Debates of 11 Dec 2019

MR SPEAKER
PRAYERS 11:20 a.m.
VOTES AND PROCEEDINGS AND THE OFFICIAL REPORT 11:20 a.m.
Mr Speaker 11:20 a.m.
Hon Members, Correction of Votes and Proceedings of 10th December, 2019.
Page 1, 2 … 6
Alhaji Bashir Fuseini Alhassan 11:20 a.m.
Mr Speaker, thank you very much for the opportunity to correct this omission. Yesterday I was in the House and I actually made a contribution to a Statement on the Floor of the House. I also marked my name in the Mails Room but surprisingly, I was marked absent.
Mr Speaker 11:20 a.m.
It will be corrected accordingly.
Mr Mumuni Alhassan 11:20 a.m.
Mr Speaker, thank you very much. On page 7, item numbered 16 which reads; Alhassan Mumuni. Indeed, I was also in the Chamber to correct my name for the previous day which is captured on page 9, item numbered 5 of today's Order Paper but my name has still been marked absent, especially when I am the only ‘Mumuni' in this House.
[Laughter] -- I thought that the correction would have been effected.
Mr Speaker 11:20 a.m.
Thank you very much.
Yes, any further corrections?
Mr Emmanuel Marfo 11:20 a.m.
Mr Speaker, yesterday I was here but my name has been marked absent.
Dr Zanetor Agyeman-Rawlings 11:20 a.m.
Mr Speaker, thank you. On page 7, I have been marked absent with permission. I was in the Defence and Interior Committee meeting all day yesterday.
Mr Speaker 11:20 a.m.
Very well. Thank you very much.
Any further corrections?
Ms Laadi A. Ayamba 11:30 a.m.
Mr Speaker, on page 6, I was present yesterday but I have been marked absent.
Mr Speaker 11:30 a.m.
Thank you. It will be noted accordingly.
Page 9, 10 … 14
Mr Samuel O. Ablakwa 11:30 a.m.
Mr Speaker, on page 14, the Motion numbered 10, my Hon Colleague; Mr William Agyapong Quaittoo is not here. I am sure if he were, he would have corrected the spelling of his name. In the Votes and Proceedings, an ‘i' is missing; it is supposed to be Q-u-a-i-t-t-o-o.
Mr Speaker 11:30 a.m.
Page 15, 16 … 26
Mr Ablakwa 11:30 a.m.
Mr Speaker, on page 26, item numbered (xxviii); it is spelt ‘Ghana Broadcasting Cooperation'. It is supposed to be Corporation.
Mr Speaker 11:30 a.m.
Page 27, 28 … 36
Mr Frank Annoh-Dompreh 11:30 a.m.
Mr Speaker, I am sorry but I have been trying to catch your attention. On page 31, item numbered 2(ii), my name has been wrongly spelt.
Mr Speaker 11:30 a.m.
Hon Members, in the absence of any further corrections, the Votes and Proceedings of
Tuesday 10th December, 2019 as corrected be hereby accepted as the true record of proceedings.
Mr Speaker 11:30 a.m.
Hon Members, we have Official Report dated Friday, 15 th November, 2019. Any corrections?
Hon Ablakwa.
Mr Ablakwa 11:30 a.m.
Mr Speaker, at column 2277, we have effected a correction with the assistance of the Hon Chairman of the Committee on Finance but it has reoccurred. Mr Speaker, it should read “Preferential Buyers Credit”. Also, at column 2291, there is a strange entity being referred to as the Bureau of National Communications. I want to believe that it is either the Bureau of National Investigations or the National Communications Authority - [Interruption.]
Some Hon Members 11:30 a.m.
It is correct.
Mr Ablakwa 11:30 a.m.
Mr Speaker, I am being told that the entity is under the National Security so I withdraw that correction.
Mr Speaker, thank you.

rose --
An Hon Member 11:30 a.m.
Hon Chairman plenipotentiary.
Mr Speaker 11:30 a.m.
Hon Chairman, you are being referred to as pleni- potentiary.
Dr Assibey-Yeboah 11:30 a.m.
Mr Speaker, I am Hon Chairman Emeritus, not plenipotentiary. [Laughter.]
Mr Speaker 11:30 a.m.
Or you prefer extraordinary?

Hon Member.
Mr Ras Mubarak 11:30 a.m.
Mr Speaker, thank you.
At column 2356, paragraph 3, line 9, there is a word “ravelled”, but it should read “revelled” which means to enjoy oneself excitedly. Mr Speaker, on that same line, the word “far” should be replaced with “fact”. So that it would read “our people literally revelled in the fact that …”
Mr Speaker, at column 2360, paragraph 3, line 9, the word there reads “Komantes”. It should read “Coromantins” which means rebellious slaves. This same correction should be made at column
2361.
Mr Speaker, last but not least, at column 2362, line 9, we should insert “do” after “to”. So that it would read, “there can be no better place for me to do it than in Parliament of …”
Finally, column 2363, we should replace “binds” with “bind”. Mr Speaker, thank you.
Mr Speaker 11:30 a.m.
Thank you very much.
Hon Members, in the absence of any further corrections, the Official Report of Friday, 15th November, 2019, as corrected is hereby admitted as the true record of proceedings.
Hon Members, there is a Statement by the Hon (Dr) Mark Kurt Nawaane, the Hon Member for Nabdam.
rose
Mr Speaker 11:30 a.m.
Hon Minority Leader?
Mr Haruna Iddrisu 11:30 a.m.
Mr Speaker, with your indulgence, it appears that the Hon Member in whose name the Statement stands is
not immediately in the Chamber. Probably, if there is a second Statement, then we can take that or we can move to another Business on the Order Paper.
Mr Speaker 11:30 a.m.
Very well.
Hon Members, at the Commence- ment of Public Business. Item listed 4 - Presentation of Papers.
PAPERS 11:30 a.m.
Mr Speaker 11:30 a.m.
Item numbered 4(c).
Mr Kwasi Ameyaw-Cheremeh 11:30 a.m.
Mr Speaker, item numbered 4(c) is not ready to be presented so we can take item numbered 4(d). The Hon Vice Chairman of the Committee would present the Paper on behalf of the Hon Chairman.
Vice Chairman of the Committee (Mr Collins Amankwa) (on behalf of the Chairman of the Committee) -
- 11:30 a.m.
Mr Speaker 11:30 a.m.
Item numbered 4(d)(ii).
Mr Amankwah 11:30 a.m.
Mr Speaker, respectfully, I have already laid this Paper on behalf of the Hon Chairman about two days ago.
Mr Speaker 11:30 a.m.
Thank you very much.
Item numbered 4(e).
Mr Ameyaw-Cheremeh 11:30 a.m.
Mr Speaker, the Report on item numbered 4(e) is not ready so we could move to item numbered 4(l) on page 4 and the Hon Minority Leader
Mr Speaker 11:30 a.m.
Item numbered 4(l)(ii).
Mr Ameyaw-Cheremeh 11:40 a.m.
Mr Speaker, I need to correct myself. The Hon Minority Leader is the Hon Vice Chairman of the Committee and so he would lay the Papers on behalf of the Hon Chairman.

By the Vice Chairman of the Committee (Mr Haruna Iddrisu) (on behalf of the Chairman of the Committee) --

Report of the Special Budget Committee on the Annual Budget Estimates of the National Commission for Civic Education (NCCE) for the year ending 31st December, 2020.
Mr Speaker 11:40 a.m.
Item numbered 4 (l) (ii)?
Mr Iddrisu 11:40 a.m.
Mr Speaker, for the other two Reports, numbered 4(l) (iii) and 4(l)(iv), both the Electoral Commission and Parliament are scheduled to appear before the Committee on Friday. So we may defer that and move to item numbered 4(m).
Mr Ameyaw-Cheremeh 11:40 a.m.
Mr Speaker, all the other Papers listed for presentation are not ready with the exception of the Paper captured as 4(f). The Vice Chairman of the Committee on Communications would lay it on behalf of the Hon Chairman of the Committee.
By the Vice Chairman of the Committee (Mr Andrew K. E. Mercer) (on behalf of the Chairman of the Committee) --
Report of the Committee on Communications on the Annual Budget Estimates of the Ministry of Information for the year ending 31st December, 2020.
Mr Speaker 11:40 a.m.
Yes, Hon Majority Chief Whip?
Mr Ameyaw-Cheremeh 11:40 a.m.
Mr Speaker, we may now take the item numbered 6, Motion.
Mr Speaker 11:40 a.m.
Item numbered 6, Motion. Hon Minister for Environment, Science, Technology and Innovation, you may move the Motion listed 6.
rose
Mr Speaker 11:40 a.m.
Hon Member, do you have a difficulty?
Mr A. Ibrahim 11:40 a.m.
Mr Speaker, this is a very important aspect of our work. I hardly see either the Hon Minister for Finance or any of the Deputy Ministers of Finance around.
Mr Speaker 11:40 a.m.
Hon Minister, kindly move the Motion.
MOTIONS 11:40 a.m.
Mr Speaker 11:40 a.m.
Who supports the Motion?
rose
Mr Speaker 11:40 a.m.
Hon Minority Leader, would you support the Motion?
Minority Leader (Mr Haruna Iddrisu) 11:40 a.m.
Mr Speaker, I can support the Motion. However, before I do so, let me indulge you. Oversights of Budget is the core Business of Parliament. The Minister for Finance presents the Budget Statement not in his name but in the name of the President. The Hon Minister for Environment, Science, Technology and Innovation is the policy leader of President Nana Addo Dankwa Akufo-Addo in his Ministry. In my view, I serve a notice that Ministers should not just come and ask for approval of money. They should lead us through what they are taking the money for and on behalf of the President- the policy objects. They should give a few comments.
But to just move the Motion and sit for it to be seconded, we should not encourage it. He is a potential
Mr Speaker 11:40 a.m.
Hon Minority Leader, they are captured in the Report.
Yes, Hon Akoto Osei?
Dr Anthony A. Osei 11:40 a.m.
Mr Speaker, you read my mind. I was going to tell him that the Hon Minister has already appeared before the Committee and the Report would follow same.
Mr Speaker 11:40 a.m.
Yes, who supports the Motion?
Mr Ameyaw-Cheremeh 11:40 a.m.
Mr Speaker, with your leave Hon (Dr) Emmanuel Marfo would present the Committee's Report on behalf of the Committee.
Dr Emmanuel Marfo (on behalf of the Chairman of the Committee) 11:40 a.m.
Mr Speaker, I beg to support the Motion, and in doing so, present the Committee's Report.
1.0 Introduction
The Hon Minister for Finance, Mr Ken Ofori-Atta in accordance with
article 179 of the 1992 Constitution of Ghana and Standing Order 138, delivered the Budget Statement and Financial Policy for the year ending 2019 to Parliament on Wednesday 13th November, 2019.
Mr Speaker, pursuant to article 103 (3) of the 1992 Constitution of Ghana and Standing Orders 140(4) and 185, referred the programme based Budget Estimates of the Ministry of Environment, Science, Technology and Innovation to the Committee on Environment, Science and Technology for consideration and report.
2.0 Acknowledgement
The Committee on Environment, Science and Technology met with officials of the Ministry of Environment, Science, Technology and Innovation to deliberate on the 2020 programme based Budget Estimates of the Ministry of Environment, Science, Technology and Innovation.
The Committee is grateful to the following persons and Institutions who in diverse ways assisted the Committee during the consideration of the 2020 programme based Budget Estimates of the Ministry of Environment, Science, Technology and Innovation:
1. The Deputy Minister for Environment, Science, Tech- nology and Innovation, Hon Patricia Appiagyei
2. The Chief Director, Madam Levina Owusu
3. Directors and officials of the following departments and agencies:
a.Ministry headquarters.
b. Ghana Atomic Energy Commission.
g. Environmental Protection Agency.
h. National Council for Scientific and Industrial Research
(NCSIR)
e. Land Use and Spatial Planning Authority.
f. National Biosafety Authority.
g. Nuclear Regulatory Authority.
I. Ministry of Finance.
3. Reference Documents
The following documents were referenced by the Committee during deliberations on the 2020 programme based Budget Estimates of the
Ministry of Environment, Science, Technology and Innovation:
1. The 1992 Constitution of Ghana;
2. The Standing Orders of Parliament of Ghana;
3. The 2019 Budget Statement and Economic Policy of the Government of Ghana;
4. The 2019 programme based Budget Estimates of the Ministry of Environment, Science, Technology and Innovation;
5. The 2020 Budget Statement and Economic Policy of the Government of Ghana; and
6. The 2020 programme based Budget Estimates of the Ministry of Environment, Science, Technology and Innovation.
4.0 Mission Statement
The Ministry of Environment, Science, Technology and Innovation seeks to ensure accelerated socio- economic development of the nation through the formulation of sound policies and regulatory framework to promote the use of appropriate environmentally friendly science and technological practices.
GMO 11:40 a.m.
Mr Ebenezer O. Terlabi (NDC — Lower Manya Krobo) 11:50 a.m.
Mr Speaker, I rise to support the Report of the Committee, and in doing so,
Dr Anthony Akoto Osei 11:50 a.m.
On a point of order.
Mr Speaker, the Hon Member said he is speaking in support of the Report of the Committee. We are here to either or not support the Motion, and not the Report of the Committee. He could, in supporting the Motion, refer to the Report of the Committee.
Mr Terlabi 11:50 a.m.
That is noted.
Mr Speaker, as I said earlier, we have always touted the importance of science, technology and innovation so far as our development is concerned.
Mr Speaker 11:50 a.m.
Hon Member, you and who?
Mr Terlabi noon
Mr Speaker, in this House, because if we go back into proceedings in this House, a lot of the
time, we have always encouraged the Government to invest in science, technology and innovation because that is what would help in developing our country. Recently the Vice President said that digitisation is a process that could help in reducing corruption, and that is all about science, technology and innovation, so I am not wrong if I say that. If we look at the expenditure trends and releases to the Ministry, they tell us how we as a country are not taking this Ministry serious. I would like to cite specific examples.
We all know that science, technology and innovation is capital intensive. We need scientific infrastructure to be able to innovate; to come out with new things that would help in our development but what do we see? If we go into the various Departments and Agencies under the Ministry - we realised that yes, salaries and compensations are being paid, but what it takes to innovate is not being supported.
Mr Speaker, for instance, if we look at page 8 of the Report, we realised that in 2019, for CAPEX releases, we approved the budget of GH¢3.8 million, only GH¢ 1,018,161, being 27 per cent of the amount was released as at October. What it means is that we have an arrears of almost 70 per cent between now and January. When is that going to be released?
Mr Speaker, when it comes to other expenses, the trend follows the same sequence. It tells us that H.E. the President, after presenting his vision and telling us about how he believes in the use of science as a tool for development is not being supported.
Mr Speaker, my surprise is that a lot of the time, it is only when we meet at the Committee level that the frustrations of Ministries and Departments are vented on us. I expect that the Hon Ministrer in his concluding remarks today, would also support in urging the Government to really take science, technology and innovation seriously.
The Government should take the Ministry serious, and by doing so, would mean releasing the required funds. For instance, as we speak, the Biosafety Authority, which is in charge of advising us on biosafety, Genetically Modified Organisms (GMOs), et cetera has only four staff. How can they do anything effective?
Mr Speaker, when we go into their CAPEX, they have not been given anything at all this year. What that means is that they would be sitting there and would not have anything to do their work, and this is not encouraging at all. It is not helping and not promoting the use of science and
technology so far as our development is concerned.
Mr Speaker, if we look at the Estimates for 2020, one can just pray and hope that the trend as we see now would not continue. This is because if that is what is going to happen, then I think that coming here to defend this Annual Estimates may not be necessary. After all, when we come out with nice ideas and plans and approve the Estimates and the money is not released for them to implement the programmes at the end of the day, we may not achieve our goal of making science the centre insofar as our development is concerned.

