap Schemes will also be used to provide financial support for PPP projects that are economically essential but not commercially viable; and

94. Infrastructure Finance Facility will be used to raise the requisite long- term local currency financing for on-lending at commercial rates to private sector partners for PPP projects;

Local Content Enhancement

95. Government will develop a local content policy for the whole economy to significantly enhance the level of participation of Ghanaians in the economy.

Social Intervention Programmes

96. The Ghana School Feeding Programme will be expanded to cover an additional 500,000 pupils from the current 1,040,000.

Youth Employment

97. The National Youth Employment Programme aims at recruiting some 692,000 people under its 15 modules and projects, and create 500,000 new jobs over the next four years;

Improving Competitiveness of the Private Sector

98. Government will review the import regime in consultation with the Tariff Advisory Board (TAB) and intensify on-going infrastructure development in the energy and water sectors;

SME Development

99. Government will support the Ghana Stock Exchange to create an alternative market where simplified rules of entry will allow SMEs to list;

Developing the Cocoa Industry

100. Efforts will be made towards directing cocoa consumption as an integral part of major social interventions such as the school feeding;

Establishment of the Centre for Entrepreneurship
Employment and Innovation

101. Government will support the establishment of the Ghana Centre for Entrepreneurship Employment and Innovation (GCEEI);

CONCLUSION

102. The 2012 Budget is designed to address the infrastructural deficit in order to sustain growth, create more employment opportunities, improve incomes and improve the standard of living of our people, thereby reducing poverty;

103. The theme for this year’s budget “Infrastructural Development for Accelerated Growth and Job Creation” appropriately captures the essence of Government’s aspiration for the medium term;

104. The 2012 Budget is indeed a budget for the fulfillment of ‘A Better Ghana’ Agenda. God bless Ghana!

The 2012 financial statement delivered on Wednesday to Parliament was themed: “Infrastructural Development for Accelerated Growth and Job Creation.”

According Dr. Kwabena Duffuor, Ghanaians should expect to see massive infrastructure development, job creation and sustained economic growth next year. Government also intends to increase its revenue mobilization – for instance, mining companies will be paying more – with oil revenue remaining an important component of the country’s revenue targets.

Dr Duffuor also highlighted some achievements of the NDC governmentover the past year.

“Madam Speaker, we promised Ghanaians a better Ghana and we have significantly delivered on this promise; we promised to remove schools under trees and we are very much on course; we promised to remove inequities in incomes through the single spine and we are very much on course; we promised to move the economy from fragility to robustness, yes we have; we promised to significantly expand the economy and we have; we promised to arrest inflation, yes we have…”

As usual, this budget has been greeted with a partisan approach, while Dr Duffuor thinks the achievements he enumerated give the government confidence that in the coming years, Ghanaians can continue to trust the NDC government to faithfully steer the affairs of our dear nation, Osei Kyei-Mensah-Bonsu and his colleagues in the minority strongly think otherwise.

“Clearly, we have come a full cycle, and we’ve realised that anko yie (it didn’t go well); yenhu so (all is not well), ya’setenamu no ansesa (our lives were not bettered), and to me [it is] bye-bye budget,” Mr Kyei-Mensah-Bonsu told Joy FM’s Bernard Saibu.

The Minority was the least moved by the enumerated achievements, and also, very much doubted what the budget holds for the nation.

By that conviction, he told Joy News: “To me it is full of sound and fury, signifying nothing.”

Although he admitted that the government in 2011 has “done a bit” like the construction of schools “that should translate into good results. What did we see?”

He was highly suspicious of claims by the government to stimulate and generate employment, because, according to him, the manufacturing industry which is expected to play that role “is collapsing”.

K.T Hammond, Member of Parliament for Adansi Asokwa, re-echoed the position of his Minority Leader, saying the statement did not sound like a budget to him, adding “I hope it is the last budget” for the ruling NDC party.

Markets were opened with the usual trading contrary to the directives from the AMA. On one occasion the city Mayor, Alfred Oko Vanderpuije had to compel some shops to close till the work was done.

Infact, the ‘I don’t care’ attitude of the Ghanaian was at display.

From Mallam market and station to Nima, to Kaneshie, to- Abeka, nobody knew about the clean up exercise. Even areas like Abossey Okai and New Town, few people were involved.

At Abossey Okai for instance, though most of the shops were opened, some of the Spare Parts Sellers were ready to involve themselves in the exercise but told The Publisher that, “we are waiting for the AMA to bring us tools to work.”

Interestingly, few places that got hint of the Mayors visit were active. Some of the places visited included Sraha, Agbogbloshie, Kaneshie markets, the Mpamprom Poly clinic, Chokor and Latebiokoshie.

At Mamprobi, the Mayor and the Minister of Local Government and Rural Development were actively involved in the exercise. They were in the gutters.

