Govt?s growth rate target questioned

The NDC MP for Jomoro says it is unlikely for government to meet the growth rate of 5.8 per cent projected for this year.

Lee Ocran says after monitoring the growth rate of the various sectors of the economy he is convinced that the target will not be met.

Mr. Lee Ocran was contributing to the debate on the motion to pass the 2006 budget statement presented to Parliament.

The Finance and economic planning minister, Kwadwo Baah Wiredu stated in his presentation of the 2006 budget that government is broadly on course to achieving a 5.8 per cent growth rate for 2005.

But Mr. Lee Ocran disputes the claim. He told Parliament that a scrutiny of the various sectors reveals that the figure is unlikely to be attained.

The Jomoro MP said the budget contains some good provisions but he was unhappy that greater tax relief was not provided to the private sector.

He commended the government for making provisions for low cost housing but wondered if the promise should be taken seriously.

But the minister of Works and Housing raised objections to Mr. Ocran?s assertion saying the government has shown real commitment to the project.

In other contributions, the MP for Sene, Felix Twumasi Appiah commended the government for the growth in private investments.

He however told the House that even though a lot has been realized from gold, cocoa and other economic resources, Ghanaians are still suffering.

He then took the government on for boosting that it is the only administration since 30 years to have given a minimum wage of more than a dollar.

The MP for Ketu North, James Klutse Avedzi on his part called on the government to abolish the withholding tax taken from businesses saying it is not helping. He said the tax relief on income tax offered in the budget was deceptive.

The MP for Bunkpurugu Yunyoo, Joseph Labik in his contributions described the budget as good news for big businesses but would sadden a lot of peasant farmers.

A deputy minister of finance and economic planning, Dr. Akoto Osei mounted an all out defence of the ?Good News? tag given the Budget.

He catalogued a number of projects, which he said would put smiles on the face of Ghanaians.

The debate continues on Friday.