Mr Speaker, with these few words and the little advice, I support the Motion that this House approves the sum of --
Mr Speaker noon
Let us not repeat the money.
Minority Leader (Mr Haruna Iddrisu) noon
Mr Speaker, thank you for the opportunity to speak in support of the Motion and to urge the Ministry of Finance, and for that matter, Government, to demonstrate that it is prioritising science and technology for the future of our
Mr Speaker noon
Corrected accordingly.
Mr Iddrisu noon
Mr Speaker, may I refer you to pages 21 and 22 of the Committee's Report? With regard to the GoG allocation for the 2020
funding the sources, which are on page 21, I see GH¢23,961,967, and when I travelled to page 22, for Goods and Services, I saw GH¢34,057,923. One would want to know what explanation accounts for this. Where does the Ministry anticipate the additional budgetary resources to come from?
Mr Speaker, I would go back to page 8. With compensation, under “Approved Budget” in Table 3, it is GH¢233,933,250 and releases is GH¢168,678,520. Mr Speaker, we are in December, so why would the Ministry need that additional amount? I expect that they have only compensations for up to the end of the year.
Mr Speaker, they also overspent their goods and services. I see an attribution to donor by GH¢30 million, but they spent GH¢50 million. On page 23 of the Report, they accounted for GH¢50,461,592, which was expended, but the budget did not approve of GH¢50 million. Therefore, how was that appro- priation done? That appears in the second paragraph of page 23.
Mr Speaker, with these comments, I support the Motion. The Ghanaian public and citizens expect that as their representatives, we would make a strong request to the Hon Minister that the Environmental Protection
Agency (EPA) -- there are many parts of the country where fuel stations are being sited against the wish of the people, and its environmental impact is not done to the satisfaction of community request. That is mandatory.
One cannot just go and site a fuel station in an area when he does not have the cooperation of that area and when we do not engage them as stakeholders. Therefore EPA must accordingly take note and be sensitive to the concerns of the Ghanaian public.
Mr Speaker noon
I would give the Hon Minister the opportunity to wind up, and explain some of the areas referred to.
Prof Frimpong-Boateng noon
Mr Speaker, for the first time in many years in this country, something is being done about science, technology and innovation.
Mr Speaker, Hon Members may recall that a Presidential Advisory Council on Science and Technology has been established, and it is made up of nine members who constantly advise the President on matters concerning science, technology and innovation.
Mr Speaker, a high performance computer centre has been set up at ESTI in CSIR, and that would have the capacity to process big data and help us organise research and development in this country.
As of now, research activities going on are not coordinated to the extent that even in the same university, things could happen in a laboratory and others may not know. So we are setting up this high computer centre to coordinate and monitor research across the nation.
Also, we have established the Ghana Innovation Research and Commercialisation Centre that is supposed to link academia, research and business so that we would be able to know the type of research that is being done, and what could be helped and scaled up for industrialisation. These things are being done just to make sure that we put science and technology at the centre of our development efforts.
Mr Speaker, also, for the first time, we have in the Budget Statement, allocation to set up foundries and machine tool centres. This would give us the capacity to build machines for ourselves, for industry, agro-processing, transpor- tation and road construction. For example, covers for drains are all imported. We hope that when we get our foundries working, we would be able to produce these items that would help us.
Mr Speaker 12:10 p.m.
Thank you very much, Hon Minister.
Question put and Motion agreed to.
Resolved:
That this honourable House approves the Financial Policy of the Government for the year ending 31st December, 2020.
Mr Ameyaw-Cheremeh 12:10 p.m.
Mr Speaker, we may move to item numbered 16 -- Motion, by the Hon Minister for Planning.
MOTIONS 12:10 p.m.
Minister for Planning (Prof Gyan-Baffour) 12:10 p.m.
Mr Speaker, I beg to move, that this honourable House approves the sum of GH¢9,650,836 for the services of the Ministry of
Planning for the year ending 31st December, 2020.
Mr Speaker, the mandate of the Ministry of Planning is to prepare and ensure that the coordinated programmes of economic and social development policies influence national planning activities.
This is undertaken by providing strategic direction and guidance for mainstreaming Government priorities into sector and district medium-term development plans and budgets.
The mandate also includes the preparation of the medium-term development framework, and the Ministry also has oversight responsibility for the population sector.
The Ministry also coordinates and ensures that alignments on regional, global and international development benchmarks and goals, including the Sustainable Development Goals and the Africa Union Agenda 2063 are all integrated into the national plan.
Currently, the Ministry of Planning has a staff strength of 22. In fact, in the year 2020, the Ministry has been allocated a total of GH¢9,650,836.00, of which GH¢1,895,260 has been allocated for compensation of staff, while GH¢1 million for capital
expenditure, and GH¢2.592 million for goods and services and lastly GH¢4,163,180 from donor sources.
Mr Speaker, in the year 2019, the Ministry was given a total amount GH¢2,668,000 and out of that, GH¢2,678,000 has been released, but only GH¢1,563,968 has actually been spent.
In the year 2020, these are the activities that have been prioritised by the Ministry. First, to establish an SDG resource centre, SDG interventions, cases at the District level and reporting on inclusive growth.
Mr Speaker, we also intend to facilitate a strong linkage between sector and district medium-term development plans, annual work plans and budgets and their implementation in line with the national vision.
We also intend to undertake the costing on the SDGs to determine, first, the available resources in determining the funding gaps and to develop a resource mobilisation plan.
We intend to create a pipeline of high impact bankable SDG projects, and together with the National Development Planning Council (NDPC), report on the SDG implementation and the imple- mentation of the AU Agenda 2063.
Mr Speaker 12:10 p.m.
Please, Hon Minister, tell us what you want.
Prof Gyan-Baffour 12:10 p.m.
Mr Speaker, the Ministry has been allocated the sum of GH¢9,650,836 --
Mr Speaker 12:10 p.m.
Hon Minister, so, what do you want?
Prof Gyan-Baffour 12:10 p.m.
Mr Speaker, to perform these activities --
Mr Speaker 12:10 p.m.
You have persuaded us enough. Tell us.
Prof Gyan-Baffour 12:10 p.m.
Mr Speaker, the Ministry has been allocated the sum of GH¢9,650,836 for the 2020 financial year.
I therefore move, that this House approves the sum of GH¢9,650,836 for the Ministry's activities in the year to come.
Mr Speaker 12:10 p.m.
Thank you very much.
Question proposed.
Chairman of the Finance Committee (Dr Mark Assibey- Yeboah 12:10 p.m.
Mr Speaker, I beg to
second the Motion, and in so doing, I will present the Committee's Report.
1.0 Introduction
Following the presentation of the Budget Statement and Economic Policy of the Government for the year ending 31st December, 2020 by the Minister for Finance, Hon Ken Ofori- Atta on 13th November, 2019 did present the 2020 Budget Estimates for the Ministry of Planning which was referred to the Finance Committee for consideration and report in accordance with the 1992 Constitution and the Standing Orders of the House.
The Committee met with the Minister for Planning, Hon Prof. Gyan Baffour and officials from the Ministry of Planning and the Ministry of Finance.
1.1 Reference Documents
The Committee referred to the following Documents in its deliberations:
The 1992 Constitution;
The Public Financial Management Act, 2016 (Act 921);
The Standing Orders of Parliament; and
The Budget Statement and Economic policy of the Government of Ghana for the 2020 Financial Year.
2.0 Background
The Ministry of Planning provides executive direction to the formulation and coordination of national plans including the Coordinated Programme, the Medium-Term Plan and other national plans.
As part of its core functions, the Ministry is to:
facilitate the preparation of coordinated programmes of economic and social development policies of the President for submission to Parliament;
facilitate the preparation of the Medium-Term Development Policy Framework and undertake development planning in consultation with the National Development Planning Com- mission;
coordinate the implementation of national plans and the monitoring and evaluation of the efficiency and effectiveness of the performance of the sector.
provide strategic direction for the delivery of effective planning for all sectors of the economy;
undertake research and collate research as may be necessary for effective planning and knowledge sharing;
facilitate and make proposals or provide policy direction on population growth, spatial and infrastructural expansion;
communicate national plans to stakeholders with the aim of influencing public policy;
coordinate and ensure the integration of international and universal benchmarks such as the Sustainable Development Goals and the African Union's Agenda 2063 in national plans;
·facilitate and coordinate a national project appraisal system through the establishment of the national project bank;
In addition to the functions above, the Ministry also works towards achieving the overall goal of facilitating industrialiisation, job creation and balanced spatial development for rapid socio-economic growth.

3.0 Performance For 2019

In line with the mandate of the Ministry, the following achievements were recorded in 2019. The Ministry:

Sampled plans of 10 Ministries, Departments and Agencies (MDAs) and 10 Metropolitan, Municipal and District Assemblies (MMDAs) across the country to determine whether the local development plans reflect the Coordinated Programme of Economic and Social Development Policies (CPESDP). At the end of the exercise, the sector and local development plans reflected the

CPESDP.

Organised four policy dialogues covering strategic topics on major issues affecting national development planning.

Held five High Level Ministerial Committee meetings to monitor the progress of the Sustainable Development Goals (SDGs) and to provide political and policy direction for its implementation.

Facilitated the preparation of the report of Ghana's Voluntary National Review of the

Sustainable Development Goals, which was presented at the United Nations High Level Political Forum I, New York, in July, 2019.

Collaborated with the National Development Planning Com- mission and the ICC to conduct case studies on selected SDG initiatives. As part of the Voluntary National Review of the SDGs. In all, over 40 case studies were reviewed across the country on issues cutting across all the 17 goals.

Facilitated the visit of the President to the 73rd session of the United Nations General Assembly (UNGA), which is part of strengthening political support and cooperation between member states and the United Nations General Assembly.

Facilitated the hosting of the 3rd Africa-China Conference on Population and Development.

Commenced a process of creating to package into formidable proposals, a pipeline of high impact SDG related bankable projects that can be used to access funding.

Commenced the process to estimate the cost of the delivery on all SDGs, the available resources and determine the gap.

Commenced the procurement processes to develop manuals to train planning officers at the national and sub-national levels to undertake effective develop- ment planning.

3.1 Financial Performance for

2019

For the implementation of the above-stated objectives and planned activities for 2019, a sum of GH¢2,668,000 was allocated to the Ministry. Out of this budgeted amount, two million, six hundred and seventy- eight thousand, and forty-four Ghana cedis (GH¢2,678,044) was released, but GH¢1,563,968 was spent, leaving a variance of (GH¢1,104,032. Table 1 shows the expenditure trends for 2019.

SPACE FOR TABLE 1, PAGE 7 - 12.10 P.M

4.0 Outlook for 2020

For 2020, the Ministry of Planning has outlined a number of programmes and activities which include:

Establishing an SDG resource centre and facilitating SDG interventions and cases at the district level and reporting on inclusive growth.

Facilitating stronger linkages between MDAs Medium-Term Development Plans and Annual Action Plans, Annual Budgets and implementation in response to the National Vision.

Ensuring value for money (VFM) for public projects at the MDA level through effective project appraisal and moni- toring with summer school for planning officers.
Chairman of the Finance Committee (Dr Mark Assibey- Yeboah 12:10 p.m.


Facilitating two researches on the Informal Sector and Revenue Generation, and Monetary Policy and Growth.

Continuing the engagement with key stakeholders and interest groups on the dissemination and implementation of the Coor- dinated Programme.

4.1 Financial Outlook for 2020

For the implementation of its programmes and objectives, the Ministry of Planning has been allocated a sum of GH¢9,650,836.00 for the 2020 Financial Year. The details are captured in Table 2 below:

Table 2: Budgetary Allocation for

2020.
Minority Leader (Mr Haruna Iddrisu) 12:10 p.m.
Mr Speaker, I beg to speak in support of the Motion, and to be assured that the Hon Minister and his Ministry are up to the task.
Their difficulty is inadequate resource allocation to this important Ministry and the important agency of the NDPC. This House has to emphasise that the NDPC is a creation of the Constitution; it is very important. As I heard the Hon Minister, the Population Council is under his control. When we passed the Statistical Bill into an Act, we were told that next year, a major population and housing census would have to be undertaken in this country. The Government released only GH¢45
million for the Statistical Service and the Population Council against a budget request of GH¢300 million. That is not adequate nor reassuring that this census would be conducted.
Mr Speaker, my second point is that this country needs a manpower blueprint. What is our focus into the future as a country to train the needed manpower for the country? Whether emphasis would be on science or research, but certainly not on the social sciences as our universities are doing? The Hon Minister is hereby encouraged.
My other concern is to refer to page 4; it is not a major point, but to add up to the numbers. When I look at the Goods and Services budget, the figure is GH¢1,375,250, against GH¢1,375,237. There would be a discrepancy of about GH¢13 and for purposes of appropriation, that has to be rectified. There is GH¢13 added- on if we look at (a) and (b) and thereforec it should be corrected.
Mr Speaker, my final comment is that this Ministry must lead the President's agenda for Ghana beyond aid; but we are holding a calabash which means that we are dependent on donors. We should take a look at the amount of GH¢9,650,836, and we expect GH¢4 million from donors.
Minority Leader (Mr Haruna Iddrisu) 12:20 p.m.
So where lies our journey to get the President to lead us to a Ghana beyond aid?

With these comments, I support the Motion and remind the Ministry of Finance that this is a sister Ministry. It is not for nothing that development planning was hived from the Ministry of Finance; therefore it deserves a better budgetary allocation in order to perform its mandatory role.

Mr Speaker, I note with satisfaction that he is one of the Ministers who got the President early enough to present his coordinated development programme as required under article

36.

He must come back with a matrix to inform this House on the extent to which Hon Ministers are following the implementation of the President's coordinated programme, and the extent to which the Ministry of Finance is allocating money to Ministries in pursuit of the coordinated programme of the President.

Thank you, Mr Speaker.
Mr Speaker 12:20 p.m.
Hon Minister, any concluding remarks?
Prof. Gyan-Baffour 12:20 p.m.
Mr Speaker, not so much.
I thank the Hon Minority Leader for his interest in my Ministry. He has been consistent with it over the years, and I would try to find a way to get the suggestion he has made here on board.
Question put and Motion agreed to.
Resolved:
That this honourable House approves the sum of GH¢ 9,650,836 for the services of the Ministry of Planning for the year ending 31st December, 2020.
Mr Speaker 12:20 p.m.
Hon Member, what is next?
Mr Ameyaw-Cheremeh 12:20 p.m.
Mr Speaker, item numbered 14, Motion.
Mr Speaker 12:20 p.m.
Hon Members, item numbered 14, Motion.
Hon Minister for Monitoring and Evaluation?
MINISTRY OF MONITORING 12:20 p.m.
AND EVALUATION 12:20 p.m.
Minister for Monitoring and Evaluation (Dr Anthony Akoto Osei) (MP) 12:20 p.m.
Mr Speaker, I beg to move, that this honourable House approves the sum of GH¢9,207,187 for the services of the Ministry of Monitoring and Evaluation for the year ending 31st December, 2020.
Mr Speaker, I would want to add a few words. First, the bulk of the work we do involves real time evaluation of the Government's flagship programmes for the first term of the presidency. Most Hon Members may not know it, but the Government has about 17 flagship programmes that it has decided to concentrate on for the first term.
The list includes the Livelihood Empowerment Against Poverty (LEAP), Free Senior High School Programme, health, Specialised Deposit-Taking Institutions (SDI), One District, One Factory (1D1F) among others.
Almost every quarter, we assess the sectors in terms of their performance relating to the indicators that we assigned them. We have what we call the Government Resource Framework, where each of the flagship programmes has been assigned specific indicators that they must reach by a certain time. The results of the assessment are privy to Cabinet to facilitate its work. [Interruption.] My job is not to recommend any reshuffle.
Mr Speaker, we found out that the capacity for monitoring and evaluation in all the Ministries is simply not there. That is why most of the time, we have set up so many Policy, Planning, Monitoring & Evaluation (PPME) units since they do not do any
monitoring and evaluation. So we have had to train almost all of them to assess their Ministries carefully. For that reason, we have had to come up with a draft policy framework, which would guide the Ministries in terms of the work they do for the year.
Mr Speaker, even though it looks like we have been given an increase as compared to last year, the bulk of it is really in capital expenditure that is being financed by the World Bank. For that reason, I ask that this honourable House approves the Motion.
Question proposed.
Chairman of the Committee on Finance (Dr Mark Assibey- Yeboah) 12:20 p.m.
Mr Speaker, I beg to second the Motion, and in so doing, present the Committee's Report.
1.0 Introduction
The 2020 Programme Based Budget Estimates for the Ministry of Monitoring and Evaluation was laid in the House on Wednesday 13th
November, 2019 and referred to the Finance Committee for consideration and report in accordance with the 1992 Constitution and Standing Orders of the House. This referral followed the presentation of the 2020 Budget Statement and Economic

Policy of Government to the House by the Hon. Minister for Finance, Mr Ken Ofori-Atta.

The Committee, in considering the Estimates, met with the Minister for Monitoring and Evaluation, Hon (Dr) Anthony Akoto Osei, Deputy Minister for Monitoring and Evaluation, Hon William Kwasi Sabj; and a team of officials from the Ministries of Finance and Monitoring and Evaluation and hereby presents this report to the House, pursuant to Order 161(1) of the Standing Orders of the House.

2.0 Background

The Ministry of Monitoring and Evaluation (MoME) was established by Executive Instrument 28 (E.I. 28) in February, 2017 in line with sections 11 and 13 of the Civil Service Act of

1993 (PNDCL 327).

The Ministry exists to institutionalise result-based management and evaluative practice across the public sector leading to improved results delivery, evidence-based policy making and transformational impact on Government priority programmes.

The Ministry initiates strategies, coordinates, monitors and evaluates the delivery and impact of governmental policies and programmes.

3.0 Objectives and Functions

The relevant broad medium-term policy objectives adopted from the National Medium-Term Development Policy Framework (NMTDPF) are as follows:

Enhance capacity for policy formulation and coordination; and

Deepen transparency and public accountability.

The goal of the Ministry is to institutionalise result-based manage- ment and evaluative practice across the public sector leading to improved results delivery, evidence based policy-making and transformational impact of government priority programmes.

The core functions of the Ministry are inter alia to:

Initiate and formulate policies, taking into account the needs and aspirations of the people;

Undertake development planning in consultation with the National Development Planning Commission; and

Coordinate, monitor and evaluate the efficiency and effectiveness of policies and programmes across the sectors.
Chairman of the Committee on Finance (Dr Mark Assibey- Yeboah) 12:20 p.m.


Compensation of Employees - GoG -- GH¢950,687

Goods and Services - GOG -- GH¢2,537,800

IGF -- GH¢0

Donor -- GH¢0

GH¢2,537,800

Capex - GoG -- GH¢O

IGF -- GH¢O

Donor -- GH¢5,718,700

GH¢5,718,700

Total GH¢9,207,187
Chairman of the Committee on Finance (Dr Mark Assibey- Yeboah) 12:20 p.m.


6.6 Rapid Evaluation of One Village, One Dam (1V1D)

The Ministry in collaboration with the IDinsight, Twende Mbele and the Ministry of Special Development Initiatives conducted a rapid evaluation of the One Village One Dam (1V1D) project in the five regions in Northern Ghana.