The Mayor noted with concern the fast rate at which people were turning drains into waste dump sites and called for stiffer punishments for those who go contrary to the city’s bye-laws.

He urged Ghanaians to be conscious of personal hygiene in order to stem cholera and other outbreaks.

Though the clean-up was to start at 6:30 and end at noon, an Official of the AMA trying to explain the poor exercise said, “from experience people will start getting involved from 12 going, and even most will do it on Sunday, so it’s really not a day’s work.”

The clean up exercise follows the October 26 flood that hit Accra. The exercise was also to test the capacity of the various sub-metropolitan areas to manage garbage and filth collection in their localities.

The October 26th torrential rainfall saw many gutters and rivers overflowed their  banks killing about nine people and causing damage to property worth million of cedis.

There appears to have been a loss of international goodwill for Ghana, which may have affected the level of donor support for Ghana’s development programmes.

During Former President Kufuor’s time, Ghana enjoyed tremendous goodwill and respect around the world which gave Ghana massive donor support. For example the Japan grant offered to Ghana for the construction of the Cape Coast road, the grant from China, for the construction of the Acccra- Kumasi road, and eventually our selection as a major beneficiary of the Millennium Challenge Account, are all testimony of the strong and respected leadership that Kufuor brought to the Ghanaian political landcape.

And he accomplished this by building excellent relationship with Presidents and movers and shakers of the developed world.

For example during Kufuor’s era, Ghana was invited to attend major international meetings including the G8 and G20 meetings. Because of these meetings and his interactions with the leaders of the industrialized world, Kufuor was able to attract development resources to Ghana.

This week, the G8/G20 is meeting in Canada and President Goodluck Jonathan and Jacob Zuma  are already there. In the past, the Presidents of South Africa, Nigeria and Ghana have been invited as observers at this meeting.  Since the departure of President Kufuor, Ghana has not been at any of these meetings. What is the reason? Why is  President Mills not in Canada as his colleagues from Nigeria and South Africa?  Is Ghana’s influence and international standing waning under Mills’ presidency?

The irony of the situation is that President Mills is traveling to South Africa ostensibly to meet President Zuma to discuss issues he alleges came out his meeting with Angola President Dos Santos during his visit to Ghana.

The question for President Mills is, was he invited for this meeting or was he not.

If indeed he was invited and did not attend and decided to go to South Africa then that is tragedy for Ghana. Equally tragic for the country, would have been the case that he was not invited at all.

If he was not invited then the question Ghanaians would want to know is why was Ghana not invited. Is it because the G8/G20 leadership have lost confidence in the Ghanaian political leadership.  Could it also be a loss of confidence in the Economic policies of Ghana.

Incidentally, last week the Forbes Magazine issued a report indicting the management of the Ghanaian economy and the economic priorities set by the Ghanaian government. Can there be a relationship between this report and the unwillingness of the G8/G20 to invite Ghana to its meeting.

Meanwhile, President Zuma knowing what his country’s priorities are has left South Africa for the G8/G20 meetings, most likely with his Minister for Foreign Affairs, Finance and other senior officials. So with whom is President Mills going to have this discussions?

Is Mills just avoiding current domestic problems as reflected in the bad economy and the floods?  What is the urgency of going to South Africa to discuss issues for an AU meeting which would take place between 24-29 of July when there are current urgent flood problems in our country today.

Should the President not stay at home and provide the leadership require to deal with the flood that has already claimed about 30 Ghanaian lives. Other places in the world, this would require the total attention of the President and his cabinet, or is this their conception of the ‘better Ghana’ agenda?

“This is unprecedented, we are having difficulty containing the people as everyone wants to rush in,” one security man told The Mail. Even with the numerous air-conditioners breezing away, the place still felt hot with the numerous bodies crowded there letting off heat.

Small drinking spots also did well, as those tuning in at home went through several times their normal intake of beer and other beverages with the accompanying snacks.

As others were eating and drinking, the game must have acted as an aphrodisiac to others. At Lapaz in Accra, a pharmacist told The Mail that, “well, I can’t tell you the number of condoms bought – it is not professional, but I can tell you that people have really purchased more today.”  The story was no different from other pharmacies visited around Tesano and Kaneshi areas.

At the Kent Pharmacy shop in Kingsby, Achimota, the shop attendant was hesitant in giving out information at first, but when she did, she said, “Well, people are buying it, but I don’t think it’s because of the Black Stars win…people rather like to drink than have sex during this period.”

