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Tag: Kwaku Kwarteng

  • “It for my children’s future” – NPP MP defends “Ponzi Scheme” comment against gov’t

    “It for my children’s future” – NPP MP defends “Ponzi Scheme” comment against gov’t

    Former Deputy Finance Minister Kwaku Kwarteng has clarified his recent criticism of the ruling New Patriotic Party (NPP).

    In an interview on Joy News’ PM Express, Kwarteng addressed the controversy surrounding his critical remarks, stating that economic mismanagement is a persistent issue affecting multiple administrations, not just the NPP.

    Kwarteng explained that his criticism was motivated by genuine concern for the future, particularly for his children. He expressed that he could not support parliamentary decisions that he believed would have detrimental effects on future generations.

    As a former Chairman of Parliament’s Finance Committee, Kwarteng noted that his concerns are shared by several colleagues from both the Majority and Minority sides.

    He called for a culture of healthy debate where differing opinions can be freely expressed without fear of retaliation.

    The Obuasi West MP emphasized the importance of open dialogue in addressing national issues and stressed that alternative viewpoints should be welcomed.

    By sharing his perspective, Kwarteng aims to contribute to a more transparent and effective governance process, advocating for a political environment that values diverse opinions.

    “When I get home from work and I see my kids, I hug them. And the next time, when I come to work, I come and support decisions that will hurt their future. I can’t live with that and I can’t support that,” he said.

    The lawmaker stated that many Ghanaians, including himself, are concerned that if the country continues on its current path, its democracy could collapse, taking all political parties with it.

    He noted that since independence, the political norm has been for parties to sing praises of their past achievements and make grand promises for the future when going into elections.

    “At the same time, a political party must paint its opponents in the worst possible light. We have mastered this art, and in the process, we have forgotten that politics should be about the future of our children and our motherland.

    We have reduced election campaigns to bitter struggles between competitors seeking power for the wrong reasons.”

    Kwaku Kwarteng also likened the management of Ghana’s economy to a Ponzi scheme.

    According to him, the current economic challenges at both national and household levels stem from decades of poor governance, marked by political mismanagement and economic inefficiency across various administrations.

  • “We have been running our country’s economy like a Ponzi scheme” – NPP’s Kwaku Kwarteng

    “We have been running our country’s economy like a Ponzi scheme” – NPP’s Kwaku Kwarteng

    Member of Parliament for Obuasi West and spokesperson for the Economy Committee, Kwaku Kwarteng, has attributed Ghana’s economic crisis to decades of poor political decisions and economic mismanagement by both past and present governments.

    In an opinion piece, Mr. Kwarteng likened the management of Ghana’s economy to a Ponzi scheme..

    “The economic problems Ghana is facing today, at both the national level and in households, are also the
    cumulative effects of many decades, spanning different governments, of the bad politics and economic mismanagement that have characterised the governance of our country.

    “Since independence, we have survived by constantly overspending our means and borrowing to finance the overspending. And many of these expenditures are just bad prioritisation.

    “We always offer higher interest to lenders, borrow more, use a part to repay previous debts, and the rest to pay for the current year’s overspending. So, we have been running our country’s economy like a Ponzi scheme.

    The economy is struggling today because lenders are now refusing to lend to us. It is just like a Ponzi scheme going into crisis once people stop depositing their monies with them.”

    He urged the New Patriotic Party (NPP) to offer visionary leadership to address the country’s economic issues if they aim to break the eight-year cycle.

    He emphasized that the NPP must recognize past and present failures of the political class and move away from the tendency to label all politicians as corrupt.

    The Obuasi West MP called on the NPP to implement comprehensive and substantial reforms to tackle decades of poor governance and economic mismanagement.

    Additionally, he suggested that the NPP must persuade voters of their dedication to resolving the country’s problems and show a determination to persist despite obstacles.

    “To break the eight therefore, we must first break that norm by doing the following: Acknowledge the past and present failures of the political class to provide the kind of quality leadership required to avert the mess in which we find our country today.

    “Adopt deep and far-reaching reforms to address the decades of bad politics and economic mismanagement. We must convince voters that we shall be ruthless in our determination to fix this country, that we shall stay the course no matter the challenges, and that, there shall be no sacred cows!”

    He believes that if the NPP acknowledges the country’s challenges, takes responsibility for its mistakes, and implements meaningful change, breaking the eight-year cycle will happen naturally.

    “Once we lead by example, we can say with integrity to our people that we are sinking in a common boat and call all Ghanaians to duty. As a political party, if we sincerely believe and can demonstrate our faithfulness to these commitments, breaking the eight will follow naturally.”