The arm of the rapid evaluation was to assess the progress of implementation, emerging outcomes and potential impacts of the 1V1D intervention. It also sought to document emerging issues and challenges that require immediate attention of Cabinet, the Ministry for Special Development Initiatives (MSDI) and other stakeholders.

6.7 Citizens Participation in Governance

The Ministry would in 2020 engage in activities towards promoting citizens participation in governance. In this vein, the Ministry will introduce citizen- based and community engagement programmes to strengthen commu- nity-based monitoring and evaluation, and to educate the public on the Government's M&E agenda.

6.8 Impact Assessment of Government Programmes

The Committee further observed that the Ministry, would in 2020 conduct an in-depth mixed method evaluation of key government programmes. The real time evaluation results will be disseminated to H.E. the President, Cabinet and the Economic Management Team (EMT) with the aim of removing obstacles to the implementation of programmes and to the improve effective results delivery.

6.9 Challenges

The Committee noted that despite the remarkable successes chalked, the Ministry is nonetheless plagued with a number of challenges. These include delays in the release of approved budgetary funds, inadequate office accommodation and inadequate monitoring and evaluation skills in the MDAs.

The Committee recommends that the Ministry of Finance works closely with the Ministry of Monitoring and Evaluation to ensure timely release of funds and also to assist the Ministry with the necessary resources to enable the Ministry secure additional office space.

The Ministry of Monitoring and Evaluation is also encouraged to continue building the capacity of

M&E staff in the various MDAs through continuous training and coaching.

7.0 Conclusion

The Committee, after a careful consideration of the 2020 Programme Based Budget Estimates for the Ministry of Monitoring and Evaluation, respectfully recommends to the House to approve the sum of GH¢9,207,187 for the imple- mentation of the programmes and activities of the Ministry of Monitoring and Evaluation for the Financial Year commencing on 1st January, 2020 and ending on the 31st December, 2020 in accordance with the 1992 Constitution and Standing Orders of the House.

Respectfully submitted.
Minority Leader (Mr Haruna Iddrisu) 12:20 p.m.
Mr Speaker, I rise to support the Motion for the budgetary allocation for the Ministry of Monitoring and Evaluation.
I would like to refer to pages 6 and 7 of the Report. This House would be interested in the Hon Minister for Monitoring and Evaluation sharing the output of his monitoring and evaluation with us. As he moved the Motion, he mentioned the Government's flagship programmes, but as I looked
Minority Leader (Mr Haruna Iddrisu) 12:30 p.m.
Mr Speaker, US$1 million translated at an exchange rate of GH¢5.2 to a dollar gives me about GH¢5 million. I have not seen a GH¢5 million investment in the Tamale South Constituency. Neither could I vouch for Wenchi, Suame or Dome- Kwabenya; therefore we are interested in the Hon Minister's monitoring especially the extent to which the Government is keeping faith with the implementation.
This is affecting the standing of Hon Members of Parliament (MPs). If the Government is not able to deliver due to economic constraints, let us know. They go and commission a project in Kasoa and announce that Hon MPs are benefitting from the US$1 million per constituency. Let any Hon MP who has between 2017 and 2019, received an equivalent of GH¢5 million in his or her constituency --
Mr Speaker, the second is on paragraph 6.6, which is on evaluation of One Village One Dam (1V1D). I am a rural Hon Member from Tamale South, and we have as many as 33 villages. Each of them requires a dam

or the desilting of a dam. If one wants to build a dugout, there should be value for money, and the Hon Minister must be interested in conducting an audit on value for money for the

1V1D.

In Tamale South, from Datoyili through Tuo to Tishi, I am interested in dams being dug. This is because some of the communities cannot even rely on pipe-borne water because they do not have it. They want us to give them dam water to drink and support animal rearing. So it is an important flagship programme, but the sincerity in its implementation is what is required. The Hon Minister's evaluation would help this House, going forward.

Mr Speaker, finally on 1D1F, there have been Government policy contradictions. I have been an Hon Minister for Trade and Industry before. In one breath, it is led by the private sector and in another breath, it is led by the Government. We need policy consistency. They are asking for GH¢150 million for 1D1F, to go to whom?

We granted tax exemptions in Parliament on the basis of a request that we made for many of them. Mr

Speaker, the extent to which they utilise the money or support from the Ghana EXIM Bank leaves much to be desired. We want to know who has gotten what money from the Ghana EXIM Bank, who would get additional support apart from tax exemption from the Government, and how much the person contributes to address the unemployment challenges of the country?

Mr Speaker, in this country, the Governments over the years have been the major problem to the private sector and its growth, and we need to check it. We say the private sector; but how do we support it when contractors are not paid, and they are paid to go and service bank loans? Is that support for the private sector? We say the private sector, but utility charges are high and it adds to the cost of doing business.

Mr Speaker, we are interested in the work of the Ministry of Monitoring and Evaluation. Last year, the Ministry of Finance was not kind enough to give them capital expenditure (CAPEX). So what is the assurance that next year, they would get something for CAPEX? They just pay staff to work -- no money for the purpose of CAPEX.

Mr Speaker, I thank you.
Dr A. A. Osei 12:30 p.m.
Mr Speaker, I want to start with the last comment. In the Report, there is an amount of GH¢5.7 million from donor - the majority would come from the World Bank to finance our CAPEX. We are a new Ministry and we work from the Christiansborg Castle, Osu. So we would not buy new furniture and so forth and so on.
However, as to the 1D1F that he talked about, this House has received papers to approve the tax waiver for specific industries. It has come to the House, so it is up to the Committee on Trade, Industry and Tourism to do that, because it is not for me to do that. My work is internal for Cabinet purposes, but we did a special thing for the 1D1F. I am not able to share it with Parliament; but I am able to share it with the Hon Minister, so she should be able to let you know.
rose
Dr A. A. Osei 12:30 p.m.
Mr Speaker, his Hon Leader has spoken, but he also wants to speak. I do not know where he is coming from. Does he not know the protocols in Parliament?
Mr Speaker 12:30 p.m.
So long as you are on your feet, the Hon Member may stand on a point of correction or order.
Dr A. A. Osei 12:30 p.m.
Mr Speaker, thank you very much, and I also thank the Hon Minority Leader.
Question put and Motion agreed to
Resolved:
That this Honourable House approves the sum of GH¢ 9,207,187 for the services of the Ministry of Monitoring and Evaluation for the year ending 31st December, 2020.
Mr Speaker 12:30 p.m.
Yes, available Hon Leader, what is the next item?
Mr Ameyaw-Cheremeh 12:30 p.m.
Mr Speaker, if I may take you back to item numbered 4(d) (ii).
The Hon Vice Chairman of the Committee indicated to us that the particular Paper had been laid previously, but the checks revealed that it has not been laid. So with your leave, if it would be laid now. After that, we could take item numbered 4 (k).
Mr Speaker 12:30 p.m.
Item listed 4 (d) (ii).
PAPERS 12:30 p.m.
Mr Speaker 12:30 p.m.
Item numbered 4(k) (i), (ii) and (iv), by the Hon Chairman of the Committee on Roads and Transport.
By the Chairman of the Committee --
Report of the Committee on Roads and Transport on the Annual Budget Estimates of the Ministry of Transport for the year ending 31st December,
2020.
Report of the Committee on Roads and Transport on the Annual Budget Estimates of the Ministry of Roads and Highways for the year ending 31st December, 2020.
Report of the Committee on Roads and Transport on the Annual Budget Estimates of the Ministry of Aviation for the year ending 31st December 2020.
Mr Speaker 12:30 p.m.
Yes, available Hon Leader?
Mr Ameyaw-Cheremeh 12:30 p.m.
Mr Speaker, we could take item numbered 13 -- Motion.
Mr Speaker 12:30 p.m.
Item numbered 13 -- Motion, by the Hon Minister for Regional Reorganisation and Development.
ANNUAL ESTITMATES, 12:30 p.m.
MINISTRY OF REGIONAL 12:30 p.m.
REORGANISATION AND 12:30 p.m.
DEVELOPMENT 12:30 p.m.
Minister for Regional Reorganisation and Development (Mr Daniel Kwaku Botwe) 12:40 p.m.
Mr Speaker, I beg to move, that this honourable House approves the sum of GH¢153,260,855 for the services of the Ministry of Regional Reorganisation and Development for the year ending 31st December, 2020.
Mr Speaker, the main reason people petitioned for the creation of new regions were summarised into two. One, that the Government should get closer to the people; and two, there should be accelerated development.
Mr Speaker, in the 2020 financial year, the Ministry would continue with
the projects that were started in 2019. In 2019, the Ministry facilitated the support of the Local Government Service on the posting of personnel to fill the six newly created regions.
This House also approved the nominations of the President for Hon Regional and Hon Deputy Regional Ministers. Being new Ministries with new Regional Coordinating Councils, some of them had to rent accommodation. So we started the process to facilitate the construction of office accommodation.
Mr Speaker, as stated in the 2020 Budget Statement, the Ministry would undertake and complete the ongoing projects that were commenced in 2019. These include the construction of a three storey Regional Coordinating Council in all the six newly created regions.

The erection and completion of administrative blocks and staff bungalows for some decentralised Departments and Agencies.

Mr Speaker, for government to get closer to them to answer to their needs, the Government took the decision that the regional directorates of Government under the Ministries, Departments and Agencies (MDAs),

will not all be centred in the regional capital of the new regions, and that some will be sent to the districts within the new regions.

So some of the four new directorates of the MDAs namely; Feeder Roads, Education and Health were all sent outside the regional capitals.

Mr Speaker, we are also going to construct six Regional Ministers and Deputy Ministers residences. It is the Government's programme to facilitate the construction of six new regional hospitals in the six new regions, build a new regional Police Command Posts and then 12 duty post bungalows in the six new regions.

To implement this planned programme of activities for the 2020 financial year, the Ministry has been allocated GH¢153,260,855. The breakdown is contained in the Committee's Report.

Mr Speaker, it is imperative to state that this exercise was a very emotive one. It has been done with the support of Hon Members of Parliament, especially those who hail from these new regions. The Ministry is still coordinating activities of other Ministries so as to make sure that the required infrastructure needed for a smooth take-off in these new regions is done.
Mr Speaker 12:40 p.m.
Hon Minister, thank you very much.
Question proposed.
Chairman of the Committee (Dr Assibey-Yeboah) 12:40 p.m.
Mr Speaker, I beg to second the Motion, and in so doing, I present the Committee's Report.
1.0 Introduction
Following the presentation of the Budget Statement and Economic Policy of the Government for the year ending 31st December, 2020, by the Hon Minister for Finance, Hon Ken Ofori-Atta on 15th November, 2019, the 2020 Budget Estimates for the Ministry of Regional Reorganisation and Development was referred to the Finance Committee for consideration and report in accordance with article 179 of the 1992 Constitution and Order 140 (4) of the Standing Orders of Parliament.
The Committee met with the Hon Deputy Minister for Regional Reorganisation and Development, Mr Martin Adjei-Mensah Korsah, the Chief Director of the Ministry, Mr Dawarnoba Baeka and officials from the Ministry of Finance and the Ministry of Regional Reorganisation and Development.
1.1 Documents referred to
The Committee referred to the following documents:
The 1992 Constitution;
The Public Financial Manage- ment Act, 2016 (Act 921);
The Standing Orders of Par- liament; and
The Budget Statement and Economic policy of the Government of Ghana for the 2020 Financial Year.
2.0 Background
As part of government's efforts to help deepen political and adminis- trative decentralisation as well as strengthen the coordination and administrative functioning of the regions, the Ministry of Regional Reorganisation and Development was established.
The goal of the Ministry is to improve access to government services through the review and reorganisation of existing administrative regions.
The core functions of the Ministry are to, among others:
Formulate policies for the reorganisation and development of administrative regions.
Develop strategic plans and programme based budgets f o r the reorganization and develop- ment of administrative regions.
Develop communication/ advocacy strategies to sensitise stakeholders on the modalities involved in reorganizations of administrative regions.
Collaborate with relevant Ministries, Departments and Agencies for the reorganisation and development of new regions; and
Facilitate the design and preparation of programmes and projects for the development of the newly created administrative regions.
3.0 Performance For 2019
During the year under review, the Ministry carried out the following activities:
Chairman of the Committee (Dr Assibey-Yeboah) 12:40 p.m.


3.1 Public Presentation of Constitutional Instruments to the New Regions

The Committee was informed that pursuant to article 5(8) of the 1992 Constitution, His Excellency the President issued the Constitutional Instruments (CIs) giving effect to the results of the referendum for the creation of the new regions. He also publicly presented the CIs to delegations of chiefs from the new regions at the Jubilee House.

3.2 Posting of Key Staff to the New Regional Coordinating Councils

The Ministry in collaboration with the Head of Local Government Service posted a number of staff to the new regions. These included the Regional Coordinating Directors, Regional Economic Planning Officers, Budget Analysts, Human Resource Directors and Accountants among others.

To date, the Office of the Head of Local Government Services has recruited and posted over two thousand (2,000) staff, including drivers, stewards, cleaners and executive officers to the new regions.

Other support services such as the Regional Police Commanders, Regional BNI Directors, Regional Commanders of the Ghana Prisons

Service and Regional Fire Officers, have been posted to the newly created regions.

3.3 Training of Newly Posted Staff

The Ministry collaborated with the Office of the Head of Local Government Service to orient newly posted Regional Coordinating Directors on the performance of their duties to ensure rapid socio- economic development of the new regions.

It also collaborated with the Office of the Minister of State in Charge of Public Procurement to train the Regional Ministers, Regional Coordinating Directors, Regional Procurement Specialists and Regional Accountants on public Procurement

3.4 Procurement of Vehicles for the Newly Created Regions

The Ministry facilitated the handing over of forty-eight (48) vehicles made up of six (6) Nissan Patrol V8s, thirteen (13) Nissan Patrol V6, eighteen (18) Nissan Hard body Pick- up vehicles, twelve (12) Toyota Hilux Pick-up vehicles and thirty (30) motorbikes. It also handed over six (6) additional Nissan Hard body Pick-up vehicles which were used during the preparation of the creation of the new regions to the new Regional Coordinating Councils.
Chairman of the Committee (Dr Assibey-Yeboah) 12:40 p.m.
3.6 Summary of Budget Allocation and Performance for 2019
For the year 2019, the Ministry was allocated a total amount of one hundred and twenty-two million, seven hundred and eighty-seven thousand, four hundred and sixty- three Ghana cedis (GH¢122,
787,463.00).
Out of this amount, fourteen million, four hundred and twenty-two thousand, seven hundred and twenty- two Ghana cedis, fifty-four pesewas (GH¢14,422,722.54) was spent as at 30th September, 2019. Table 1 below is the Expenditure Returns for the period ending September, 2019.
Table 1: Expenditure Returns as at 30th September 2019
SPACE FOR TABLE 1, 12.40 -- PAGE 7
4.0 Outlook For 2020
In 2020, the Ministry, as part of its core mandate would continue to facilitate the completion of the on- going projects which were started in 2019. They include:
the construction of a 3-storey Regional Coordinating Councils (RCCs) Administration Blocks in each of the newly created regions;
the erection and completion of administrative block and staff

bungalows for some decen- tralised departments and agencies;

construction of six Regional Ministers' Residences in the newly created regions

construction of six Deputy Regional Ministers Residences in the newly created regions;

facilitation of the construction of six Regional Hospitals

facilitation of the construction of six administration blocks and twelve duty post bungalows for the Regional Police Commanders

The Ministry will also carry out series of Information, Education and Communication (IE&C) programmes to ensure that people in the new regions are part of the development process. It will coordinate and manage programmes and projects in the new regions.