Ghana was the first African country to win a game in the on-going World Cup competition in South Africa. The victory over Serbia has perhaps presented the best answer yet to questions regarding the Stars’ form before the match, especially those who doubted that without Michael Essien the team was not going to go far. The jubilation started immediately the referee blew his whistle to bring the match to an end and Ghanaians all over the country poured out into the streets to start their celebrations amidst singing, clapping, beating drums, tooting their car horns and anything to show excitement as though that was the final.
With the kind of jubilation that was witnessed after Ghana’s first win, a lot of people have been asking how the country would behave if the Stars beat Germany in their next encounter, which would mean automatic qualification to the next round.

Sex

Sex is really interesting. It is one thing that can bring big personalities down their knees. It can make you cry and laugh…It can even make you forget your dignity as an individual. Men of God, Imams, Presidents and many other well renowned personalities have succumbed to the power of sex.  Everybody loves sex, but I think it is best enjoyed when it is done in a dignified manner.

Living in a country like Ghana, where almost half of the adverts on radio and Television are on sexual enhancement drugs, one gets the real feeling and power of sex. But we need to ask this question, why is the drugs always for the men?

I recently did a programme for West Africa Democracy Radio (WADr) and during the interview, a lady told me, “Many Ghanaian men come early during sex”, hence the use of drugs to prolong it. A gentleman was blunt, “Kofi the ladies of today, you either do it well or forget it.”

Interestingly, how can a 65year old man rape a 3year old child….in fact what is on this girl that is sexy, romantic or attractive? I have a thrilling piece on the sex nature of Ghanaian men and women and I would be serializing it from next week.

But reading what is happening to England and Chelsea player, John Terry, I can imagine the kind of world we live in. There are some responsibilities that come with being a star or celebrity- apart from all the popularity, media attention and cash that comes with it, you must know that you live your life with the people. Whatever you say or do becomes news. And for us the media, we just love the bad news.

Would John Terry’s saga have occupied the major dailies in the UK if he was not a football star?

The Bible tells us not to judge, but I think John Terry’s behaviour was animalistic. Sleeping with your friend’s girlfriend is common in the world, but such temptations should be fought against by the victims.

May be it’s Satan! He is really blamed for everything, but even before we get in to those spiritual and biblical things, I don’t think Satan enjoyed the fucking or the sex with John Terry.

The mere lusting for the Vanessa Perroncel should not even have happened when he knew she is for his best friend, Wayne Bridge.  I love John Terry, I love Chelsea and I love football. I don’t think because of this, he should be stripped of his England captainship. I think it would be too harsh. He has been punished by the media and I hope he learns.

Chelsea Vs. Arsenal….. JH break them!

Dr Westcott wants Ghana to rely on foreign investors to develop its oil

The British High Commissioner in Ghana, Dr Nicholas Westcott, has said that the practice where incumbent governments disregard agreements signed with foreign investors by previous administrations can scare investors from coming into the country.

Dr Westcott said this at a public lecture organised by the Public Affairs Directorate of the University of Ghana.

It was on the theme, “Governments, Growth and Migration: Britain and Ghana Compared.”

“It not just telling foreign investors they are welcome,” the High Commissioner said adding that “we have to prove it, demonstrate a consistent policy and an open economy.

“These days, there is intense competition for investment throughout the world. The same applies to Ghana as to the UK. Consistency, not just over four years but over ten or twenty years, will be vital for the foreign investors, and contracts, once signed, should be respected,” he added.

Dr Westcott called for a coherent and consistent long-term economic policy to guide the country’s development agenda.

The High Commissioner also urged the government to consider the public sector reform seriously to ensure that the tax payers had good value for money, stressing that Ghana had not only what was one of the proportionately largest public sectors in Africa, but one of the largest public deficits.

Dr Westcott argued that trade liberalization underpinned the growth of Britain and the other emerging economies under state ownership, saying that British car manufacturing had for instance, plunged into the doldrums until it was privatized into foreign hands, adding that “under foreign ownership, the UK still makes cars and sells them at profit.”

Ghana, he said could also follow suit to develop her economy. “Privatisation enhances competition,” he added.

Touching on the new oil find, he urged the government to look for the right investors to invest in the industry.

He said when Britain struck oil in the 1960s; it lacked the domestic capacity to develop the oil resources but relied on foreign investors, saying the “risk was borne by others, the revenue still came to us”.

Dr Westcott said Ghana could follow the example of Britain to develop her oil resources.

Every part of the country to be branded

In 2006, former President Kufuor established the Ministry of Information and National Orientation (MINO). The Information Ministry which had been in existence since independence was now tasked with “National Orientation”. According to the then Minister of Information, Mr. Kawema Bartels, the main aim of National Orientation was to sensitize the Ghanaian on patriotism and love of country.

Some people however saw it as taking over the duties of the National Commission for Civic Education (NCCE). But as people’s perceptions of the integrity of the MINO and the debate raged on, the National Orientation remained attached to the Ministry of information until President Kufuor left office on 7^th January, 2009.