    Kwaku Kwarteng argues that public concerns about spending by politicians be addressed

    “We must address concerns about how much of our national resources we spend on ourselves as politicians, and take steps to overhaul the corrupt public procurement regime we inherited from previous governments and have continued to live with.”

  • I can work better in Parliament to support gov’t – Kwaku Kwarteng on rejecting ministerial appointment

    I can work better in Parliament to support gov’t – Kwaku Kwarteng on rejecting ministerial appointment

    The Member of Parliament for Obuasi West, Kwaku Kwarteng, has defended his choice to decline an appointment during President Akufo-Addo’s recent Ministerial reshuffle.

    In a letter dated February 16, the former Deputy Finance Minister outlined two key reasons for his decision.

    Firstly, he stressed the crucial role of Parliament in overseeing finance and economic matters. He expressed confidence in his ability to more effectively support the government’s efforts from his position in Parliament.

    “The role of Parliament in the work of the Executive, especially in matters relating to finance and economy, is critical. It is my humble belief that I can better support the work of government from Parliament,” he said.

    Also, Mr. Kwarteng expressed his intention to concentrate on developing messages and governance strategies for the New Patriotic Party (NPP), particularly in anticipation of the forthcoming 2024 general elections.

    He argued that he could better fulfill this role as a non-ministerial Member of Parliament. Despite declining the appointment, he conveyed his appreciation to the President for considering him for such a significant role in the country’s administration.

    “I am eternally grateful to the President for his fatherly influence on my political career and will always stand ready to support his vision in whatever ways I can,” a portion of the statement read.

    SUPPORTING-GOVT-FROM-PARLIAMENTDownload

    On Wednesday, February 14, President Akufo-Addo announced a significant ministerial reshuffle, the first major overhaul since assuming office in January 2017. The reshuffle involved the removal of several ministers from their posts, including Finance Minister Ken Ofori-Atta, Roads Minister Kwame Amoako-Atta, and Health Minister Kwaku Agyemang Manu.

    In addition to these changes, the President also accepted the resignation of other ministers, including deputy ministers, and appointed new individuals to some ministries.

    One of the notable changes was Information Minister Kojo Oppong Nkrumah moving to the Housing Ministry, with his deputy Fatimatu Abubakar taking over as the substantive Minister of Information. Interior Minister Ambrose Dery was reassigned as Minister of State at the office of the President.

    Overall, the reshuffle impacted around 13 ministers of state, including 10 cabinet ministers and two regional ministers. The presidency released a press statement detailing the sacked ministers, those reassigned, and the newly appointed individuals.

  • Kwaku Kwarteng confirms he rejected Akufo-Addo’s ministerial appointment; here’s why

    Kwaku Kwarteng confirms he rejected Akufo-Addo’s ministerial appointment; here’s why

    Member of Parliament for the Obuasi West Constituency, Kwaku Kwarteng, has confirmed reports that he declined a ministerial appointment offered by President Nana Akufo-Addo. The offer reportedly involved his appointment as the Minister for Finance, replacing his former boss, Ken Ofori-Atta.

    Kwarteng, who previously served as a deputy finance minister in the first term of President Akufo-Addo, was among the initial list of appointees in the recent reshuffle announced on February 14, 2024. However, he opted to remain in his parliamentary role, citing a preference for supporting the government’s work from within the legislature.

    In a statement issued on Friday, February 16, 2024, Kwarteng expressed gratitude for being considered for the ministerial role but highlighted his belief in the critical role of Parliament, particularly in matters related to finance and the economy. He emphasized his confidence in his ability to better support the government’s agenda from his position in Parliament.

    “I am also thankful and humbled by the knowledge that our President found me worthy to serve in the Executive in the recent reshuffle,” Kwarteng stated. “I declined for the following reasons: The role of Parliament in the work of the Executive, especially in matters relating to finance and economy, is critical. It is my humble belief that I can better support the work of government from Parliament.”

    Furthermore, Kwarteng expressed appreciation for President Akufo-Addo’s support and influence on his political career, pledging continued readiness to support the government’s vision in any capacity.

    The decision by Kwarteng to decline the ministerial appointment comes amidst reports of a rift between him and the government following his removal from the role of deputy finance minister. However, Kwarteng’s commitment to serving his constituents and contributing to governance from his parliamentary position remains unwavering.

    Kwarteng’s decision underscores the importance of parliamentary oversight and the integral role of legislators in shaping and scrutinizing government policies, particularly in critical sectors such as finance and the economy. As Ghana continues its journey towards sustainable development and good governance, the collaborative efforts of both the executive and legislative branches will be crucial in driving progress and delivering on the nation’s development agenda.