4.1 2020 Budget Allocation

For the implementation of its programmes, a total amount of one hundred and fifty-three million, two hundred and sixty thousand, eight hundred and fifty-five Ghana cedis (GH¢ 153,260,855.00) has been allocated from the Government of Ghana (GoG) to the Ministry. The summary of the allocation for the 2020 is shown in Table 2 as follows:
Mr Speaker 12:40 p.m.
Thank you very much. The corrections will be duly effected. The Hon First Deputy Speaker will take the Chair. Hon Minority Leader?
MR FIRST DEPUTY SPEAKER
Minority Leader (Mr Haruna Iddrisu) 12:47 p.m.
Mr Speaker, I rise to speak in support of the Motion for the approval of the sum of money for the Ministry of Regional Reorganisation and Development.
Mr Speaker, while I have no problem with the personality of the Hon Minister, I have a problem with the Ministry. My view is that the Ministry is only a duplication, and the President should have collapsed this Ministry after the creation of the regions. Their role is recognised under
article 240 of the 1992 Constitution. All matters relating to Regional Coordinating Councils are captured under the decentralisation provisions of the 1992 Constitution between article 240 and 255 in particular. They come under the Ministry of Local Government and Rural Development. That is why we have an Hon Minister for Local Government and Rural Development.
Mr Speaker, may I refer to the Committee's Report just to caution on page 4 which reads:
“Facilitation of the construction of six (6) administration blocks and twelve (12) duty post bungalows for the Regional Police Commanders.”
Mr Speaker, he is veering off, and we must stop him. There is a Ministry for the Interior, and an Inspector General of Police (IGP), why must it take a Ministry of Regional Reorganisation and Development to be doing Police bungalows?
Again: “construction of six regional hospitals”. There is a Ministry of Health. I am saying that this is captured in the Ministry of Regional Reorganisation and Development under “Outlook for 2020”.
So the Hon Minister is worth an Hon Minister, but the Ministry is not worth a Ministry. It should not exist and the President should find a more effective role for the Hon Daniel Botwe. [Interruption] --
Mr Speaker, now, he is stable. His Budget Estimate was about GH¢122 million and the Hon Chairman has corrected it which was captured under the 30th September, 2019 Expenditure Returns on page 4.
When you look at the allocation, out of about GH¢122 million, the Hon Minister got only about GH¢14 million, and so it means that the newly created regions are not functioning. Indeed, they have not been properly established, and therefore how are they going to lead the decentralised development of the new regions?
Mr Speaker, my final comment is also a comment that the Hon Minister would have to discuss with the President. I see a worry of many of the new regions clustered around some ethnic social consideration, which is not good for the future of this country.
Mr Botwe 12:50 p.m.
Mr Speaker, when the nation is called upon to elect leadership, first they do it by the manifestos of political parties and secondly, in electing the Executive President of the nation, what the person stands for and what he has articulated throughout the years. People look at these things and then vote for who would become a President.
Mr Speaker, so it is possible that key political parties may have the same promises in their manifestos, but people would elect a particular President or a party because they believe in their management style and capabilities. Mr Speaker, this is where the difference is.
Mr Speaker, on page 67 of the NPP Manifesto, they mentioned the creation of regions and on pages 72 and 73 of the NDC Manifesto, they mentioned the creation of five new regions. Mr Speaker, they were very specific, and so I wonder how these regions were going to be created to address the concern of the Hon Minority Leader about the ethnic social considerations. In any case, the 1969 Constitution, the 1979 Constitution and the 1992 Constitution all have Chapters that
Mr Botwe 12:50 p.m.
talk about the creation of new regions. Mr Speaker, the Constitutions clearly laid down how it should be done and through a referendum.
Mr Speaker, if we had gone through this exercise and through a report by a Commission of Inquiry, and if the good people who requested for these regions have voted in favour of that, then how can anybody question the ethnic and social consideration of it? Is it that the people who demanded it did not know what they wanted?
Mr Speaker, I do not want to believe that the Hon Minority Leader is trying to go on that path. There is nothing wrong with a group of people of a particular ethnicity living in another region. In actual fact, in May 1949, there was a referendum in the northern section of the British Togoland. The reason the chiefs and people of the Krachi Traditional Area wanted to move to the southern sector was because they wanted to be part of their kith and kin. So ethnicity was allowed, and a referendum was held and the results were published in Prof Benin's book. Mr Speaker, there is absolutely nothing wrong with a group of people who believe that they want to be with another group of the same ethnicity.
Mr Speaker, secondly, the President saw this as a very important
exercise. Many political parties have spoken about this on political platforms, but for the first time in 2016, it found expression in the manifestos of political parties. It became an issue that was considered by past Presidents; they got to the point of starting the process, but they did not. Mr Speaker, the President exhibited a lot of executive courage to pursue this.
Mr Speaker, one does not just give birth to a child and treat the child like an elderly person in the family. It is important that we give attention to these six new regions. So the Ministry is relevant and the President sees the wisdom to coordinate these activities. We suffered some bureaucracies in the system and so one cannot just expect that there is a new region and so all Ministries should go and establish there.
Mr Speaker, as at now, we are still liaising with others and it might interest you to note we are relying on the police administration and other relevant institutions to make sure that these new regions are well established with the necessary infrastructure before they join the others.
Mr Speaker, the last time a region was created was in 1983, and that is over 30 years. So we should not create six new regions and expect that
they should immediately function like those that have been in existence for over 50 years. So it is important this Ministry exists and that is the vision of the President. Mr Speaker, maybe that is the difference -- that we should not just create them just for the sake of creation, but we should take particular care to make sure that we nurture them to answer to the basic aspirations that the people wanted and to make sure that government gets close to them and there would be accelerated development.
Mr Speaker, thank you.

Question put and Motion agreed to.

Resolved:

That this honourable House approves the sum of GH¢ 153,260,855 for the services of the Ministry of Regional Reorganisation and Develop- ment for the year ending 31st December, 2020.
Mr Moses Anim 12:50 p.m.
Mr Speaker, we could take item numbered 18 on page 8 of the Order Paper.
Mr First Deputy Speaker 12:50 p.m.
Very well. Item numbered 18 — Motion, by the Hon Minister for Finance.
Mr Anim 12:50 p.m.
Mr Speaker, I humbly request your leave and the indulgence of Hon Colleagues to allow the Hon Deputy Minister to take the Motion on behalf of the Hon Minister.
Mr First Deputy Speaker 12:50 p.m.
Which of the Deputy Ministers?
Mr Anim 12:50 p.m.
Mr Speaker, Hon Abena Osei-Asare.
Dr A. A. Osei 12:50 p.m.
Mr Speaker, the Hon is a Deputy Minister, and in this House, we refer to them by their titles and not Hon Abena Osei-Asare.
Mr First Deputy Speaker 12:50 p.m.
Well, Hon Minister for Monitoring and Evaluation, in this case, I asked of which of them.
Dr A. A. Osei 12:50 p.m.
Yes, and he said, Hon Abena —
Mr First Deputy Speaker 12:50 p.m.
Yes, it was after I asked for clarification. There are three Deputy Ministers, and I wanted to be sure which of them.
Dr A. A. Osei 12:50 p.m.
Mr Speaker, he could have said Hon Deputy Minister, and not Hon Abena Osei-Asare.
Mr First Deputy Speaker 12:50 p.m.
Hon
Abena Osei-Asare, the Deputy Minister for Finance.
Hon Deputy Minister for Finance, you may move the Motion.
ANNUAL ESTIMATE, 2020
OFFICE OF THE HEAD OF 12:50 p.m.
CIVIL SERVICE 12:50 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 1 p.m.
Mr Speaker, I beg to second the Motion, and in doing so, I present the Committee's Report.
1.0 Introduction
The 2020 Programme was Based- Budget Estimates for the Office of the Head of Civil Service (OHCS) was laid in the House on Wednesday, 13th November, 2019 and referred to the Finance Committee for consideration and report in accordance with the 1992 Constitution and Standing
Orders of the House. This referral followed the presentation of the 2020 Budget Statement and Economic Policy of Government to the House by the Hon Minister of Finance Ken Ofori-Atta.
The Committee, in considering the Estimates, met with the Head of Civil Service, Nana Kwasi Agyekum Dwamena and a team of officials from the Office of the Head of Civil Service and the Ministry of Finance, and hereby present this Report to the House.
2.0 Background
The Office of the Head of Civil Service (OHCS) is a central Management Agency that provides leadership and facilitates the work of Civil Service Organisations to enable them respond positively to Government's expectations, as well as the aspirations of its stakeholders and the general public.
The office exists to assist Government in the formulation and implementation of Government policies for the development of the country, through the management of human and other resources, promotion of efficient records management, organisational development and value for money procurement for the delivery of results-oriented, knowledge-driven services.
The vision of the office is to be a client-oriented organisation providing world-class policy advice and services.
3.0 Objectives and Functions
The goal of the OHCS is to have the human resource and institutional capacity to formulate, implement, monitor and evaluate policies for national development, as well as the ability to effectively and efficiently provide timely and satisfactory services to all its stakeholders.
The core functions of the Office include the formulation and review of human resource related policies, guidelines, standards and pro- grammes for the Civil Service and the facilitation of their implementation.
The OHCS also monitors and coordinates all human resource management related programmes in the Ministries and Departments to ensure uniformity in the application of rules and adherence to standards.
Again, the OHCS develops and facilitates the conduct of systematic, competency-based training for the acquisition of skills consistent with the needs of the Service.
The OHCS also develops and ensures the implementation of a robust performance management system for the Civil Service.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 1 p.m.


4.0 2019 Budget Performance

An amount of GH¢20,040,832 was approved for the OHCS as Budget Estimates for the 2019 Financial Year. The breakdown was as follows:

Compensation of Employees - GoG -- GH¢ 11,597,445

Goods and Services - GoG -- GH¢ 5,024,000

- IGF --- GH¢ 1,871,262

GH¢6,895,262

CAPEX - (GoG) -- GH¢950,000

- IGF -- GH¢598,125

-- GH¢ 1,548,125

Total GH¢20,040,832

The total allocation was however increased to GH¢25,506,679.00 in the mid-year review of the Budget.

Outturn for 1st January to 31st October, 2019 shows the following:

SPACE FOR TABLE, PAGE 3, --- 1.00 P.M

5.0 2020 Budget Estimates for the Office of the Head of Civil Service (OHCS)

For the implementation of its programmes and for stated

objectives, the OHCS has been allocated a sum of GH¢34,708,833.00 for the 2020 financial year. The breakdown is as presented below:

Compensation of Employees - GoG -- GH¢ 17,777,793

Goods and Services - GoG -- GH¢6,343,579

- IGF -- GH¢2,102,445

- Donor -- GH¢1,075,116

-- GH¢9,521,140

CAPEX - GoG -- GH¢ 1,000,000

- IGF -- GH¢691,200

- Donor -- GH¢5,718,700

-- GH¢7,409,900

Total GH¢34,708,833

The allocation is sub-divided among the various institutions under the OHCS as follows:

OHCS Headquarters -- GH¢26,942,319

Management Services Division -- GH¢2,854,354

Public Records and Archives Administration Department (PRAAD) -- GH¢4,912,160

GH¢34,708,833
Chairman of the Committee (Dr Mark Assibey-Yeboah) 1 p.m.


6.0 Observations and Recommen- dations

6.1 Release of Funds for Promotion Activities

The Committee observed that the Ministry of Finance, in the year 2019 made prompt releases to the OHCS to enable the Office undertake centralised promotion-linked training, and to conduct promotion assessment interviews for deserving civil service staff and also recruit new staff or replace retiring staff. These releases enabled the OHCS to process the documentation for a total number of 2,974 eligible officers out of which 2,614 were promoted as at the end of October, 2019.

Additionally, 2,107 Civil Service staff have been provided with promotion-linked training which is still on going.

In the 2020 financial year, a total of 4,452 officers will be processed for promotion interview.

6.2 Recruitment into the Civil Service

The Committee observed that the OHCS in 2019 received financial clearance to recruit 300 staff into the Civil Service. As at the end of October, 2019, 60 staff had been

recruited and posted while 240 had been recruited but awaiting posting.

As to how the recruitments were carried out, the Committee was informed by the Head of Civil Service that the recruitment was advertised in response to which 7,199 persons applied using the OHCS online application module. These applicants were invited to take an online examination, but only a total of 4,260 participated in the exam.

Of this number, the 300 successful candidates were selected.

6.3 Performance Management

The Committee was informed that the OHCS is implementing a performance management system for all staff of the Civil Service. Pursuant to this, the OHCS successfully executed performance agreements with 34 Chief Directors, 208 Directors and Heads of Departments, 48 Heads of Ghana Missions abroad, 51 Al Officers and 7 Consul Generals.

In the year 2020, the Office will work to ensure improved per- formance in the Civil Service. It is programmed that by the end of 2020, at least 50 per cent of all Chief Directors will score above 70 per cent of the set deliverables in their performance agreements.

6.4 Institutional Development

The Committee noted that as part of the OHCS' strategy for institutional development, the Office would continue to rationalise and define structures, roles and procedures for state institutions, improve trans- parency and public access to information and promote the efficiency and effectiveness of performance in the Civil Service.

These would be done to ensure that MDAs are optimally structured by identifying the required skill mix to undertake sector plans, programmes and projects for accelerated national development.

6.5 Annual Performance Reports

The OHCS, in 2019, prepared the 2018 Annual Performance Report (APR) for the Civil Service and distributed copies to the Presidency, Ministries, Departments and Agencies (MDAs), as well as mto key stakeholder institutions to aid in policy decision Report was also made available on the OHCS website for public access.

The Office will prepare and disseminate the 2019 Annual Performance Report (APR) for the Civil Service during the 2020 financial year.

6.6 Operations and Projects for

2020

The main operations and projects to be undertaken by the OHCS in 2020 include but not limited to the following:

Monitor and evaluate the record offices of 10 public institutions.

Dispose of 1,700 scheduled boxes of records at the National Records Center.

Organise one Public Archives exhibition.

Develop capacity of 60 Staff.

Implement the digitization of public records.

Liaise with the World Bank and other development partners to train and update the skills of 70 procurement and supply chain management professionals on donor funded procurement systems, including the revised World Bank/IDF Procurement Regulations and the AfDB Procurement Regulations and procedures.

Conduct Staffing Gap Analysis for 36 Ministries and their Departments.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 1 p.m.


Recruit an estimated 500 officers into the Civil Service.

Collate, update and digitise personnel records of all Civil Servants.

Conduct service wide scheme of service training for 2,500 officers of the Civil Service.

Train 122 Integrated Personnel and Payroll Database (IPPD) preparing officers and authorisers in the Ministries Departments and Agencies to ensure efficient payroll management.

Prepare gender strategy and action plan for adoption and implementation by the Minis- tries, Departments and Agencies (MDAs).

Sensitise hundred (100) Civil Service Staff on National Anti- Corruption Action Plan

(NACAP).

Continue works towards achieving the Marine Drive Tourism Development Project, and

Undertake rehabilitation works on the Office building and provide transport for staff.

6.7 Management Consultancy Services

The Management Services Department (MSD) under the OHCS will, in 2020, continue to offer management consultancy services to public sector organisations with the view to ensuring that public sector organisations are well structured with reviewed work processes for improved service delivery.

The services to be provided include; among others the conduct of job inspection exercises, job analysis and evaluation, reviewing work standards and business processes and facilitating the setting of service standards.

6.8 Records Management

The Public Records and Archives Administration Department (PRAAD) under the OHCS would, in 2020 work towards ensuring the proper and effective management of records in all public institutions.

To this end, PRAAD will be implementing procedure for the timely disposal of public records of no continuing value, advising on best practices and establishing national standards in records keeping in the Civil and Public Services.

Also, PRAAD will ensure that procedures for the transfer of public records of permanent value for

preservation in the national archives or other archival repository are respected in accordance with the Public Records and Archives Administration Act, 1997 (Act 535).

7.0 Conclusion

The Committee has thoroughly examined the estimates and finds the programmes for which the sums have been allocated to be needful for the proper and effective functioning of the Office of the Head of Civil Service.

The Committee hence recommends that the House approves the sum of thirty-four million, seven hundred and eight thousand, eight hundred and thirty -three Ghana cedis (GH¢34,708,833) for the implementation of the programmes and activities of the Office of the Head of Civil Service (OHCS) for the Financial Year commencing on the 1st day of January 2020 and ending on the 31st day of December, 2020 in accordance with the 1992 Constitution and Standing Orders of the House.
Mr First Deputy Speaker 1 p.m.
Hon Ranking Member? Very well, the Hon Minority Leader would contribute to it.
Hon Minority Leader?
Minority Leader (Mr Haruna Iddrisu) 1 p.m.
Mr Speaker, for purposes of dispatch of Business, I have conferred with the Hon Ranking Member and members of the Finance Committee on this Side so that some of these matters could be taken expeditiously.
Mr Speaker, Ghana needs to develop a professional Civil Service. Even though as a colonial inheritance, we have strived to improve it.
However, there are still political interferences which dichotomises them into one supporting Government and the other not in favour of Government. It has been so since 1993. We need to fight that disease and make sure that they continue to offer professional services.
Mr Speaker, my other policy comment is on page 8 of the Report, which I quote 1 p.m.
“sensitise one hundred (100) Civil Service staff on National Anti-Corruption Action Plan
(NACAP)”.
Mr Speaker, corruption is a problem within the Civil Service of our country. There is evidence of corruption, both petty and grand, which is facilitated by civil servants. Therefore, in pursuing this important anti-corruption strategic plan, why are they limiting it to only 100 staff? They should conduct it for all civil servants in Ghana.
Mr Speaker, my other policy comment is on page 8 of the Report, which I quote 1 p.m.


