Two people killed by the Committee for the Defence of the Revolution (CDR)

Two people were killed and 17 wounded, some seriously, Thursday as more than 50,000 people joined an anti- government demonstration in Accra.

The Ghana News Agency (GNA) cited officials at the Korle Bu teaching hospital as saying that the dead were 14-year- old Ahulu Hagan and 25- year-old Jerry Opeh.

Police said one man has been arrested in connection with the deaths. He was being kept at the regional police headquarters. Police have also seized a pistol.

The situation in the Ghania capital was tense as anti- government demonstrators and government supporters clashed in the centre of the city.

Police fired warning shots several times to control the situation. Police and soldiers backed by armoured cars blocked several roads and guarded buildings and installations. A helicopter hovered above the demonstrators.

The anti-government protest is the biggest in the Ghanaian capital since President Jerry Rawlings came to power with a military coup in December 1981.

The demonstrators wearing red arm and head bands and carrying sticks, stones and tree branches marched from the Kwame Nkrumah Circle to central Accra and ministry buildings in the city centre.

They carried placards condemning the government's economic policies, especially the Value Added Tax (VAT) which is blamed for big price jumps.

The anti-government demonstration was organised by several opposition groups under the name "Alliance for Change". The oraganisors said they were protesting against the high cost of living in the country, especially VAT. They also want Rawlings to resign.

The pro-government government demonstration was organised by the Association of Committees for the Defence of the Revolution (ACDR), placards praising Rawlings.

Police said four people in tee-shirts of the pro-government group were arrested, but gave no further details.

The demonstrations brought activity in Accra to a virtual standstill as shops were closed on the orders of the metropolitan authority to prevent looting.

The unrest follows strikes and other protests by civil servants and workers under the Trades Union Congress demanding salary increases.

Ghana, with help of World Bank and the International Monetary Fund (IMF), has turned around its battered economy since it started an economic recovery programme in 1983.

Infrastructures have been repaired, production in industries has gone up, good growth rates have been recorded and the general supply situation has improved.

But the cost of living has soared and the daily minimum wage of about 1.10 dollars can buy only one meal a day for one person.

Finance Minister Kwesi Botchwey said on Sunday that the government was considering reducing the 17.5 per cent VAT and has been holding salary negotiations with workers.

Source: Copyright 1995 Deutsche Presse-Agentur Deutsche Presse-Agentur May 11, 1995, Thursday, BC Cycle 18:15 Central European Time