  • I can better support government from parliament that’s why I declined Akufo-Addo’s appointment – Kwaku Kwarteng

    I can better support government from parliament that’s why I declined Akufo-Addo’s appointment – Kwaku Kwarteng

    The Member of Parliament for the Obuasi West Constituency, Kwaku Kwarteng, has offered clarification on his decision to reject the opportunity to serve as a minister in the government of Nana Addo Dankwa Akufo-Addo.

    As the former Deputy Finance Minister, Kwarteng was initially considered for a ministerial position during the significant reshuffle in President Akufo-Addo’s government.

    Reports indicate that Mr. Kwarteng, initially slated for a role, declined the offer due to a falling out with the government after losing his deputy ministerial position.

    In a statement dated February 16, 2024, Mr. Kwarteng outlined his reasons for declining the offer, stating that he believes he can contribute more effectively to the government’s work from his position in Parliament.

    “I am also thankful and humbled by the knowledge that our President found me worthy to serve in the Executive in the recent reshuffle. I declined for the following reasons: The role of Parliament in the work of the Executive, especially in matters relating to finance and economy, is critical. It is my humble belief that I can better support the work of government from Parliament.”

    He expressed gratitude to the President for his mentorship throughout his political career, affirming his ongoing commitment to support the President’s vision in any way possible.

    “I am eternally grateful to the President for his fatherly influence on my political career, and will always stand ready to support his vision in whatever ways I can.”

  • $150m World Bank loan for coastal resilience investments gets Parliamentary approval

    $150m World Bank loan for coastal resilience investments gets Parliamentary approval

    A $150 million loan from the World Bank’s International Development Association, allocated for the West Africa Coastal Areas Resilience Investment Project 2, has received approval by Parliament. 

    The objective of the initiative is to enhance the socio-economic resilience of coastal communities through the implementation of effective coastal management practices.

    It is in accordance with the government’s dedication to reducing the vulnerability of coastal regions and enhancing the well-being of local communities along the coastlines of Ghana.

    Chairman of the Finance Committee of Parliament, Kwaku Kwarteng, underscored the vital role of the loan in tackling challenges like tidal waves, particularly in coastal regions such as Keta in the Volta Region. Furthermore, the house approved a distinct $200 million loan from the World Bank Group for the financing of the Ghana Tree Crop Diversification Project.

    A few weeks ago, the World Bank expressed sympathy for the victims of the recent flood disaster in regions along the Volta River, resulting from the release of excess water from the Akosombo and Kpong dams.

    Approximately 30,000 residents were forced to evacuate, and the floodwaters devastated their farmlands.

    At the 3rd Conference on Fisheries and Coastal Environment in Accra, the Operations Manager of the World Bank in Ghana, Liberia, and Sierra Leone, Ms Michelle Keane, said: “We can’t speak about flooding today without conveying the World Bank’s sincere empathy and concern for the ten thousand of people who have been impacted by the recent floods along the Volta River”.

    “The World Bank would want to express its readiness to support the government in its response to this crisis”, she said.

    She added: “In the longer term, developing a sustainability and risk management strategy for the Volta River and Volta Delta among other areas will be crucial to determine where it is safe for people to live and how their livelihoods can be sustained and grow along the Volta River supported by a healthy ecosystem”.

    “We hope that the government and its partners will take full advantage of the $150 million approved by the World Bank for Ghana under the West Africa Coastal Areas Management Programme (WACA)”, she noted.

    She said the financing is expected to become available “very soon after parliamentary approval”.

  • Kwaku Kwarteng reprimands colleague legislators over V8s, ex-gratia

    Kwaku Kwarteng reprimands colleague legislators over V8s, ex-gratia

    Kwaku Kwarteng, the member of parliament for Obuasi West, wants parliament to reduce spending as well in order to salvage the faltering national economy.

    Mr. Kwarteng who served as a Deputy Finance Minister under the first term of the Akufo-Addo administration says MPs should stop using V-8s and stop receiving ex-gratia at the end of every term of office. 

    The Chairman of the Finance Committee was contributing to the Domestic Debt Exchange Programme discussion on the floor of Parliament, when the Finance Minster, Ken Ofori-Atta appeared before the House to brief them on the DDEP.

    “Mr. Speaker how many times have we not heard the people who elected us into office say that there are issues with the V8s that we use? How many times have we not heard our people complain about the ex-gratia we take?

    “Mr. Speaker I’m making the point that the problem we have on our hands today is not just a debt treatment matter. There is the need to deal with a fundamental weakness that has characterised the management of our economy for decades,” MP for Obuasi West said.