Mr Speaker, the phenomenon of “bring something small before your file is processed” is not acceptable. Procurement remains the most veritable source of corruption globally. Therefore they need more training, even on matters relating to corruption.
Mr First Deputy Speaker 1 p.m.
Hon Minority Leader, did you say “bring something small before your file is processed” has anything to do with any particular agency?
Mr Iddrisu 1 p.m.
Mr Speaker, I am speaking in reference to research work. There is a book by Hartington who summarises that corruption has functional and dysfunctional aspects. In its functional aspect, he argues that it becomes the lubricant that keeps the wheels of administration running. So people find ways to get the wheels of administration running for them to get decisions. Therefore within the Civil Service, people facilitate how early a person's document gets out and a token is paid for it.
Mr Speaker, I cannot situate it to any individual, but to an institution. That is why I am demanding institutional reforms and more resources.
Mr First Deputy Speaker 1 p.m.
I would want us to discuss this matter as the position of our character. It
affects every agency and sector of our economy. We should look at our character more closely as a people.
Mr Iddrisu 1 p.m.
Mr Speaker, that is acceptable.
Mr Speaker, let me conclude with paragraph 6.2. It paints a picture which should wake us up as a country to deal with the problem of unemployment. Mr Speaker, it reads:
“As to how the recruitments were carried out, the Committee was informed by the Head of Civil Service that the recruitment was advertised in response to which 7,199 persons applied using OHCS online application module.”
Mr Speaker, out of it, 4,260 participated in the examination and only 300 were taken. You must be a good examiner of an examination to meritoriously assess these people. However, this gives you a view of the unemployment crisis of our country. Out of over 7,000 applicants, only 300 were successful.
Mr Speaker, what I find interesting is that they have projected for on additional 500 staff for 2020. It should reflect in their compensation budget. In the same paragraph, while recruitment was done, 240 have not been posted. Why have they not been
posted? The Ministry of Finance must grant them financial clearance. They have not been posted because they need --
Mr Speaker, let me refer to the paragraph well 1 p.m.
“The Committee observed that the OHCS, in 2019, received financial clearance to recruit 300 staff into the Civil Service. At the end of it in October, 2019, 60 staff have been recruited …”
Why is it 60 less 240? The Ministry of Finance must support them because their work is about human resource and professional issues. Therefore if they are given clearance for 300 staff, they should get all the 300 posted. I would demand that the Hon Minister for Finance come back to this House and give us indication as to when these people were posted. I know, because I was part of the Public Policy Rationalisation. I can understand their difficulty, but it should not be for the Office of the Civil Service. When they say that in 2020, they would recruit 500 additional, yet they have 240 outstanding who do not know their fate, they should be assured of their fate.
Mr Speaker, with these words, I support the Motion.
Question put and Motion agreed to.
Resolved:
That this honourable House approves the sum of GH¢ GH¢34,708,833 for the services of the Office of the Head of Civil Service for the year ending 31st December,
2020.
Mr First Deputy Speaker 1 p.m.
Yes, Hon Deputy Majority Whip?
Mr Moses Anim 1 p.m.
Mr Speaker, we may suspend Sitting and come back after two hours.
Mr First Deputy Speaker 1 p.m.
Yes, Hon Minority Leader?
Mr Iddrisu 1 p.m.
Mr Speaker, I support the request to suspend Sitting. We expect that Hon Chairmen and Ranking Members would work diligently on the Reports. Hon Ministers should be available to move their Motions. We cannot keep deferring Business and say we should wait to work in the future. We have time now. They should bring us work, and we would exhaust them. I have served notice to the Majority leadership not to be suspending Sittings. They have work and so they should bring them and make sure that
Mr First Deputy Speaker 1 p.m.
Very well. We would make sure that when we resume Sitting, there would be work to do.
Hon Whips for the Majority, am I so assured?
Mr Anim 1 p.m.
Mr Speaker, yes.
1.10 p.m. -- Sitting suspended.
5.17 p.m. -- Sitting Resumed.
MR FIRST DEPUTY SEAKER
Mr First Deputy Speaker 1 p.m.
Can we continue from where we left off, Hon Majority Chief Whip? Which Motion are we taking now?
Mr Kwasi Ameyaw-Cheremeh 1 p.m.
Mr Speaker, there is an Order Paper Addendum, and on it are a number of Papers to be laid. If we may take that first, then we could move to the Motion.
Mr First Deputy Speaker 1 p.m.
Well, whoever is distributing the Order Paper Addendum forgot of me. I do not have one before me. [Pause]
Alright, so we are on the Order Paper Addendum — Presentation of Papers — by the Minister for Finance.
Mr Ameyaw-Cheremeh 1 p.m.
Mr Speaker, yes, the first one is by the Hon Minister for Finance. We seek your leave for the Hon Deputy Minister, Hon Kwaku Kwarteng to lay the Paper on behalf of the Hon Minister.
Mr Ahmed Ibrahim 1 p.m.
Mr Speaker, ordinarily, we would have no objection, but I would want the Hon Majority Chief Whip to tell us the whereabouts of the Hon Finance Minister.
Mr First Deputy Speaker 1 p.m.
Well, will that make any difference? Would you then agree or not if he tells you?
Mr A. Ibrahim 1 p.m.
Mr Speaker, for the records, this is a critical moment where a lot of Estimates are going to be considered, and I know if we agree to this, then subsequently, the Hon Deputy Minister for Finance who did the job yesterday is going to continue. But I believe that, at least, for this crucial week and next week, the Hon Minister for Finance should be here, and if he is not here, we need to be told why, and based on that, we could —
Mr First Deputy Speaker 1 p.m.
Otherwise, you do not have any
objection to the Hon Deputy Minister laying on his behalf?
Mr A. Ibrahim 1 p.m.
Mr Speaker, by Standing Order 75, a Member laying a Paper, may make some few comments about it et cetera and so sometimes, laying of Paper goes beyond laying of just the Papers — Mr Speaker, we have a tall list of business to be done by the Hon Minister for Finance, and so his presence in the Chamber would be highly appreciated, and so it would make some few difference.
Mr First Deputy Speaker 1 p.m.
Hon Majority Chief Whip, can you ensure that your Minister for Finance would be in the House in the ensuing days from today?
Mr Ameyaw-Cheremeh 1 p.m.
Mr Speaker, we will speak to the Hon Minister so that in subsequent days, he would attend upon the House. But we must also understand that the Hon Minister for Finance may not be able to sit with us from morning to the evening. He was engaged this afternoon in a meeting with the President for which reason he is unable to be with us but we will communicate to him to be here with us as and when necessary.
Mr First Deputy Speaker 1 p.m.
Are you satisfied?
Mr A. Ibrahim 1 p.m.
Mr Speaker, I appreciate the information, and I have no problem with the explanation given, except to add that, as some Hon members were saying that as a Leader I should know, yes, it is true, but the Hon Minister for Finance does not make the information available, and that is why Leadership is challenged — [Laughter]
Mr First Deputy Speaker 1 p.m.
I understand you now.
Hon Deputy Minister, you are granted leave to lay the Paper on behalf of the Minister but please convey to him that the Leaders say that the information should reach them.
PAPERS 1 p.m.
Mr Ameyaw-Cheremeh 1 p.m.
Mr Speaker, that is so, but the Hon Minister is not presently with us, and we seek your leave for the Minister for Planning, Prof Gyan-Baffour to lay the Paper on behalf of the Minister.
By the Minister for Planning (Prof George Y. Gyan-Baffour) on behalf of the Minister for Sanitation and Water Resources —
Contract Agreement between the Government of the Republic of Ghana (represented by the Minstry for Sanitation and Water Resources/Ghana Water Company Limited) and ASPAC International (sprl) of Midden- hutlaan, Belgium, for an amount of thirty million euros (€30,000.00) for the execution and completion of the Wenchi Water Supply project.
Referred to the Committee on Works and Housing.
Dr Mark Assibey-Yeboah 1 p.m.
None

Mr Speaker, we are dealing with the Commercial Agreement for the Wenchi Water Supply Project, and the MP for Wenchi who was not intended to lay the Paper, does so for the Wenchi Water Supply Project. Would this not be a case of a conflict of interest?
An Hon Member 1 p.m.
He is performing his official duty.
Dr Assibey-Yeboah 1 p.m.
No, if officially, they sat with the Ministry of Planning, then that would have been fine, but now he inserts himself in a matter that the Minister for Sanitation and Water Resources is supposed to lay. He being the Member of Parliament for Wenchi — I just need your guidance.
Mr Joseph Y. Chireh 1 p.m.
Mr Speaker, I do not know why the Hon Chairman of the Finance Committee is always raising red herrings when he was called as an Hon Minister for Planning, and not MP for Wenchi. And so he is out of order and he should not be delaying us.
Prof George Y. Gyan-Baffour 1 p.m.
Mr Speaker, it is exactly the same thing that I was going to say, that I did it in my capacity as the Hon Minister for Planning, and not necessarily the MP for Wenchi.
Mr Alexander K. Afenyo- Markin 1 p.m.
Mr Speaker, I support the
argument of my respected Colleague, Dr Mark Assibey-Yeboah. He did not raise any red herring. The point is that, as a matter of coincidence, a conflict of interest was occasioned. Because he is the MP for Wenchi and indeed, content that although he was performing his official function in his capacity as Hon Minister for Planning, that coincidentally conflicted with his interest in that project as an Hon Member of Parliament. Is he saying that when it comes to the campaign, he is not going to raise this to say, for instance that he is the Hon Member of Parliament, and he brought this water supply project in his era? And so he has an interest and there is a conflict.
rose
Mr Afenyo-Markin 1 p.m.
He will not learn. He is rising against me. He is a back bencher; a first time Member of Parliament, and he is challenging me when I am on my feet.
Mr First Deputy Speaker 1 p.m.
He is an Hon Member of Parliament.
Mr Afenyo-Markin 1 p.m.
Mr Speaker, he is obstructing me. We are talking legal issues, and he wants to obstruct me.
Mr Speaker, we have to make progress.
Mr Ras Mubarak 5:27 p.m.
Mr Speaker, I am glad he has conceded that we have to make progress, and indeed that was the point I was going to raise.
Mr First Deputy Speaker 5:27 p.m.
Alright, I have heard all you have to say.
Dr A. A. Osei 5:27 p.m.
None

Mr Speaker, the MPs here represent their constituencies. We should find a way that when things in their constituencies come, to encourage them to lay the Papers so that they can go and take credit. That is why they are here and there is no conflict of interest.
Mr First Deputy Speaker 5:27 p.m.
I do not see how the laying of a Paper, either by himself or on behalf of another Minister in anyway raises a conflict of interest.
In any case, you would recognise that in the narration of the development of this country, Hon Members of Parliament are not mentioned at all. It is as if Parliament plays no role, but without Parliament, nothing can happen. It is appropriate for the Hon Member for Wenchi to lay the Paper, and to tout that in his constituency. If it came to Bekwai, I would gladly do so.
Item numbered (iii).
Mr First Deputy Speaker 5:27 p.m.
Item numbered (v) - Minister for Roads and Highways?
Mr Ameyaw-Cheremeh 5:27 p.m.
Mr Speaker, as we did for the Hon Minister for Sanitation and Water Resources, if you may permit the Hon Minister for Planning to lay this Paper also on behalf of the Hon Minister for Roads and Highways.
Design-Build Contract Agreement between the Government of the Republic of Ghana (represented by the Ministry of Roads and Highways) and BHM Construction International (UK) Limited for an amount of one hundred and five million United States dollars (US$105,000,000.00) for the Financing, Design, and Construction of the Tema - Aflao Road [17km] phase I-Tranche 1 (Service Roads and Interchanges).
Referred to the Committee on Roads and Transport.
Mr First Deputy Speaker 5:27 p.m.
Item numbered (vi).
Request for waiver of Import Duties, GETFund Levy, NHIL Levy, Import VAT, EXIM Levy, and other imposts amounting to
the Ghana cedi equivalent of three hundred and fifteen thousand, one hundred and forty-eight United States dollars (US$315, 148.00) on materials and equipment to be procured by Debridge Industries Limited under the implementation of the One District One Factory (lDIF) programme.
Referred to the Finance Committee.
Mr Ameyaw-Cheremeh 5:27 p.m.
Mr Speaker, we would like to take item listed 8 - Motion, the Annual Estimates for the Ministry of Employment and Labour Relations.
Mr First Deputy Speaker 5:27 p.m.
Item numbered 8 -- Motion.
Mr Ameyaw-Cheremeh 5:27 p.m.
Mr Speaker, I beg to seek your leave for the Hon Deputy Minister for the Ministry to move the Motion on behalf of the Hon Minister.
Mr Ahmed Ibrahim 5:27 p.m.
Mr Speaker, for us to make progress, we have no objection.
Mr First Deputy Speaker 5:27 p.m.
Very well, Hon Deputy Minister, you may move the Motion on behalf of the Hon Minister for Employment and Labour Relations.
ANNUAL ESTIMATES, 2020
MINISTRY OF 5:27 p.m.
EMPLOYMENT AND 5:27 p.m.
LABOUR RELATIONS 5:27 p.m.
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.
Mr Speaker, I beg to support the Motion and in so doing, I present the Report of your committee.
1.0 Introduction
The Budget Statement and Economic Policy of the Government of Ghana for the 2020 financial year was presented to the House on
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.


Wednesday, 13th November, 2020, by the Hon Minister for Finance, Mr Ken Ofori-Atta, having regard to article 179 of the 1992 Constitution.

In accordance with Standing Orders 140(4) and 184 of the House, the Annual Budget Estimates of the Ministry of Employment and Labour Relations was referred by the Rt. Hon Speaker, to the Committee on Employment, Social Welfare and State Enterprises for consideration and report.

The Committee, thereafter held a meeting with the Hon. Deputy Minister for Employment and Labour Relations, Mr Bright Wireko- Brobbey and his team of officers on Wednesday, 4th December, 2019, and considered the referral.

The Committee expresses its appreciation to the Hon Deputy Minister and his team for their co- operation and support. The Committee also acknowledges the schedule officers from the Ministry of Finance for being in attendance to assist with the Committee's deliberations.

2.0 Reference Documents

The Committee referred to the following documents during the consideration of the Ministry's Budget Estimates:

1. The 1992 Constitution of the Republic of Ghana

2. The Standing Orders of Parliament of Ghana

3. The 2019 Budget Statement and Economic Policy of the Government of Ghana

4. The 2019 Annual Estimates of the Ministry of Employment and Labour Relations

5. The 2020 Budget Statement and Economic Policy of the Government of Ghana.

6. The 2020 Annual Budget Estimates of the Ministry of Employment and Labour Relations; and

7. The Youth Employment Act, 2015 (Act 887).

3.0 Mandate, Vision and Sector Objectives

The Ministry of Employment and Labour Relations exists to co-ordinate employment and labour related policies and interventions for accelerated job creation, promote harmonious labour relations and eliminate child labour for socio- economic development.
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.


5.0 2019 Financial Performance

The Ministry of Employment and Labour Relations was allocated a total amount of one hundred and fifty-seven

million, one hundred and sixty-nine thousand, six hundred and seventy-six Ghana cedis (GH¢157, 169,676.00) for its programmes and activities for the 2019 financial year. The breakdown of the allocation and releases are represented in Table 1.

Table 1. Breakdown of 2019 budget allocation and performance

SPACE FOR TABLE 1, PAGE 8 -- 5.27 P.M

It is worth noting that the budgetary allocation for the Nation Builders Corps (NABCO) programme in the sum of three hundred million Ghana cedis (GH¢300, 000,000.00) was not captured as part of the Ministry's allocation for 2019, as the NABCO programme was implemented under the Office of Government Machinery.

As at October, 2019, an amount of GH¢97, 442,404.00 representing 62 per cent of the Ministry's

budgetary allocation had been released. The amount released was made up of 78 per cent of the allocation for compensation, 53 per cent of the allocation for Goods and Services and 52 per cent of the allocation for CAPEX. The Ministry utilised its allocation to undertake various programmes and activities under 4 main budgeted sub- programmes, which are Management and Administration, Job Creation, Skills Development and Labour Administration.

6.0 Achievements for 2019

6.1 Management and Administration

The Ministry, in collaboration with the Social and Development Partners, developed and reviewed the Draft National Occupational Safety and Health Bill, the Draft Co-operatives Bill, and a Draft National Labour Migration Policy for Cabinet's approval.

Trained 60 labour officers at the district, regional and national levels in the field of labour administration, industrial peace and harmony and labour market information, with the view to enhancing service delivery by the Labour Department.

Produced Annual Report on the Implementation of the National Action Plan 2 (NAP2) for the eradication of child labour.

Participated in the 108th Session of the International Labour Conference

(ILC).

6.2 Job Creation

The Youth Employment Agency enrolled 91,420 beneficiaries under the various YEA modules to facilitate and create jobs for the youth.

The Department of Cooperatives facilitated the formation of 1,070 new co-operative societies out of which 512 were cocoa-farmer co- operatives, formed with support from COCOBOD. The Department also trained 810 cooperative members in management and entrepreneurial skills.

6.3 Skills Development

The Ministry, through the three technical skills and vocational training institutions of the Ministry (NVTI, OIC-G, and ICCESS), trained 11,662 persons in various vocational trades.

Further, the NVTI tested 16,791 persons in various vocational and technical trades, while the OICG trained 3,190 master craft persons.

The MDPI also trained 384 persons in managerial and productivity enhancement skills.

6.4 Labour Administration

The Ministry, through the Department of Labour, conducted 350 workplace establishment inspections and placed 2,250 persons in gainful employments through the Public Employment Centres (PECs) and Private Employment Agencies (PEAs). The Department also issued 39 Collective Bargaining Certificates.
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.


The Department of Factories Inspectorate (DFI) registered 327 new factories and inspected 2,509 workplaces. The DFI also conducted 54 industrial hygiene surveys and investigated all 12 reported industrial accidents

The Ministry negotiated the 2020 National Daily Minimum Wage (NDMW) in August, 2019, while the Fair Wages and Salaries Commission, in collaboration with the Public Service joint salaries negotiation committee successfully negotiated the 2020 Based Pay and Pay Point Relativity.

The Ministry, through the National Pensions Regulatory Authority resolved the dispute between

Organised Labour and Social Security and National Insurance Trust (SSNIT) on the computation of Pension benefits.

7.0 Budgetary Allocation For 2020

7.1 The Ministry has been provided with a budgetary allocation of two hundred and seven million, eight hundred and ninety thousand, thirty- two Ghana cedis (GH¢207, 890,032.00) for the implementation of its programmes and activities for the 2020 financial year. Out of the total allocation, GH¢62, 967,542.00 (30 per cent) is earmarked for Compensation, while GH¢38, 734,692.00 (19 per cent) represents Goods and Services and GH¢106, 187,798.00 (51 per cent) for Capex. Details of the allocation is captured in Table 2 below.
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.


the implementation of specific programmes on child labour.

