Gov?t image, Ghanair and GhanaTelecom

Last Tuesday, we carried a front page story on how a respected publication of the World Economic Forum, WORLDLINK has taken Government on for its position on Ghanair and Ghana Telecom in its current edition.

Specifically, the report said Government, despite voicing a philosophical bent towards privatization, has so far avoided tackling the airline?s chronic problems and seems unwilling to make bold decisions about the ailing carrier.

The Independent is not surprised at this turn of events because like many others, we have always found Government?s position on Ghanair in particular difficult to understand. The Independent disagrees with the assertion that Government has so far avoided tackling Ghanair?s chronic problems because we are aware that some key officials of Government have stated that it will only take a decision on the national airline after a forensic audit has established what went wrong.

Against this background, efforts by some business concerns to buy a stake or equity in Ghanair have fallen through as if private sector participation can not take effect whilst the said forensic audit goes on. It is under such circumstances that South African Airways withdrew its bid to take equity in Ghanair.

Meanwhile, as we await the conclusion of perhaps the ?mother of all forensic audits? Ghanair?s situation is growing from bad to worse. Indeed, the name Ghanair today evokes memories of decadence, ineptitude and to say the least, wrong judgements.

The Independent urges Government to move faster than it is doing now to salvage its own image as well as that of Ghanair. Recent seizures of Ghanair?s properties by A.J. Walters for non-payment of debts have not done the airline?s as well as Government?s own image any good. The matter of Ghana Telecom as reported in the WORLDLINK report as well as events in the telecommunications sector does not also do Government?s image any good.

Though the WORLDLINK report blames the inertia and absence of a regulatory framework in the country?s telecommunications sector on the last government, it is increasingly becoming common knowledge that government should accept part of the blame for the way it went about the Management Service Contract of the Malaysians.

A portion in the report for instance is clear on the over valuing of Ghana Telecom and expectations from strategic investors. The Independent is of the view that Government has to adopt a ?carrot and stick? approach with the Ghana Telecom issue if this country?s image as an investment destination in the sub-region is to be maintained.

Already, there is talk of the Malaysians attempting to withdraw their investments in other sectors of the economy in protest at the way they have been handled regarding the Ghana Telecom matter.

The Government Public Relations machinery and government has to immediately get to work to repair the ?damage? occasioned by the WORLDLINK report whilst ensuring that the rough edges about our investment climate are smoothened.

The ?Golden Age of Business? can only succeed if we apply ourselves to a legal and business regime that has zero tolerance for indecision, inertia and red tape.