  • Income Tax (Amended) Bill, 2022 passed

    Parliament has passed the Income Tax (Amended) Bill, 2022 to amend the Income Tax Act, 2015 (Act 896) to extend the exemption from tax of gains on the realisation of shares listed on the Ghana Stock Exchange for five years.

    Mr Kwaku Kwarteng, the Chairman of the Finance Committee of Parliament moved for the adoption of the Income Tax (Amended) Bill, 2022 and was seconded by Dr Cassiel Ato Forson, the Ranking Member of the Committee.

    Among the objectives, the Bill would extend the concession for Income Tax Stamp and Vehicles Income Tax systems to the end of December 2022.

    The Income Tax (Amended) Bill, 2022, which was first presented to Parliament and read for the first time on Tuesday, July 26, 2022, was referred by Mr Alban Bagbin, Speaker of Parliament for consideration and report by the 1992 Constitution and the Standing Orders of Parliament.

    However, the Finance Committee met and determined that the Bill was urgent and, therefore, certified that it ought to be taken through all the stages of passage in one day by Article 106 (13) of the 1992 Constitution and Order 119 of the Standing Orders of Parliament.

    The Bill contains two clauses where clause 1 amends section 7 of the Act to provide for the exemption from Taxation of gains from the realisation of securities listed on the Ghana Stock Exchange up to December 31, 2006.

    “Clause 2 amends the sixth schedule of Act 896 by providing for the suspension of quarterly income tax installment payments for the seated categories of persons for the first, second, third and fourth quarters of 2022,” it said.

    Mr Kwarteng told parliament that after careful consideration, the Committee was of the view that the Bill was in the right direction as it sought to make the Ghana Stock Exchange attractive and to further provide some relief to businesses and transport operators (Trotro drivers).

    “Mr Speaker, the Committee, therefore, recommends to the House to adopt its Report and pass the Income Tax (Amendment) Bill 2022 by the 1992 Constitution and the Standing Orders of the House,” he said.

    The Committee also observed that as part of additional measures to provide some relief to the more vulnerable members of society, the government also suspended quarterly income tax installments payments for small businesses using the Income Tax Stamp system and for trotro drivers using the Vehicle Income Tax System for the second, third and fourth quarters of 2021.

    Parliament on Friday, July 22 also passed the Tax Exemptions Bill, 2022, to regulate the application of tax exemptions and other exemptions and to provide for related matters.

    Source: GNA

  • Agbodza bemoans duplication of projects captured in $750m loan agreement

    The Ranking Member on the Roads and Transport Committee of Parliament, Governs Agbodza has bemoaned what he calls the duplication of projects and funding captured in the $750 million loan agreement before Parliament.

    According to him, funding for infrastructure for the All African Games and rolling stock for the railway sector have already been approved by the house and as such, there is no need for them to be captured in the latest loan agreement.

    He also contends that funding for the Suame interchange is captured twice in the loan agreement.

    Speaking to the press, Governs Agbodza called for clarity from the Ministry of Finance and the other ministries concerned.

    “We have noticed some projects being duplicated in the agreement. We do not believe this is right and we will not encourage it. We want some clarifications. The real problem in the Eastern corridor is the Oti-Damongo session, which the Chinese have failed to deliver, and we are encouraging the Minister for Roads and Highways to terminate the contract and reward it.”

    “If we have any resources, we should be setting aside some money for the new contractor to complete the session… We believe that the breakdown is not satisfactory. We are not necessarily opposed to the $750 million. We only want to get things clearer. The information we have gathered so far is too limited.”

    Parliament is currently debating the loan agreement with the Afrexim Bank for funding infrastructure projects and budget support.

    The loan is part of a $1 billion dollar the government is seeking to shore up its reserves as well as to pay for several infrastructure projects across the country.

    The Chairman of the Finance Committee, Kwaku Kwarteng moved the motion while the Ranking Member on the Committee, Dr Cassiel Ato-Forson during his contribution indicated that government has not built the necessary financial buffers to pay back the loan.

    Source: Citi newsroom

     

     

  • Man who sold fried grasshoppers on plane faces jail

    A man accused of selling fried grasshopper snacks to passengers aboard a Ugandan Airlines plane has been charged by police alongside a second man who’s accused of filming it.

    Footage has been widely shared online since the weekend:

    Mubiru Paul and Hajib Kiggundu were arrested on Monday on arrival from Dubai and charged on Tuesday with three counts – creating nuisance, refusing to follow airline crew’s instructions and negligent acts likely to cause the spread of an infectious disease.

    The charge for spreading an infectious disease attracts a sentence of up to seven years, the Daily Monitor reports.

