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Opinions of Saturday, 20 May 2006

Columnist: Amankwah, Nana Kofi

NDC Loans are not for personal use

The National Democratic Congress has the tendency to destroy their political opponents for their own opposition?s interest which is poor tactics against the progress of a national economy. The NDC has the right to oppose the NPP; this is what opposition political party responsibilities are all about. But they do not have the right to indulge the interest of the nation, as some NDC parliamentarian?s members have made allegations against the current administration to some financial institutions like the IFC/CNTC. Common sense tells the financial institution that these individuals were not seeking loans for their personal interest but for Ghana?s interest. NDC has sabotaged and ruined the current administration?s ability to secure these loans to finance government projects.

The NDC should realize that there are opposition parties in Brazil, but they don?t oppose their government to obtain private loans to govern Brazil. In the United States the government sells 30 year government security bonds. So what is wrong with the current administration seeking loans? Countries like Brazil, the United States, and the United Kingdom have opposition parties who don?t impede their nation?s ability to secure loans to run their government. Instead they assist their government for the interest of the nation. Those NDC members who are playing these brainless games should have realized that when their party left office. The national interest rates in the bank of Ghana were 52% to 54%. This high interest rate dropped the GPD to its lowest level by creating inflation of 48%. As a result of this, there was a huge deficit in our current accounts system that forced the current administration to HIPC to obtain some relief to govern the country.

I give credit where credit is due. I give 20% credit to the NPP administration for their significant improvement in reducing the interest rate from 54% to the current interest rate which is 22%. And 80% credit to outside Ghanaians for their remittance that has sustained the currency and reduce the huge deficits in our current accounts. If John Agyekum Kufuor wont recognize your efforts I will. The NPP has also improved some parts of national education, which has prompted many Nigerians to come to Ghana to study for their O levels and university educations in our country.

The NDC should also remember that their administration has caused serious financial losses to the nation?s mining industry. In1999, Sam Jonah the chief executive of the Ashanti Goldfields took the corporation to future hedge in forward market, while the spot markets were booming in the world market. Instead of him thinking about the consequences of the nation?s resources he just became a speculator. Sam Jonah Should also explains to Ghanaians why Rawlings secret police were able to seize gold that was supposed to be transported to the world market under his watch. I hope the current Attorney General will indict those who were responsible for this transaction using national mineral resources in bidding on the forward market. These transactions from the NDC administration costs the nation hundreds of millions of dollars in losses at the spot market rates at that time. When gold prices were selling at their highest values, Ghanaian?s gold was sold at the cheapest price, because of the NDC?S lack of economic vision for going into the hedging and locked up prices at their lowest rates. I want some of the NDC members should realize that due to their poor economic policies that they made during their time in office they have forced the current administration to seek any financial needs through these financial institutions to put the macro and micro economic course back on track. The NDC should also realize that the country can be governed effectively if you consent to people to have freedom of speech and criticize the government on their wrong doings.

From Nana Kofi Amankwah (New York)

Views expressed by the author(s) do not necessarily reflect those of GhanaHomePage.