8.4 The Ministry, through the Youth Employment Agency will introduce the Artisan Directorate to provide comprehensive information on qualified and certified artisans so that potential clients can easily identify and engage qualified artisans to provide quality services for them. This innovative module is expected to increase the total enrolment of the YEA from the current 91,240 to 130,000 by the end of 2020.

8.5 The Ministry will also operationalise the Ghanaian-German Centre for Jobs, Voluntary Migration and Reintegration to provide direct support to potential and actual labour migrants and returnees.

8.6 In pursuance of its objectives of creating job opportunities and reducing poverty, the Ministry, through the Department of Co- operatives, will register 650 new co- operative societies, inspect 420 and also audit 530 existing co-operative societies. The Ministry will continue to collaborate with relevant stakeholders to regularise, train and support farmer-based organisations with the view to transforming them into farmer-based cooperatives.

8.7 In order to equip the youth with skills and managerial competencies for decent and sustainable livelihoods, the Ministry, through the three Technical and Vocational Training Institutes will train 15,555 persons in various vocational trades. The National Vocational Training Institute (NVTI) and Opportunity Industrialisation Centres Ghana (OICG) will train 5,140 master craft persons. The NVTI will test and certify 39,735 candidates in vocational skills with the Management Development and Productivity Institute (MDPI) delivering 120 courses and training 614 persons from various sectors in managerial and productivity enhancement skills.

8.8 The Ministry, having regard to its objective of promoting occupational standards and safety, will register through the Department of Factories Inspectorates, 700 factories, inspect 4,000 office shops and factory, undertake 100 safety and health talks and conduct 96 industrial hygiene surveys.

8.9 Besides, the Department of Labour will conduct 600 workplace establishment inspections, place 3,500 job seekers through the Public Employment Centres (PECs) and

Private Employment Agencies (PEAs). 9.0Observations and Recommendations

9.1 The Committee noted that the Ministry's 2020 budgetary allocation increased significantly from GH¢157,169,676.00in 2019 to GH¢207,890,032.00.This represents a 32.3 per cent increase over the 2019 allocation. The Ministry's major sources of funding in 2020 will come from GoG (26.1 per cent) and IGF (73.6 per cent) as indicated in Table 2. The IGF component of the allocation increased by 80 per cent from GH¢84, 951,546.00 in 2019 to GH¢152,947,695 in 2020.

It was observed that the high percentage (73.6 per cent) of IGF component in the Ministry's total budgetary allocation was accounted for mainly by the inclusion of an amount GH¢55,602,616.00 representing the 2020 budgetary allocation of the National Pensions Regulatory Authority (NPRA), an allocation which is funded entirely from IGF.

The Committee expressed concern about the inclusion of NPRA's IGF in the Ministry's budget, given that the NPRA is a non-subvented organi- sation which depends solely on IGF to support its operations. Thus if the allocation of NPRA is excluded from

the Ministry's budget, it eventually reduces the Ministry's IGF and ultimately it's total allocation for year

2020.

9.2 The Committee was informed that in order to provide the needed framework to effectively manage and regulate employment and labour related issues, the Ministry will seek Cabinet's approval for the National Labour Migration Policy, the Co- operatives Bill, the National Occupational Safety and Health Bill, and the Domestic Workers Regulations to be brought to Parliament.

The Committee was of the view that the National Labour Migration Policy and the Domestic Workers Regulations, when passed would contribute significantly to protect the rights of domestic and migrant workers and also address the issue of child labour.

Furthermore, the Draft Co- operatives Bill would empower the Department of Cooperatives to effectively streamline and regulate the cooperative system to boost job creation. The Committee therefore urged the Ministry to expedite action on getting these regulatory frameworks presented to Parliament for consideration.

9.3 It came to the attention of the Committee that some of the agencies under the Ministry are constrained by inadequate resources. Particular
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.


mention was made of the Department of Labour and the Department of Factories Inspectorate which lacked offices, requisite staff and logistics to effectively pursue their mandate. It was noted, for instance, that as at October, 2019, only 25.84 per cent of the amount allocated as goods and services for the Department of Factories Inspectorate had been released. This affected the execution of some of the planned programmes and activities of the DFI.

The Committee was however happy to note that the Ministry will be completing the refurbishment of seven District Labour Offices as part of the efforts to improve the working conditions of the Department of Labour. The offices will be staffed and equipped to facilitate the effective operationalisation of the Ghana Labour Market Information Systems, job matching, as well as vocational counselling and guidance among others.

9.4 The Committee noted that the Department of Labour and the Department of Factories Inspectorate accrue IGF from services they provide. Unfortunately, the two Departments are not permitted to retain part of their IGF to complement their budget provisions. Given the important role the two Departments

play in promoting labour standards, safe work environment and decent work, the Committee strongly recommends that the Ministry of Finance grants the two Departments authorisation to retain part of their IGF to support their activities.

10.0 Youth Employment Agency

The Youth Employment Agency has been allocated a sum of GH¢524, 113, 509.00 to implement its programmes and activities for the year 2020. The Source of Allocation is made up of 80 per cent Communication Service Tax- GH¢213,440,932.00 and 0 per cent of the District Assemblies Common Fund (DACF) of GH¢231,270,655.00 and 5 per cent of Ghana Education Trust Fund which is GH¢61, 401, 922.00. The Agency also projects to be provided with an amount of GH¢18, 000,000.00 to hire Arabic Instructors on behalf of the Ministry for Zongo Development.

The Committee observed that in 2019, out of an amount of GH¢502, 129,197.00 provided as budgetary allocation for the Agency, only GH¢202, 543,735 representing 40 per cent allocation was received as at the end of October, 2019. This was made up of 69 per cent component from Communication Service Tax, 15 per cent of the component from DACF and 20 per
Chairman of the Committee (Mr Kwame Anyimadu-Antwi) 5:27 p.m.


11.2 The Committee observed that the NPRA was provided with a sum of GH¢74, 392,712.00 as its budgetary allocation for 2019. As at October, 2019, an amount of GH¢48, 081,071.00 constituting 65 per cent of the allocation had been released.

During the year under review, the Authority opened a fourth regional office in Sunyani; acquired land for the construction of a permanent head office and Pension College; they held constructive engagements with stakeholders in preparation for the payment of lump sum benefits under the National Pensions Act, 2008 (Act 766) and introduced Consumer Protection Policy, among others.

11.3 The Committee was informed that in 2020, the Authority will continue to embark on vigorous education and sensitisation towards the payment of lump sum benefits under the National Pensions Act, 2008 (Act 766). It will also ensure the smooth and prompt payment of lump sum benefits for first batch of retirees under Act 766.

In this regard, the NPRA was engaging with the Board of the Social Security and National Insurance Trust (SSNIT) to resolve the issue relating to the computation of past credits to be paid under the Second Tier of the new pension's regime.

The Committee learned that the NPRA undertakes all key regulatory activities, including licensing of trustees, inspection of schemes and service providers, submission of statutory reports and review of industry reports manually, which sometimes causes delays in service delivery.

The Committee was happy to note that the Authority was programming to acquire a standard regulatory software to automate their regulatory activities. The software, when installed, will enhance the operations of the Authority for effective service delivery.

11.4 It came to the attention of the Committee that the IGF of the Authority has been capped by 34 per cent; a development that can affect the implementation of vital programmes, including the plans of the Authority to open offices in other regions.

Then Committee acknowledged that the pension industry is a highly specialised industry, and that the NPRA can play its role meaningfully as a regulator only when it is adequately resourced with the requisite technical staff and logistics.

Against this background, the Committee recommends that the Ministry of Finance removes the capping of the Authority's IGF to enable the Authority recruit qualified personnel and position itself to effectively regulate a sector, which already has institutions with high

calibre personnel, over which the NPRA regulates. The NPRA as established by law, should not be part of the Ministries budget and should be a stand-alone non-subvented authority.

12.0 Conclusion

The role of the Ministry of Employment and Labour Relations in the socio- economic development of the country through job creation, skills development, protection of the rights of workers and promotion of industrial harmony and peace cannot be overemphasised. It is therefore imperative that the Employment Ministry is provided with adequate resources to effectively perform its functions as mandated.

In the light of this, the Committee recommends that the House approves the amount of two Hundred and seven million, eight hundred and ninety thousand thirty-two Ghana cedis (GH¢207, 890,032.00) for the implementation of programmes and activities of the Ministry of Employment and Labour Relations for the 2020 financial year.

Respectfully submitted.
Mr First Deputy Speaker 5:37 a.m.
Yes, Hon Member for Keta?
Mr Richard Mawuli Kwaku Quashigah (NDC -- Keta) 5:37 a.m.
Mr Speaker, thank you for the opportunity to contribute to the Motion ably moved by the Hon Chairman. In doing so, I would want to touch on a number of issues.
We are all very aware that this is a Ministry that exists to coordinate employment and labour relations policies and interventions for accelerated job creation, promote harmonious labour relations and eliminate child labour for socio- economic development.
Mr Speaker, listening to the Report as presented by the Hon Chairman, it is clear that the Ministry failed in its core mandate to tell us how effectively it has coordinated job creation in this country. He has failed to give us data on employment, especially during the period under review.
Again, you would observe that the issue of child labour, which is also a core function and objective of this Ministry was not touched on at all. I want us to look at the YEA for instance. In 2019, the target was 106,386 persons who are supposed to have been given some form of engagement. However, at the end of the day, only 91,420 persons were engaged. When we compare that to 2016, where 96,100 young persons
Mr First Deputy Speaker 5:37 a.m.
Hon Member, what has that got to do with the Report we are discussing?
Mr Quashigah 5:37 a.m.
Mr Speaker, it is because the Hon Ranking Member was shouting that it is not true. We do not have the details.
Mr First Deputy Speaker 5:37 a.m.
Kindly speak to the Report.
Mr Quashigah 5:37 a.m.
Mr Speaker, we do not have the details now.
Mr Kwame Anyimadu-Antwi 5:37 a.m.
On a point of order.
Mr Speaker, as my Hon Friend is saying, at the Committee level, the Committee demanded that some information be given. When the information had been given, I forwarded the information to the Hon Ranking Member. It is not my duty to make sure that the Hon Deputy Ranking Member receives it.
I forwarded it to the Hon Ranking Member and on this, I am still saying that the information has been given because it was forwarded to leadership and I gave it to the Hon Ranking Member. He may find out from him to satisfy himself.
Alhaji Muntaka 5:47 p.m.
Mr Speaker, the Hon Chairman's comment about giving a copy of the requested information to the Hon Ranking Member, and that it is not his duty to make sure the Hon Deputy Ranking Member receive it is not accurate. What the Chairman does is that when he receives it, he hands it over to the Clerk, and that is why the Committee has a Clerk. The Clerk makes copies and ensures that every Member gets one.

It is not the duty of the Hon Chairman and the Hon Ranking Member of the Committee to distribute materials to Hon Members. That is why the Committee has a Clerk, Secretary and supporting staff - it is for them to make enough copies and distribute them to Hon Members. So if he said he simply gave it to one person and assumed that every Hon Member would have it, that would be inaccurate.
Dr A. A. Osei 5:47 p.m.
Mr Speaker, I disagree with the Hon Minority Chief Whip. The practice of this House is that in several instances, because it is difficult to make copies for every Hon Member, it is a common practice that the Hon Chairman and the Hon Ranking Member of the Committee are those who are handed the
information and they decide if the rest should get it, because it is not every information, that all of us must get even though we all need it. It is a common practice which is done by all Committees.
Otherwise, every Hon Member could just write on his or her own to seek information from the Ministry, which does not work that way. Every Committee does that. The Hon Chairman and the Hon Ranking Member of the Committee are given deference because of their positions and they have copies so that they could tell their Hon Members of the Committee what it is.
Mr First Deputy Speaker 5:47 p.m.
Hon Members, I am not sure whether I am called upon to make a ruling on who is entitled to what information, but it is a matter the Committee Leadership should look at again. If it is information that was requested for the Committee, then they should make sure that every Hon Member of the Committee gets a copy. If it was agreed that the Committee Leadership should verify, then the Leadership would exchange it between them, but we should review how we share information.
Hon Member for Keta, please, continue.
Mr Quashigah 5:47 p.m.
Mr Speaker, we have a leadership platform.
Mr First Deputy Speaker 5:47 p.m.
Hon Member, please speak to the Report.
Mr Quashigah 5:47 p.m.
Mr Speaker, I would speak to it, but I want to correct this impression, because even before we took this Report, I had conferred with the Hon Ranking Member of the Committee, who said he had received no document from the Hon Chairman.
Mr First Deputy Speaker 5:47 p.m.
Hon Member, you are in no position to correct the exchanges between the Hon Chairman and the Hon Ranking Member of the Committee, because you would only be repeating hearsay -- what one or the other had said to you, so just speak to the Report.
Mr First Deputy Speaker 5:47 p.m.
Mr Speaker, as I mentioned, in 2016, performance under YEA was GH¢96,100. In 2019, performance was GH¢91,420 just to reiterate that. Again, it was said in the Report that for the outlook for 2020, the Ministry would continue to work towards promotion, harmonious relationship, eliminating all forms of child labour, improving pension scheme administration and all.
It continued to say that the Ministry would seek Cabinet's approval for the National Labour Migration Policy, the Cooperatives Bill, the National Occupational Safety and Health Bill and the Domestic Workers Regulations.
Mr Speaker, it was the same thing that was said in 2017, 2018 and 2019, and it has been repeated for 2020. What this means is that for all these three years, nothing has been done as far as the realisation of these set goals are concerned. What is surprising is that in the Budget Estimates for 2016 performance, it says the Minister submitted the National Occupational Safety and Health Policy to Cabinet. So if in 2016, this policy was ‘‘submitted to Cabinet'' and in 2020, we still talk about its submission to Cabinet, what have we done?
Mr Speaker, in 2016, it was said that they had developed a Domestic Workers Bill to protect the rights of domestic workers.
Mr First Deputy Speaker 5:47 p.m.
Hon Member, which paragraph did you refer to?
Mr Quashigah 5:47 p.m.
Mr Speaker, I am making a comparison.
Mr First Deputy Speaker 5:47 p.m.
Which paragraph did you refer to?
Mr Quashigah 5:47 p.m.
Mr Speaker, I am speaking to the 2017 Report --
Mr First Deputy Speaker 5:47 p.m.
Where is the 2017 Report?
Mr Quashigah 5:47 p.m.
I have it right with me.
Mr First Deputy Speaker 5:47 p.m.
Hon Member, can you please speak to the Report?
Mr Quashigah 5:47 p.m.
Mr Speaker, I am making a comparison of what happened in 2016, 2017, 2018 and 2019 and what we say would be done in 2020. The fact is that it is the same thing that has been said all these three years.
Mr First Deputy Speaker 5:47 p.m.
You have said that more than four times.
Mr Quashigah 5:47 p.m.
Not really, Mr Speaker.
Mr First Deputy Speaker 5:47 p.m.
I heard you myself.
Mr Quashigah 5:47 p.m.
Mr Speaker, I would not repeat it, but repetition is a spice of life.
Mr Speaker, with your permission, I beg to quote from the 2017 Report which says 5:47 p.m.
“The Ministry in accordance with its policy objective for 2017 will among others implement new sustainable youth employment initiatives, improve sectorial coordination for job creation through the establishment of National Employment Council, operationalise the labour market information system.''
Mr Speaker, these are the things we said in 2017. In 2018 and 2019, we were very silent on them, and in the 2020 Budget Estimates, they were not mentioned at all. So where is this Council? Is it in operation? If indeed, we have operationalise the Labour Market Information System, where is the data that we were supposed to generate on all employed people in this country that till today, this nation does not have adequate data on unemployment or those that have been employed within a specific period of time?
Mr First Deputy Speaker 5:47 p.m.
Hon Member, you have a minute.
[Pause] --
Mr Quashigah 5:47 p.m.
Mr Speaker, it would be very important and necessary that before we adopt this Report, the Ministry should furnish us with detail information on things they would spend the money on, because they cannot tell us that they would spend GH¢207,890,032 and they would spend some on Goods and Services and CAPEX and we do not know the details. What exactly would they buy, what exactly would they do under Goods and Services? These information are important. If we do not have them and we approve this amount for the Ministry, it would be
Minister for Monitoring and Evaluation (Dr A. A. Osei) (MP) 5:47 p.m.
Mr Speaker, I just want the Ministry to give us some updates on what is on the last paragraph on page 6, and with your permission, I beg to quote:
“The Ministry, through the National Pensions Regulatory Authority resolved the dispute between Organised Labour and Social Security and National Insurance Trust (SSNIT) on the computation of Pension benefits.''
Mr Speaker, just yesterday, I was in an urgent meeting, where this matter was discussed to be resolved so I want the Ministry to advise us.
Mr First Deputy Speaker 5:47 p.m.
Does the Hon Deputy Minister want to provide any information on that?
Mr Wireko-Brobbey 5:57 p.m.
Mr Speaker, there are two issues; one is the annuity factor which has been resolved, but the resolution on past credit is what is still ongoing.

