In assessing a manifesto of an incoming President who had been ahead of state before, you don’t do so thinking he has no understanding of governance and what his country needs and what we can do as a nation.
NDC’s overarching fiscal policies and monetary policies are what we need as a nation – for a rescue mission.
The fiscal policy of the NDC in 2021 will be designed to ensure that taxes are fair, equitable, and favorable, and that public expenditure is aligned to the needs of Ghanaians.
The NDC Government will focus primarily on eliminating the crowding-out of the Ghanaian private sector to create sustainable jobs, guarantee decent incomes, improve the livelihood of Ghanaians, and bridge the inequality gap.
Every Ghanaian, including market women, taxi drivers, trotro drivers, ‘okada’ ‘prajia’ and ‘aboboya’ riders, farmers, fisherfolk, hairdressers, tailors, seamstresses, artisans, businessmen, businesswomen, entrepreneurs, civil servants, labourers, directly or indirectly participate in the Public Revenue Mobilization Process to contribute to the Resource Envelope.
Therefore, the economy draws its strength from the activities of households, firms, businesses, and other relevant Government units.
Visionary! What else do you want to hear, Dr. Tsumasi Priscilla?
The Keynesian economics theory indeed supports all the above – injecting money into one’s economy,..and how do you do that? Through creating jobs, creating enabling environment for businesses to thrive – tax exemption for indigenous green SMEs, engaging in infrastructure projects which throw up a lot of jobs,.again, I was delighted when JD. Mahama made it clear that companies to be engaged in the $10 billion Big PUSH concept will be indigenous registered companies, with the view that the money they make will stay in the country to grow our economy,..He also made it clear that the ministry of agriculture will be changed to the ministry of agriculture and agribusiness,..so that our farm produce like cashew, pepper, cocoa, etc will be given value addition before export, same in the natural resources sector ..etc
Under the monetary policies in the NDCs manifesto, it touched on the unjustifiable introduction of GH¢100 and GH¢200 denomination notes and how it could have adverse impacts on the currency in circulation, money
supply and inflation in the medium term. And they promised the next NDC government will ensure that the Bank’s
policies are first and foremost geared towards economic development, in addition to promoting price stability (low
and stable inflation and exchange rates) and ensuring a sound and resilient financial sector.
Among others, they said, NDC government will;
a. strengthen monetary policy formulation and maintain low but adequate money growth to support financial intermediation and economic growth post COVID-19
b. enhance the application of the Ghana Reference Rate (GRR) in implementing monetary policy
c. ensure lower lending rates through more appropriate pricing of risk for customers by the banks
d. manage the flexible exchange rate regime to facilitate adjustment to external shocks and ensure sustainable external buffers at all times.
Micro, Small, and Medium Enterprises (MSMEs) contribute significantly to private sector development in Ghana. MSMEs in Ghana offer sustainable and meaningful jobs to the majority of Ghanaians.
Many SMEs that cannot endure the harsh economic conditions following the mismanagement of the economy by the NPP Government and the deliberate collapse of businesses by same, coupled with the adverse impact of the COVID-19 pandemic, will be forced to lay-off most of their workers and at worse fold up, especially those that cannot keep up with production.
Beginning 2021 and into the medium-term, the NDC Government will offer several tax reliefs to the private sector, especially MSMEs to enable them to recover and get back to their full operating capacities. The next NDC Government will ensure that firms leverage on these tax reliefs to expand their scope of production and employ more Ghanaians.
Private Sector Tax Initiatives:
From 2021, MSMEs will be given tax reliefs to support their operations. Within the first three months of 2021, the NDC Government will lay before Parliament several bills that will seek to grant the following tax reliefs to MSMEs:
a. Tax Cuts for Jobs (effective 2021):
• small businesses will be exempted entirely from corporate and personal income tax
• corporate income tax for medium size companies will be reduced from the current 25per cent to 15per cent
• newly established medium-sized companies that employ up to twenty (20) staff will be exempted entirely from the payment of corporate income tax for one year
• newly established medium companies that employ more than twenty (20) staff will be exempted entirely from the payment of corporate income tax for two years.
