Government educates public on state of economy

Mr Kwesi Ahwoi, Chief Executive, of the Investment Promotion Centre in Ghana has said that the country's present economic situation is a result of unfavourable international market forces. He said despite the situation, government was trying to manage its negative effect to keep the economy moving. Mr Ahwoi was speaking at a day's forum on the state of the economy for opinion leaders from Tema, Dangme East and West Districts.

It was organised by the Greater Accra Regional Co-ordinating Council (GARCC), to educate chiefs, assembly members, hairdressers, dressmakers and a cross section of workers on government policies in Tema.

Topics discussed included "The State of Divestiture, Energy Situation form 1982-2000, the State of the Economy, and Challenges of Education Reform." Mr. Ahwoi said that even though prices of fuel continue to increase on the world market the government has not increased prices of fuel while neighbouring countries such as Togo and Ivory Coast have done so.

He disclosed that the government has paid about 535 million dollars for crude oil from Nigeria, adding that any increase in fuel price now would be justifiable.

The Chief Executive however said that government is subsidising the price of the product because of the rippling effect it would have on transportation and wages for workers.

He urged Ghanaians to patronise made in Ghana products adding "by patronising foreign products, we help to create jobs for people in other countries to the neglect of many Ghanaians who continue to be unemployed” Mr Ahwoi said this attitude contributed to the collapse of the country's industrial base, a sector that gives government some revenue.

Mr. Simon Abingya, Deputy Minister of Mines and Energy noted that government had connected all the 110 district capitals to the national grid, and gave the assurance that all towns and villages would enjoy power supply by the year 2020.

On the fuel situation, he said in November, Ghana would start importing crude oil directly from Nigeria.

The Deputy minister said despite the increase in the price of crude oil, the government had kept faith with the people by not increasing the price of the commodity.

Mr Abingya said, Ghana, would receive a total of 1,350 barrels of fuel per month from Nigeria and asked the public not to panic about any shortage.

On divestiture, Mr Emmanuel Agbodo, Chief Executive of the Divestiture Implementation Committee denied allegations that foreigners have monopolised it.

He said on the contrary, Ghanaians are considered before foreigners, stating that out of about 233 enterprises divested, 190 are being managed by Ghanaians, 20 as joint ventures made up of Ghanaians and foreigners, while only 23 went to foreigners.

Mr Agbodo said comprehensive procedures are adopted to ensure transparency and fairness in the implementation of the programme as companies to be privatised are advertised in both local and international media.