When President Mills took over and announced his first Ministers, it was clear that he would not be following the footsteps of his predecessor as the Information Ministry reverted to its old name and functions devoid of any national orientation.

But perhaps with a sidelong glance at the idea of national orientation, and with a new vision and direction, President Mills in September last year, set up the Brand Ghana office.

The mandate was: “To establish a compelling image for Brand Ghana by creating, coordinating and harmonizing a persuasive Brand Ghana positioning.”

As an institution on its own, the Brand Ghana office is not under any Department or Ministry. It is an independent institution, which is to set a national vision for branding.

In an interaction with the media in Accra, the C.E.O of Brand Ghana, Mr. Mathias Akotia said what makes his office different from that of the National Orientation is that, “We want Ghana to be identified…What Ghana stands for and what makes Ghana Ghana.”

He noted that though the Kufuor Administration wanted to brand Ghana, “it was not taken seriously…but this time, I see the seriousness in Brand Ghana.”

The prime goal of the Brand Ghana initiative, he said, is to develop and implement a proactive and integrated national and international strategy to stimulate economic, social and psychological wellbeing for all in Ghana.

Explaining the rationale behind the establishment of a Brand Ghana office, Mr. Akotia said, despite all the problems that the country is facing, “Ghana must be seen, perceived to be different, credible and attractive…The country must invest in the drivers of modernization and ensure investment match the national strategy…It is imperative for us as a country to create a powerful and positive national brand and image to serve as a competitive advantage in today’s globalized environment and to enhance nation building.”

A nation’s brand, he said, is a conscious management of a country’s identity and its communication to gain international recognition as well as to construct a favourable national image.

According to him, the behaviour of citizens of the nation should be consistent with whatever the country communicates to the outside world.

“It’s about perception; it’s about image being formed about you. The best forms of communication are about behaviour that supports the kind of proposition we want to offer those whose attention we seek”, he said.

He noted that, branding the nation involves an internalization process for people to effectively express themselves to foreigners.

Mr. Akotia disagreed with the suggestion that Brand Ghana is going to duplicate roles already existing and said “it would rather set the national vision for branding.”

He mentioned South Africa, India, Malaysia, Egypt, Costa Rica, New Zealand, Poland and Kenya as some of the countries with active branding programmes.

Mr. Akotia revealed that the government has approved the Brand Ghana framework for development.

Even before the launch of Brand Ghana in July this year, a stakeholders’ forum is expected to be organized in March. National symposiums, education and interaction are also expected to be carried out by the Brand Ghana office.

“Brand Ghana must be truly non-partisan and we would work with everybody to ensure that it becomes a success,” Mr. Akotia said.

But how long would Ghana Branding take? Mr. Akotia said, “It will take a long time.” But critics are not impressed. An editor said though a good idea, the Brand Ghana itself has already been branded. Explaining, he said, the insular nature of the Mills Administration in the past year has kept many people away who could contribute very meaningfully to such ventures. He said the country is polarized between the NDC and NPP and unless that divide is bridged, nothing meaningful can come out of “Branding Ghana”. He recalled that the idea itself was not exactly new because a former Minister of Information in the Kufuor Administration, Mr. Jake Obestabi-Lamptey, had mooted the idea and even got a team to start working on the concept…

“heloo, Kofi are you asleep,” the caller said, in a tone that depicts anxiousness.

With a soft voice I answered “yes.”

Perhaps surprised by my yes answer, the caller screamed “ wonti se asaase be wo so na wada, wo koraa wo ye Journalist won nim”, which literally means ‘have you not heard that there is going to be an earthquake…you are a journalist but you don’t know’

Immediately, I woke up from the bed and asked “who told you,” and the caller answered “it has been announced, it’s on the website, it’s all over, get out of your room.”

Uncharacteristic of me, I was not shaken or frightened; I thanked the caller and switched on my television.

I went outside and it was like day break…. There were many people outside. Infact some people had become expect in earthquake to the extent that they were lecturing others. It was pitiful, but humorous scene to watch.  I got back to my room and switched to the BBC. I called a friend in one of the media houses and asked if the Ghana Metrological Service has released any statement to that effect. “Kofi, as I was leaving the office there was no statement,” he said.

Trying to play a prank on me, this friend of my said jokingly “Kofi you are going to die,” and this erupted a huge laughter from me. “ I am not scared to die, but I have no child to leave behind, that is my problem,” I said. Like kids, we laughed profusely.

Still doubting the source of this information, I switched from one radio channel to the other.  I took my phone again, but this time called the West Africa Democracy Radio in Senegal to report on what I have seen and heard…. As I roamed around my room, like an aimless dog, I heard the Minister of Information on the radio. “It’s a hoax,” he said.

It came as no surprise to me because I did not believe it at first….the rest is history