Mixed reaction by MPs on 2019 mid-year budget review

Accra, July 30 GNA - Mr Daniel Okyem Aboagye, Member of Parliament (MP) for Bantama has applauded Finance Minister, Ken Ofori-Atta for the 2019 Mid-year Budget Review Statement, describing it as forward looking.

According to him, it was not bad for the citizenry to pay a little more in terms of taxes to enable the government provide regular power supply and to fix their roads than to sleep in the dark and also drive on the potholes.

Mr Aboagye made the remark during an interaction with the media after Finance Minister, Ken Ofori-Atta has presented the mid-year budget review statement on the floor of Parliament.

The presentation of the budget review statement was in accordance with Section 28 of the Public Financial Management Act, 2016 (Act 921).

Ahead of the presentation, there were indications from the Finance Ministry that there would be upward revision of the 2019 appropriation ceiling and its underlying measures, in order to achieve the objectives of the 2019 budget, which has the theme: “Expanding the economy and increasing jobs”.

Mr Aboagye also explained that the government had to increase some taxes in order to generate enough revenue to provide the essential services to the people.

“It is time that we have to be real and be truthful to each other. Do you want our roads to be fix, do you want our children to go school. We deserve those things but somebody has to pay for it.”

He said though the luxury tax has been withdrawn, the Communication Service Tax had been increased from six to nine percent to create a viable technology ecosystem in the country.

Mr Fiifi Kwetey, MP for Ketu South, in a reaction, criticized the Government over the poor management of the economy, saying the current administration had had a lot resources than all previous governments, yet there was nothing much in terms of development to show on the ground.

He described the government as being insensitive to the plight of the people and that the levying of the new taxes on the people would bring untold hardship to them.

Mr Kwetey said there was no justification for the imposition of these new taxes since these would affect the disposable income of the people.

Mr Fuseini Issah, MP for Okaikoi North said the Mid-year Budget Review by the Finance Minister indicated a positive performance of the economy and as such had brought a lot of hope for businesses.

He said the government from the time it took office has continued to maximize the welfare of the citizens by introducing pro-poor policies for the mass of the people.

He said the government increased the Communication Service Tax to generate sufficient revenue to enable it to implement its development programmes.

Mr Issah also explained that the government increased the ESLA levy in order to defray the outstanding legacy debt in the energy sector and to ensure reliable supply of power to Ghanaian businesses and households.

The government he said had demonstrated overtime that it had always made judicious use of the resources to provide development to the people.

Mr Emmanuel Armah-Kofi Buah, MP for Ellembelle, criticized the Government for not being truthful when they informed the Ghanaians that they have cancelled a lot of contracts on the Independent Power Producers (IPPs) only to find out it was  not correct.

He said the Energy Sector Levy Act, which was meant to pay for the legacy debt in the energy sector had been diverted into paying pensions.

He said the increase in the fuel levy by the government would bring untold suffering to the people.

GNA

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