On newsfile, 19th September 2020 edition, I listened to one economist from the department of economics at the University of Ghana, Dr. Twumasi Baffuor Priscilla, and according to her, she doesn’t see anything good with an incoming government promising young and green small businesses (MSMEs) tax exemption,.. because, for her most of these businesses lifespan is not beyond five years. I was like really it! I thought newsfile is a serious platform though the panelists are always skewed towards the NPP. Did she do due diligence before appearing on the show? Or she was speaking on speculation? Indeed, every first-year finance student is aware most indigenous businesses don’t survive like she was positing based on these factors that incoming President Mahama is seeking to tackle;
i) High lending rate
So, her argument there is mute,..
Undoubtedly, this tax exemption exercise is going to be tailored for high dividends for our nation. Keynesian economics theory explains that aptly.
Just imagine given tax exemption to a green GHANAIAN owned company, registered here in Ghana and into cashew processing. The value addition chain, the jobs to be created, the money stays in our economy as they pay workers who are Ghanaians and so on and so forth.
I believe Priscilla didn’t take her time to read the NDCs manifesto, on the contrary, she was applauding the NPP of capturing in their manifesto that they’ll link MSMEs to understudy the established big firms. I laugh! Academicians shouldn’t be talking this way. But, why, hasn’t she in her studies of becoming a PhD holder gone to any firm just for a secondary data purposely for her research work and was rejected before? The fact is, most companies in Ghana and beyond don’t easily reveal their classified information – secrets to a third party. In this case potential competitors?
And now a political party is promising that they’ll make MSMEs understudy their competitors and you think that is doable? Please!
“Free Primary Health Care is the best thing NDC spoke about,” Dr. Abeka Nkrumah,.
Clearly he has done his homework before appearing on the show
The General Secretary for the Ghana Medical Association (GMA) Dr. Justice Yankson made me have a good laugh yesterday. But, I am happy the host, Lawyer Sampson Ayenini and a text from Dr. Edward Omane Boamah put him on track finally. Here is an excerpt:
Host, Sampson Anyenini: The NDC said the active members of NHIS ac
are not half our population,
The premium realized from NHIS is below 10% of its inflows.
Out of pocket payments is 40%,..
And under the free primary health care policy, NDC said they will engage and empower the pharmacies, the drug stores and the chemical shops in the cities, towns, and villages with the right gadgets to diagnose common health conditions …and they will refer urgent or emergency cases to the appropriate health facilities,..
Free primary health care is coming to support all other forms of health financing,. NHIS either national or private would be reserved for referral cases to secondary or tertiary levels.
Dr. Yankson: Pharmacies or drug stores can’t do diagnosis
Sampson:,.. ah, but, I can walk to a drug store or a pharmacy for a malaria test,..is that not diagnosis?
Response from Dr. Edward Omane Boamah in a text to newsfile in setting the records straight: it reads.
Sampson I am enjoying the discussion.
Rapid diagnostic test (RDT) for malaria, diabetes, pregnancy is done in pharmacy shops among others.
We must leverage such capacity and regularise them.
Building a health system requires such innovation.
There is clear distinction between what NDC is offering as Free Primary Health Care. Unlike that of NPP, ours is not NHIS dependent. It is free for every Ghanaian.
Concerns about Health financing is legitimate. I urge Newsfile to take a further step for the parties to discuss it.
On mental health, NDC is going for integration which is consistent with the modern trend. Pantang will be a center of excellence. NPP is silent on integration.
The limitations of a manifesto do not allow every detail to be captured.
Thank you and best of the weekend to you all.
It’s sad when so-called neutrals or experts who are called upon to give clarity to issues make things look darker than before,.
Next time, I believe Newsfile, should feature Dr. Twumasi Priscilla and Dr. Yanson as NPP commentators, …
And invite NDC communicators too to join, .
This comes handy too>>> https://okayfm.peacefmonline.com/pages/politics/202009/426738.php
I remain your humble servant. Manifesto manifesto manifesto manifesto manifesto manifesto manifesto manifesto manifesto
By Kofi Azumah Xornam aka Zumzum