We have series of meetings that are upcoming, but the annuity factor has been resolved.
Mr First Deputy Speaker 5:57 p.m.
So is the Committee's Report accurate? If there are two matters and one has been resolved and the other one is pending, is it accurate to say that we have resolved the pension matters?
Mr Wireko-Brobbey 5:57 p.m.
Mr Speaker, we take note and then we will amend it accordingly.
Mr First Deputy Speaker 5:57 p.m.
Very well. Will the Leadership wish to contribute to this debate? Yes, if you want to contribute, you will -- [Inaudible] --
Mr Albert A. Alalzuuga (NDC -- Garu) 5:57 p.m.
Mr Speaker, thank you very much for the opportunity to contribute to the Annual Budget Estimates of the Ministry of Employment and Labour Relations for the 2020 financial year.
Mr Speaker, in so doing, I would want to comment on some few observations. On page 10, the last paragraph of the Committee's Report states that:
“The Committee expressed concern about the inclusion of
the NPRA's IGF in the Ministry's budget, given that the NPRA is a non-subvented organisation which depends solely on IGF to support its operations.”
Mr Speaker, my observation and concern is that the NPRA's amount has painted a picture as if the Ministry of Employment and Labour Relations is capable of raising some good amount of IGF to support its budget. However, if you remove that annuity, you will realise that it has taken a lot of the total budget and the Ministry itself will be left with some “dry bones”.
So I would want to suggest that they should not rely on the NPRA's IGF and paint the picture that the Ministry is capable of raising some IGF to support its operations.
Mr Speaker, on page 11, we also realised that there is a serious concern of poor allocation to the Department of Factories Inspectorate, a very key unit which supervise the establishment of factories and their operations. There are a lot of challenges, especially with some of these private factories which are established across the country. Some of them are not properly established and they are producing shoddy goods and many other things.
So my concern is that an important unit like the Department of Factories Inspectorate is under-resourced. If you read further, the concern is that the Inspectorate lacks offices, requisite staff and logistics to effectively pursue their mandate. It was noted for instance, that as at October, only 25 per cent of the amount allocated as Goods and Services for the Department was released.
Mr Speaker, this is a major concern because it is an important unit which needs to be resourced so that they can monitor the factories established in this country and report to us. We witness in the media on a daily basis about some kind of factories that are located in various places in this country where operations are very hazardous to the health of many Ghanaians. Therefore I would want to urge the Ministry to look at that aspect and make sure that this important unit is properly resourced to be able to carry out their mandate.
On page 9, paragraph 8.3, with your permission, I would like to read:
“In addition, as part of the measures aimed at eliminating child labour in the various sectors of the economy, the Ministry will operationalise the Child Labour Monitoring System (GCLMS)…”.
Alhaji Mohammed - Mubarak Muntaka (NDC -- Asawase) 6:07 p.m.
Mr Speaker, just a quick one. When my Hon Colleague,the Hon Member for Old Tafo, was trying to stop the Hon Quashigah on a point of order, he read a section of the Report. Mr Speaker, with your permission, I would like to read paragraph 6.4, which is on page 6, the last bullet point:
“The Ministry, through the National Pensions Regulatory Authority resolved the dispute
between Organised Labour and Social Security and National Insurance Trust (SSNIT) on the computation of Pension benefits”.
Mr Speaker, when the Hon Deputy Minister came in, he said that they were still having discussions and negotiations. That makes this statement in the Committee's Report very inaccurate.

Mr Speaker, this is because here, he is talking about it being resolved, which my Hon Colleague from Old Tafo emphasised. The Hon Deputy Minister however said it is not resolved rather, they are still discussing it.
Mr First Deputy Speaker 6:07 p.m.
Hon Member, I think you might have lost track. After he raised the issue, I invited the Hon Deputy Minister to speak to it. He explained that there were two matters; one has been resolved, for which reason I asked them to confirm that the Report is not accurate. They said they had taken note. So unless there is a new matter, I think --
Alhaji Muntaka 6:07 p.m.
Mr Speaker, he said one is resolved. One that is very key and could affect me, you and
many others. That is why Organised Labour is agitating. It has to do with the past credit that the Social Security and National Insurance Trust (SSNIT) insists that it could not pay 100 per cent of the Treasury Bill rate. The Hon Deputy Minister is aware of that. They claim that if they pay that, they would collapse yet Organised Labour insists because they have kept the Tier 2 money.
Mr First Deputy Speaker 6:07 p.m.
Yes, Hon Chairman?
Mr Anyimadu-Antwi 6:07 p.m.
Mr Speaker, I object to what the Hon Minority Whip is saying, that the Report is inaccurate. The Ministry has presented a Report to us, and your Committee met the Ministry. We have posed the necessary questions and drawn our observations and conclusions. Based on what we received, we presented a Report.
On what my Hon Friend on the other Side is complaining that it is inaccurate, the conflict between the two on the computation of pension benefits have been resolved. So to say that it is inaccurate, he is misleading the House.
Mr First Deputy Speaker 6:07 p.m.
The Hon Deputy Minister said something is pending. Is it the annuity?
Mr Wireko-Brobbey 6:07 p.m.
Mr Speaker, the past credit are contributions that

workers made before the commencement of Act 766. So before 2010, there were some contributions that workers had made, which is referred to as the past credit.

In Act 766, specifically section 94(1)(d), with your permission, I paraphrase. The law says that calculations should be done in consultation with SSNIT based on the actuarial assessment. This is what is ongoing.

In the past, before 2017, this had been ongoing. Now that we have transferred this Temporary Pension Fund Account (TPFA) and so on, that discussion is still ongoing. Organised Labour says they believe that they should get 100 per cent of Treasury bill rate, but SSNIT also says that that had been determined already; therefore by law, labour is bound. That is what is ongoing.
Mr First Deputy Speaker 6:07 p.m.
So that is different from the computation of pension benefits.
Mr Wireko-Brobbey 6:07 p.m.
Mr Speaker, the annuity factor is also a computation. That was done way back in May. That is what we reported on here. If we lump the two, it would occasion the amendment of what we have here at the moment to reflect that the annuity --
Mr First Deputy Speaker 6:07 p.m.
So without the annuity, the computation is not complete. Is that right?
Mr Wireko-Brobbey 6:07 p.m.
The past credit determination is not complete.
Mr First Deputy Speaker 6:07 p.m.
Without the past credit, is it not complete?
Mr Wireko-Brobbey 6:07 p.m.
No, Mr Speaker.
Mr First Deputy Speaker 6:07 p.m.
So Hon Chairman, we are not wrong when we say the Report is not accurate because this computation is only one part. Without the past credit, it is not complete; but the matter has been spoken to and recorded. The Report should reflect that what has been resolved is one part. So we need not go back to that matter.
Alhaji Muntaka 6:07 p.m.
Mr Speaker, the Hon Chairman of the Committee should listen. Our Reports are public documents; because we are still in the negotiation process, the process is not complete. The Hon Deputy Minister knows very well that if this goes out, it would mean that one of the parties could say this was reported in bad faith because we know that the process is ongoing. That is just what I would want to draw his attention to. As Mr Speaker said, he should make clarification that the issue is on two
legs; one is being resolved and the other is being discussed, just to keep the good faith on both sides.
Mr Speaker, lastly, in the IGF column, it creates an impression that so much money is raised by the Ministry. The chunk of the IGF captured here however, comes from the National Pensions Regulatory Authority.
This Authority has weaned itself of the Government's subvention. They rather contribute money to the Government. I believe that just as we do with the Ghana National Petroleum Commission (GNPC), the Ghana Oil Company Limited (GOIL) and others, their reporting should not be fused in the budget of the Ministry because it creates a wrong impression.
It is just like GNPC or GOIL pushing its budget in the budget of the Ministry of Energy. It would distort the budget because it would give a wrong impression about the performance of the Ministry.
Mr Speaker, I believe the Ministry should take steps to separate -- I have served on the Committee on Mines and Energy for a long time. GNPC comes with its annual programme of activities like the National Health Insurance Authority. All of them come separately, so that we know exactly what they do. We do not fuse their budgets into the
budget of the Minister and make the Ministry's Budget look deceptive in my view. Their Ministry is not capable of raising over GH¢150 million as IGF.
Mr Speaker, with this comment, I hope they would improve the style of reporting to capture exactly what is supposed to be reported.
rose
Mr First Deputy Speaker 6:07 p.m.
What is it that an Hon Minister, the Hon Chairman and the Hon Deputy Minister stand on their feet?
Dr A. A. Osei 6:07 p.m.
Mr Speaker, Leadership is supposed to help you conduct Business. I thought he made a point, but it is in the Report. He has not read it. The issue of the resolution of the past credit is in paragraph 11.3. So his attitude about if somebody reads this Report it would not be accurate is not fair to you as the Speaker.
You have already ruled that the Report should be amended to correct the facts, but he goes on and on. I do not understand him as an Hon Leader. How do we do Business here?
Mr First Deputy Speaker 6:07 p.m.
Very well.
Mr First Deputy Speaker 6:07 p.m.
Yes, Hon Majority Chief Whip?
Mr Ameyaw-Cheremeh 6:07 p.m.
Mr Speaker, if we may take item numbered 21, a Motion by the Hon Chairman of the Finance Committee.
MOTIONS 6:07 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:07 p.m.
Mr Speaker, I beg to move, that this honourable House adopts the Report of the Finance Committee on the Concessional Financial Agreement
between the Government of the Republic Ghana and the International Development Association (IDA) for an amount of one hundred and forty- four million, four hundred thousand Special Drawing Rights (SDR- 144,400,000) [US$200.0 million equivalent] to finance the Ghana Economic Transformation Project
(GETP).
Mr Speaker, in so doing, I present the Committee's Report.
1.0 Introduction
The Concessional Financing Agreement between the Government of the Republic of Ghana and the International Development Associa- tion (IDA) for an amount of SDR144,400,000 [US$200 million equivalent] to finance the Ghana Economic Transformation Project (GETP) was presented to the House on 2nd December, 2019, by the Hon Deputy Minister for Finance, Mr Kwaku Agyeman Kwarteng, on behalf of the Minster for Finance.
Mr Speaker referred the request to the Finance Committee for consideration and report.
The Committee met with a Deputy Minister for Finance, Hon Charles Adu-Boahen, and officials from the Ministry of Finance and the Ministry of Trade and Industry and considered the request.
The Committee is grateful to the Hon Deputy Minister and the team of officials for attending upon the Committee.
2.0 Documents Referred to
The Committee referred to the following documents during its deliberations:
The 1992 Constitution of the Republic of Ghana.
The Public Financial Manage- ment Act, 2016 (Act 921); and
The Standing Orders of the Parliament of Ghana.
3.0 Background
Ghana attained middle income status in November, 2010, having performed well in the last two decades. Between 2005 and 2012, the economy grew at an impressive 7.7 per cent year on average, with an annual job creation rate of 4.0 per cent, meaning that every 1 per cent increase in economic growth was associated with about 0.5 per cent increase in job growth. Economic growth over the period was largely driven by commodity exports (cocoa
and gold, which prices more than tripled between 2000 and 2010) and the start of commercial oil production in 2011. GDP growth rates however slowed between 2012 and 2016, averaging 5.6 per cent (with a low of 1.6 per cent in 2015), while picking up again to 8.5 per cent in 2017.
The reliance on commodity driven growth increased economic instability with cyclic volatility costing Ghana about 0.3 per cent of growth per year during 2000- 2015, and as much as 0.7 per cent per year in the early 2010s. The declined growth mirrored a slowdown in poverty reduction and rising unemployment.
A recent World Bank System Country Diagnostic observed that Ghana's largest fall in poverty, two per cent a year, was experienced during 1991-1998. As growth accelerated however, the annual reduction in poverty rate fell to 1.4 per cent in 1998-2005 and to l.1 per cent in 2005-2012. Between 2012 and 2016, the poverty rate declined by only 0.2 per cent per year, and stood at 23.4 per cent in 2016.
Similarly, unemployment rate has also been rising over the decades with a rate of 4.6 per cent in 2007 and an increase to 5.77 per cent in 2016 and is currently estimated at 6.7 per cent in 2018. These trends may reflect due to the declining contribution of
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:07 p.m.


agriculture among others, in which the majority of poor households are engaged, the limited job opportunities for higher productivity in the services sector, and a largely capital-intensive industrial development in commodity focused sector.

The current growth trends suggest that, achieving a higher, inclusive and sustained growth require accelerated economic transformation through more private sector investment in manufacturing, lCT, and agro- processing, et cetera. In recognition of these, the Government, with job creation at the center of its development policy is embarking on an economic transformation agenda to diversify the economy to better shock-proof against volatility in primary commodity prices, spur a transition to a more sustainable economic structure that generates higher growth and better respond to the imperative of creating more and better jobs.

The Government also recognises the private sector as the engine of growth and job creation, and is therefore committed to creating an enabling environment for private sector development. This is necessary, given the fact that the regulatory environment for doing business in Ghana has become

cumbersome over the years, thus requiring reforms. It is worth mentioning that the ease of doing business Index ranks Ghana 114 among 190 economies in 2018. This was an improvement from 120 in 2017. Within two decades, the ranking however fluctuated from 90.55 per cent in 2008 to 120 per cent in 2017, with a low record of 60 in 2010. The low rankings point to a relatively unconducive regulatory regime for doing business in Ghana over the years, thus constricting production, thereby thinning out employment opportunities and reducing the prospects to GDP growth.

The Ghana Economic Trans- formation Project (GETP) has therefore been designed to address the above challenges and to promote entrepreneurship, thereby add value to Ghana's primary products.

In order to ensure a successful implementation of the project, the Government of Ghana has agreed for the International Development Association (IDA) of the World Bank Group to provide an amount of SDR144,400 [US$200 million equivalent] to finance the Ghana Economic Transformation Project (GETP). It is this Agreement that is before the House for approval.

4.0 Object of the Project

The objective of the project is to promote private investments and enhance firm growth in non-resource based sectors.

5.0 Project Description

The Project is structured around four (4) components as described below:

5.1 Component 1: Enabling Investments (US$D 35 Million) — This component aims to improve the enabling business environment, investment promotion capacity and provide quality infrastructural support system for companies to invest and grow their businesses in Ghana. The beneficiary institutions are the Registrar General's Department (RGD), Ghana Investment Promotion Centre (GIPC) and the Ghana Standards Authority (GSA).

5.2 Component 2: Crowding-in Investments: Promoting Spatial and Industrial Planning and Development (US$79 million) — The activities under this component will assist GoG to put in place a sound framework and processes for spatial planning and development for special economic zones that will lead to increased investments and maximise their economic rate of return in terms of jobs, incomes and productivity growth. This is in line with the Government's strategic anchor initiatives to develop large scale strategic anchor industries to serve as

growth poles for the economy. The main institutions that would benefit from this component are the Ministry of Trade and Industry (MoTI), the Ghana Free Zones Authority (GFZA), and the GIPC.

5.3 Component 3: Accelerating Entrepreneurship and MSME Growth (US$80 Million): The objective of this component is to enhance the entry and expansion of enterprises with high growth potential that can contribute to economic dynamism and job creation. This will be achieved through strengthening and rationalising government's main entrepreneurship and enterprise support programmes. The component will support the delivery of financial and non- financial support to MSMEs, and the strengthening of entre- entrepreneurship hubs and other organisations in the entrepreneurship ecosystem. The National Board for Small Scale Industries (NBSSI), National Entrepreneurship and Innovation Plan (NEIP) and the Venture Capital Trust Fund (VCTF) will be the implementing agencies for this component.

5.4 Component 4: Project Management (US$6 Million) - This component will finance the administrative cost of implementating the project, including setting up of project coordination unit, monitoring and evaluation and the day-to-day
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:07 p.m.


operations cost of implementing the project. 65.0 Terms and Conditions of the Loan

The Terms and Conditions of the Loan are as follows:

Total Credit -- US$200.0 million

Maturity (including Grace Period) -- 30 years

Maximum Commitment Charge -- 0.5 per cent p.a (this is waived for FY 19)

Service Charge -- 0.75 per cent p.a

Interest Charge -- 1.25 per cent p.a

Grant Element -- 33.23 per cent 7.0 Observations

7.1 Rationale for the Project

The Committee was informed that Government has recognised the private sector as the engine of economic growth. To realise this agenda, strong reforms and investments are required to support diversification and sustainable development, especially in value added manufacturing and agribusiness sectors.

The Ghana Economic Trans- formation Project (GETP) has therefore been designed to stimulate a culture of entrepreneurship among Ghanaians and promote value addition to leverage Ghana's primary

products and move away from the export of raw materials.

The project also seeks to address challenges in the business environ- ment, transform the largely primary resource based economy into an industrialised one that will create employment opportunities, as well as diversify export commodities of Ghana and position it as a major regional economic powerhouse.

The project is designed around three key areas, namely enabling business environment, crowding-in investment, and accelerated growth in entrepreneurship and Micro, Small and Medium Enterprises (MSMEs).

7.2 Institutional and Implemen- tational Arrangements

The Committee was informed that in order to successfully implement the project, a Project Oversight Committee, comprising representatives of all relevant Ministries and Agencies, as well as the private sector will be established to provide the overall policy guidance. The Committee will be co-chaired by the Hon Minister for Finance and the Hon Minister for Trade and Industry or their representatives.

There would also be a Project Coordinating Unit (PCU) established within the Ministry of Finance (MoF) to coordinate and supervise the implementation of the project. The PCU will consist of a project coordinator, fiduciary specialists (FM and procurement). The technical specialists will work directly with the Technical Implementation Agencies (TIAs) to ensure that each TIA is provided with the technical, financial, procurement, and political support required to achieve desired outcomes for the project.

Technical Implementation Agencies (TIAs) under the project are made up of the Ghana Investment Promotion Council, Registrar-General's Depart- ment, Ghana Free Zones Authority, Ghana Standards Authority, Venture Capital Trust Fund, Ministry of Trade and Industry, Ministry of Business

Development, National Board for Small Scale Industries and National Entrepreneurship and Innovation Programme will be responsible for the day-to-day implementation of their respective components and sub- components.

