Tag: Akufo-Addo/Bawumia

  • Akufo-Addo under pressure to sack Ken Ofori-Atta for Bawumia’s sake – Bright Simons

    Akufo-Addo under pressure to sack Ken Ofori-Atta for Bawumia’s sake – Bright Simons

    President Nana Akufo-Addo is under intense pressure to make major changes to his cabinet, as rumours and speculations swirl about a possible ministerial reshuffle.

    According to a tweet by Vice President of IMANI Africa, Bright Simons, the president is being pushed to:

    • Sacrifice Finance Minister Ken Ofori-Atta to bolster Vice President Mahamudu Bawumia at the polls;
    • Accept Energy Minister Matthew Opoku Prempeh as running mate to Bawumia despite resistance;
    • Axe some top ministers considered aloof by grassroots folks.

    But Mr Simons believes that “this President hates pressure”.

    The tweet, which has sparked a lot of reactions online, reflects the growing discontent and dissatisfaction with some of the president’s appointees, especially the finance minister, who has been accused of mismanaging the economy and plunging the country into hardship.

    Ofori-Atta, who is a cousin of the president, has faced several calls to resign from both the opposition National Democratic Congress (NDC) and some members of his own party, the New Patriotic Party (NPP).

    He has also been the target of protests and petitions, demanding accountability and transparency in his handling of public funds.

    Some of the controversial policies and decisions that have tainted his reputation include:

    • The introduction of the 1.5% E-levy tax on electronic transactions, which has been met with widespread resistance and criticism from various stakeholders, including traders, consumers, civil society groups, and even some MPs from the ruling party.
    • The alleged unconstitutional withdrawals from the Consolidated Fund for the construction of the National Cathedral, which has been challenged in court by some citizens and civil society groups.
    • The alleged illegal payments of oil revenues into offshore accounts, which have been questioned by the minority in parliament and some anti-corruption campaigners.
    • The alleged deliberate and dishonest misreporting of economic data to parliament, which has been exposed by some economists and analysts.

    Ofori-Atta’s performance and credibility have also been affected by the poor state of the economy, which has been hit hard by the COVID-19 pandemic, high inflation, depreciation of the cedi, rising debt, and low revenue.

    However, the president has so far shown no signs of losing confidence in his finance minister and has defended him on several occasions.

    But the pressure on the president to make changes to his cabinet is not only coming from the opposition but also from some members of his own party, who are concerned about the impact of the current situation on their electoral fortunes.

  • Why Ghana makes huge revenue windfall from global crude price hikes – John Jinapor explains

    The Ranking Member of Parliament’s Mines and Energy Committee, John Jinapor, has ‘shot down’ government’s claims that the Russia-Ukraine war is the cause of Ghana’s economic difficulties.

    According to him, “the evidence as contained in the 2022 semi-annual report on Petroleum receipts has revealed that Ghana is making huge windfalls from the sale of crude oil, royalties, tax payments and surface rentals from the three oil producing fields bequeathed to the current NPP Government”.

    John Jinapor who doubles as the Member of Parliament for Yapei-Kusawgu constituency in a statement further indicated that “Ghana is indeed blessed with abundant natural resources generating significant revenues to the national purse, the hard truth is that the current economic hardships can only be the result of bad leadership and poor decision making by the current managers of the economy”.

    Ghana Makes Huge Revenue Windfall From Global Crude Price Hikes!

    Contrary to the narrative by the Akufo-Addo/Bawumia-led government that the Russia/Ukraine war is impacting negatively on revenue mobilisation on all fronts, the evidence as contained in the 2022 semi-annual report on Petroleum receipts has revealed that Ghana is making huge windfalls from the sale of crude oil, royalties, tax payments and surface rentals from the three oil producing fields bequeathed to the current NPP Government.

    Section 4.1 (page 31) of the PIAC report confirms that an amount of $731.94 million was realised from Ghana’s oil resources in the first half of 2022. This amount is equivalent to about GH¢6.7billion (using an exchange rate of $1 to GH¢9.2) which has already surpassed the total annual projected Petroleum revenues estimated at GH¢6,628 million under paragraph 253 of the 2022 Annual Budget statement presented to Parliament in November 2021.

    From this development, it is obvious that Ghana is on course to achieving a quadruple or more of the original projected revenues from the Jubilee, TEN and Sankofa Gye-Nyame fields for the 2022 fiscal year.

    In addition, other revenue handles have witnessed significant positive out-turns over and above their projected targets.

    For instance, the 2022 Fiscal data report from the Ministry of Finance reveals that the Price Stabilisation & Recovery Levy alone has so far accrued GH¢798,021,065 as compared to a projected figure of GH¢269,348,015, which is almost 300% more than the revenue target for the first two quarters of the year, 2022.

    We therefore wish to reiterate our position that some portions from these extraordinary windfalls can be used to cushion the ordinary consumer in terms of soft subsidies at the pumps.

    It is important to remind the Economic Management Team (EMT) under Dr. Bawumia that a litre of diesel currently sells at the pumps at a whopping GH¢65.25 leading to severe hardships and suffering accros the country.

    Ghana is indeed blessed with abundant natural resources generating significant revenues to the national purse, the hard truth is that the current economic hardships can only be the result of bad leadership and poor decision making by the current managers of the economy.

    Signed:
    Hon John Abdulai Jinapor
    (Ranking Member, Mines and Energy Committee)

    Source: Ghanaweb