    The national carrier Uganda Airlines condemned what it called “unruly” behaviour and local media reported that some staff were suspended.

    Yet Uganda Airlines said it would consider adding the delicacy to its menu upon request, noting the excitement onboard from passengers during a low season for grasshopper numbers in Uganda.

  • ‘Government moved economy from taxation to production’ Kwarteng

    The government of President Nana Addo Dankwa Akufo-Addo has shifted the local economy from taxation to production, Mr Kwaku Kwarteng, a Deputy Minister of Finance, has said.

    He stated on TV3’s The Key Points programme on Saturday, October 3 that this forms part of efforts to grow the economy and also to ameliorate the hardships on Ghanaians.

    “The government is shifting the economy from taxation to production. I could go to the 2017 budget and list all the tax lines that we either abolished or reduced,” he said.

    In 2017, the government either abolished or reduced over 15 “nuisance” taxes.

    These included abolishing the 17.5% VAT/NHIL on real estates, abolishing the 17.5% VAT/NHIL on selected imported medicines, that are not produced locally, abolishing of the 17.5% VAT/NHIL on financial services, and abolishing import duty on the importation of spare parts.

    The government also abolished 1% special import levy, 17.5% VAT on domestic airline tickets, levies imposed on Kayayei by local authorities, reduced import duty for all goods excluding vehicles 50% and vehicles by 30%, abolished excise duty on petroleum, provided full corporate tax deduction for private universities who plough back 100% of profits into the university, reduced National Electrification Scheme Levy from 5% to 3%, reduced Public Lighting Levy from 5% to 2%, reduced special petroleum tax rate from 17.5% to 13% and introduced specific rates

    The government also replaced the 17.5 VAT/NHIL rate with a flat rate of 3 % for traders and granted Capital Gains Tax Exemption on stocks traded on the Ghana Stock Exchange or publicly held securities approved by the Securities and Exchange Commission (SEC).

    Mr Kwarteng, who is also Member of Parliament for Obuasi West, said: “We did introduce the GETFund levy and the NHIL Levy.

    “We did make them tax lines that for which you could not repeat as input tax . But what you need to look at is that overall the interventions that we have brought by way of taxing, did they reduce the tax burden on Ghanaians or not?”

    His claims were, however, rejected by former Minister of Finance Seth Terkper, who indicated on the show that those taxes that were abolished have been reintroduced in different forms.

    “They have not shifted the economy from taxation to production because each of the taxes they have gone back to use other means of reintroducing it,” he said.

    On this particular point, Mr Kwrateng clarified that although the government had removed some taxes, it was also its responsibility to look at which of the taxes to be reintroduced to enable the government achieve its objectives.

    “Even though in 2017 we had abolished some taxes, it is the responsibility of government as the economy moves to see which taxes will have to be reduced further, which other taxes will have to be reintroduced in order to achieve specific economic policy objectives,” he said.

    Source: 3 News

  • Stop behaving like an opposition party – Kwaku Kwarteng tells GIFF over UNIPASS

    Ghanaian Importers and Clearing Agents are up in arms with government over its decision to abrogate the contracts of the two existing Single Window operators; Ghana Community Network Service Limited (GCNet) and West Blue Consulting, replacing it with a new deal with Universal Pass (UNI-PASS).

    The Senior Minister, Yaw Osafo Maafo, in a letter dated 26th February 2020, directed freight forwarders, clearing agents and other stakeholders in the country, to use the UNIPASS system to clear their goods from Sunday, March 1, 2020.

    President of the Ghana Institute of Freight Forwarders (GIFF), Mr. Edward Akrong said the current operators are doing well and that since the new one has not been tested, its efficiency cannot be guaranteed.

    “We don’t have any qualms but we have an existing one and if we don’t know how the new one works, it will be troublesome. I don’t really see anything different; so far what we’ve seen is worrying. There has not been any piloting to see how the UNIPASS system works. There was a planned piloting but it never happened. We really need to take a second look at this; otherwise, there will be chaos…i believe that the Senior Minister was misinformed,” he said in an interview on Peace FM morning show ‘Kokrokoo’

    But Deputy Minister of Finance, Hon Kwaku Agyemang Kwarteng, speaking on the same platform in reaction, condemned criticisms of the UNIPASS system.

    “if you start criticizing it; moving from one radio station to the other, you are behaving like an opposition party” he said.

    He asked Mr Edward Akrong to be mindful of his utterances and stop campaigning against the new system, since it has come to stay.

    “Nobody should think that the various criticisms will make government change its mind; it won’t happen,” he added.

    Source: peacefmonline.com