7.3 Expected Outcomes

The Committee observed that when implemented, the expected outcomes from the project include:

Improved business regulatory environment to provide the enabling environment to empower the MSMEs to thrive in the domestic market and expand into regional and global markets by focusing on non- resources-based sectors.

It would help eliminate key investment climate constraints that impact all businesses including supporting Free Zones enclaves and industrial parks will improve the investment climate thereby increasing private sector investments, both foreign and local.

Sustained growth and diversified economy which will diversify the economy from dependence on natural resources and commodities to include non-natural resources through value addition. It is expected that at the end of the project period, the country would have established a more
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:07 p.m.


diversified and sustainable economic growth path.

Increased employment oppor- tunities by strengthening the entrepreneurship ecosystem combined with stronger entrepreneurship programmes and better coordination among the programmes, project interventions such as the MSME market connect programme and matching grant support to 400 SMEs custom-tailored delivery mechanism with managerial capabilities and productivity enhancing improvements will lead to firm growth higher firm performance, increase sales and incomes and job creation.

The NBSSI has estimated about 14,000 direct jobs to be created and about 28,000 indirect jobs to be created over the project period and beyond. The integrated Agriculture Fund is expected to create over 10,000 jobs due to anticipated backward integration of investing in farmers to produce the raw material for processing. At the end of the project period, it is expected that more and better employment opportunities would be created.

7.4 Duration of the Project

The Committee learnt that the project will be implemented over a five-year period, and is expected to come to an end on 30th November

2025.

8.0 Conclusion

Considering the benefits to be derived from the project, the Committee is of the view that the request is in the right direction.

The Committee therefore recom- mends to the House to adopt its Report and to approve the Concessional Financing Agreement between the Government of the Republic of Ghana and the International Development Association (IDA) for an amount of SDR144,400,000 [US$200 million equivalent] to finance the Ghana Economic Transformation Project (GETP) in accordance with article181 of the 1992 Constitution, the Public Financial Management Act of 2016 (Act 921) and the Standing Orders of Parliament.

Respectfully submitted.
Mr Cassiel A. B. Forson(NDC -- Ajumako/Enyan/Essiam) 6:17 p.m.
Mr Speaker, I beg to second the Motion, and in doing so, let me say that the terms and conditions are in line with the World Bank loans that are given to lower middle income countries.
Mr Speaker, I need to correct the records that it is not a concessional
facility. This is because in concessional facilities, the grant element is in excess of 35 per cent. In this case, the grant element is 33.23 per cent, making it a commercial loan, but very encouraging.
Mr Speaker, the terms and conditions are very satisfactory, and I would encourage the House to approve it.
Question put and Motion agreed to.
Are you ready to take the Resolution on item numbered 22?
Mr Ameyaw-Cheremeh 6:17 p.m.
Mr Speaker, yes.
RESOLUTIONS 6:17 p.m.
GETP 6:17 p.m.
THIS HONOURABLE 6:17 p.m.
HOUSE HEREBY RE- 6:17 p.m.
Dr Assibey-Yeboah 6:17 p.m.
Mr Speaker, I beg to second the Motion.
Question put and Motion agreed to.
Resolved accordingly.
Mr Ameyaw-Cheremeh 6:17 p.m.
Mr Speaker, item numbered 26 — National Fiscal Stabilisation Levy (Amendment) Bill, 2019.
Mr First Deputy Speaker 6:17 p.m.
Hon Members, Motion numbered 26 — By the Hon Minister for Finance.
BILLS — SECOND READING
National Fiscal Stabilisation Levy (Amendment) Bill, 2019
Deputy Minister for Finance (Mr Kwaku A. Kwarteng) on behalf of the (Minister for Finance): Mr Speaker, I beg to move, that the National Fiscal Stabilisation Levy (Amendment) Bill, 2019 be now read a Second time.
Mr Speaker, the purpose of the Bill is to amend section (4) of the National Fiscal Stabilisation Levy Act, 2013 (Act 862) to extend the date of expiration of the levy to the end of the year 2024.
The Government has carried out many measures to put the economy on sound footing, and is further committed to carry out social interventions to improve the well-being of the citizenry, especially the poor and the vulnerable. There is the need to consolidate the gains that have been made over the period through the implementation of effective revenue mobilisation measures. As the
Government continues with the drive to enhance revenue mobilisation, we need to maintain some tax handles in the short-term, as efforts are made to improve compliance. The Govern- ment has therefore decided to extend the National Fiscal Stabilisation Levy to the end of the year 2024.
Question proposed.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:17 p.m.
Mr Speaker, I associate myself with the Motion, and in so doing, I present the Committee's Report.
l.0 Introduction
The National Fiscal Stabilisation Levy (Amendment) Bill, 2019 was presented to Parliament by the Hon Deputy Minister for Finance, Mr Kwaku Agyeman Kwarteng on behalf of the Minister responsible for Finance, and read the first time in the House on Monday, 2nd December, 2019. The Bill was subsequently referred to the Finance Committee for consideration and report in accordance with article 174 of the 1992 Constitution of the Republic of Ghana and Order 169 of the Standing Orders of the Parliament of Ghana.
A Deputy Minister for Finance, Hon Charles Adu-Boahen, and a team of officials from the Ministry of
Finance (MoF), the Ghana Revenue Authority (GRA) and the Attorney- General's Department attended upon and assisted the Committee in its deliberations on the Bill.
The Committee is grateful to the Hon Deputy Minister and the team of officials for attending upon the Committee.
2.0 References
The Committee referred to and was guided by the following documents inter alia during deliberations on the Bill:
a. The 1992 Constitution of the Republic of Ghana.
b. Standing Orders of the Parliament of Ghana.
c. National Fiscal Stabilisation Levy Act, 2013 (Act 862).
d. Interpretation Act, 2009 (Act
792).
2.1 Urgency of the Bill
The Committee determined and hereby certifies that the Bill is of an urgent nature, and therefore may be taken through all the stages of the passage in one day in accordance with article 106(13) of the 1992
Minister for Monitoring and Evaluation (Dr A. A. Osei) 6:27 p.m.
Mr Speaker, I listened to my good Hon Friend, the Hon Ranking Member, and he said that this tax was supposed to have ended in December, 2017. Mr Speaker, I ask myself what his locus was to determine the policy in 2017. It is only the current Government that has the locus. [Interruption.] I am asking him what his locus is to determine the policy for the current Government.
Mr Speaker, every Government is given the opportunity to determine policies for themselves, not suggestions by the Opposition. The Hon Ranking Member said the law was supposed to - In December, 2017, the NDC was not in power, so there was no way any NDC member could make that policy; it is only the NPP Government that can make that policy.
This Government has determined that to ensure that revenue is very robust, it would extend this policy which existed. It is not a new policy. The introduction of the National Fiscal Stabilisation Levy did not happen in 2019. It existed, so it cannot be called a new policy.

No, he could talk about it; but if this Government decides that it would move from taxation to production, that is what it is doing. This is a very important fiscal measure to make sure that even his pay cheque, which did not come early last month, comes earlier next time. He knows that; he complained that on 4th December, 2019, he did not have his pay cheque, but now he wants to stop revenue from coming. We cannot have it both ways.

Mr Speaker, I thank you for the opportunity.
Mr Joseph Yieleh Chireh (NDC -- Wa West) 6:27 p.m.
Mr Speaker, I would want to contribute to this debate.
When this stabilisation measure was made, what did the NPP say in opposition? This was one of the nuisance taxes they talked about. The Hon Member said that we do not have locus. We passed the law here, and it has a sunset clause. It has a time span, and that is why they are amending to extend it. So he cannot say that we do not have the right to talk about it.
There was a sunset clause. It was to end in 2017. So if they now want to extend it, should we not say so? Are they now bringing a new measure that we have no right to talk about? They want to take credit for something that we did, which they condemned in the first place.
Mr Speaker, the Hon Ranking Member also raised an important point. If we go to campaign on our manifesto and we indicate to people that we would want to leave taxation and encourage production, but as soon as we get power we maintain taxation and extend it, how would they encourage production?
In my view, we would have to talk about it. Hon Members of Parliament who are affected would talk about it. We have the right to decide whether we support their policy, but they cannot shut us up; they cannot do that because this is the House where we
have to speak our minds. All that we are concerned about is that, the electorate would continue to say that they promised us this, but they are extending it. Will they have confidence in us? We are worried as a political class, that we must keep our words and not deviate when we win power.
Thank you very much.
Dr Assibey-Yeboah 6:27 p.m.
Mr Speaker, first, let me put on record that the National Fiscal Stabilisation Levy is not a nuisance tax. Under President Kufuor, the NPP introduced the National Reconstruction Levy. That was abolished in 2006.
In 2013, under President Mahama, the National Fiscal Stabilisation Levy was reintroduced. This was for two years. Then in 2015, it was extended for another two years. So this National Fiscal Stabilisation Levy was not known in our tax dictum; it was imposed by the NDC, and I am sure they did it for good reasons.
Mr Speaker, to ensure good business planning, we are extending this for a further five years so that business owners know that this tax would be in existence for another five years. This business of extending it for two years and another two years when the tax would not go away --
Mr Bernard Ahiafor (NDC -- Akatsi South) 6:27 p.m.
Mr Speaker, I thank you for giving me the opportunity to contribute to the Second Reading of the Bill.
Mr Speaker, I am happy to hear today, particularly from the Hon Chairman of the Finance Committee, that the National Fiscal Stabilisation Levy is not a nuisance tax, and that has gone into the records. I am happy about that.
I am happy that President Nana Akufo-Addo has enjoyed the benefit of the National Fiscal Stabilisation Levy, and has seen the need to extend it thus extending by way of amending the law, its expiration from 2017 to 2024. Let us place on record that a Government that is moving from taxation to production is now extending a tax from 2017 to 2024.
Mr Speaker, with these few words, I am done.
Question put and Motion agreed to.
The National Fiscal Stabilisation Levy (Amendment) Bill, 2019 accordingly read a Second time.
Mr Anim 6:27 p.m.
Mr Speaker, we would take the item numbered 27 -- Motion.
Mr First Deputy Speaker 6:27 p.m.
Item numbered 27.
BILLS -- SECOND READING 6:27 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:37 a.m.
Mr Speaker, I beg to support the Motion and in doing so, I present the Committee's Report.
1.0 Introduction
The Special Import Levy (Amendment) Bill, 2019 was presented to Parliament by the Hon Deputy Minister for Finance, Mr Kwaku Agyeman Kwarteng, on behalf of the Minister responsible for Finance and read the first time in the House on Monday, 2nd December, 2019. The Bill was subsequently referred to the Finance committee for consideration and report in accordance with article 174 of the 1992 Constitution of the Republic of Ghana and Order 169 of the Standing Orders of the Republic of Ghana.
A Deputy Minister for Finance, Hon Charles Adu-Boahen, a team of officials from the Ministry of Finance (MoF), the Ghana Revenue Authority (GRA) and the Attorney-General's Department attended upon and assisted the Committee in its deliberations on the Bill.

The Committee is grateful to the Hon Deputy Minister and the team of officials for attending upon the Committee.

2.0 Reference

The Committee referred to and/or was guided by the following documents inter alia during deliberations on the Bill:

a. The 1992 Constitution of the Republic of Ghana.

b. The Standing Orders of the Parliament of Ghana.

c. The Special Import Levy Act, 2013 (Act 861).

d. The Interpretation Act, 2009 (Act 792).

2.1 Urgency of the Bill

The Committee determined and hereby certifies that the Bill is of an urgent nature, and therefore may be taken through all the stages of passage in one day in accordance with article 106(13) of the 1992 Constitution of the Republic of Ghana and Order 119 of the Standing Orders of the House.

3.0 Background

The Special Import Levy was introduced by the Government of Ghana in the year 2013, to shore up dwindling revenues. The Government has subsequently carried out a host of measures to put the economy on a sound footing. There is the need to maintain this momentum and consolidate the gains that have been made over the period.

The Government is further committed to carrying out social interventions to improve the well- being of citizens, especially the poor and the vulnerable.

As the Government continues with the drive to enhance revenue mobilisation, some taxes have to be maintained in the short-term as efforts have been made to improve compliance. In this regard, the Government has decided to extend the period for the imposition of the Levy to the end of the year 2024.

4.0 Purpose of the Bill

The Bill seeks to amend the Special Import Levy Act, 2013 (Act 861) to extend the period of application of the Special Import Levy and to exempt kits imported by automotive manufacturers or assemblers registered under the Ghana Automotive Manufacturing Development Programme.

5.0 Content of the Bill

The Special Import Levy (Amendment) Bill, 2019 contains two clauses.

Clause 1 of the Bill seeks to amend Section 1 of Act 861 by extending the period for the imposition of the Levy to the end of the 2024 fiscal year.

Clause 2 proposes to amend the First Schedule to Act 861 by including kits imported by automotive manufacturers or assemblers registered under the Ghana Automotive Manufacturing Development Programme as part of goods exempted from the payment of the Levy.

6.0 Observations

6.1 Fiscal Impact

The Committee was informed that the continuation of the Levy is expected to lead to a retention in revenue of approximately six hundred and forty-one million, six hundred thousand Ghana cedis (GH¢-

641,600,000).

On the other hand, the cost of the concession to automotive manufacturers or assemblers registered under the

Ghana Automotive Manufacturing Development Programme is estimated at fifty-five million, four hundred and fifty-one Ghana cedis GH¢

55,000,451.00).

6.2 Automotive Manufacturing Development Programme

The Committee noted that the Government has commenced an Automotive Manufacturing Develop- ment Programme in order to develop a vibrant automotive industry.

To support the industry, the Government has put in some concessions including the exemption of kits imported by automotive manufacturers or assemblers registered under the Programme from the payment of the Levy.

The Committee was informed of the Government's conviction that six key automotive manufacturers would established in Ghana in the near future. These are Toyota, Suzuki, Nissan, Volkswagen, Renault and Sinotruck.

7.0 Conclusion

The Committee finds that the passage of the Bill would help retain revenue for the development of the country, while at the same time providing the needed concession to encourage and support the development of a vibrant automotive manufacturing industry in Ghana.
Chairman of the Committee (Dr Mark Assibey-Yeboah) 6:37 a.m.


The Committee therefore recommends to the House to adopt this Report and pass the Special Import Levy (Amendment) Bill, 2019 into law, in accordance with article 106(13) of the 1992 Constitution and Order 119 of the Standing Orders of the House.

Respectfully Submitted.
Mr Cassiel Ato Baah Forson (NDC -- Ajumako/Enyan/Essiam) 6:37 a.m.
Mr Speaker, I also rise to speak to the Motion and in doing so, I would start with the policy to exempt the Automotive Manufacturing Development Programme.
Mr Speaker, this is something that is laudable, but the concern here is that at the Committee meeting, we were told that the Government's conviction is to establish six key automotive industries, and they are establishing the Automotive Manufacturing Development Programme.
My only concern is that we should be mindful of the fact that we already have an automotive manufacturing company in Ghana, and there is the need for us to have that company also exempted accordingly, and not only concentrate on new companies.
Dr Assibey-Yeboah 6:37 a.m.
On a point of order. Mr Speaker, the NDC introduced the Special Import Levy, and there were two legs of the levy. There was the 1 per cent Special Import Levy, which was a nuisance tax, and the 2 per cent Special Import Levy.
True to our words as contained in our manifesto, the NPP abolished the 1 per cent Special --
Mr First Deputy Speaker 6:37 a.m.
So what has he said that is not correct?
Dr Assibey-Yeboah 6:37 a.m.
He said that in our manifesto, we said that it was a nuisance tax and now we are --
Mr First Deputy Speaker 6:37 a.m.
Yes, he said so.
Dr Assibey-Yeboah 6:37 a.m.
Yes, Mr Speaker, and I am saying that the 1 per cent Special Import Levy was the nuisance tax, but we are continuing the 2 per cent --
Mr First Deputy Speaker 6:37 a.m.
Alright. He has not said anything that is misleading, so he may continue.
Mr Forson 6:37 a.m.
Mr Speaker, I have not even used the word “nuisance”. He was only trying to get me confused; but obviously, I stood my ground. The truth is one, the NPP promised in their
manifesto to remove the Special Import Levy. Even in the manifesto, they never distinguished between the 1 per cent Special Import Levy and the 2 per cent Special Import Levy.
What they said in their manifesto was that they would remove the Special Import Levy. The issue remains that inasmuch as they promised us that they would remove the Special Import Levy that was to expire one year after they took office, this Administration has extended it for seven good years.
Mr Speaker, I believe that there is the need for the Government to revisit its promise to the people of Ghana. It is on that basis that this Government had the mandate of the people -
Mr Afenyo-Markin 6:37 a.m.
On a point of Order. Mr Speaker, my Hon Colleague is grossly misleading this House, although as he put it, the truth is one. This tax he is complaining about would be used to improve the well-being of his own constituents, and he knows that. This is a matter of fact. The records must not -- Where should we get money to fund the free SHS programme? Yesterday, he was saying --
Mr First Deputy Speaker 6:37 a.m.
Hon Member for Effutu, tell me what he has said that is misleading.
Mr First Deputy Speaker 6:37 a.m.
What is your own impression?
Mr Afenyo-Markin 6:37 a.m.
Mr Speaker, my impression from his submission is that --
Mr First Deputy Speaker 6:37 a.m.
No, from the tax, what is your own impression?
Mr Afenyo-Markin 6:37 a.m.
Mr Speaker, my impression is that the Government would utilise these funds to fund the free SHS.
Mr First Deputy Speaker 6:37 a.m.
Very well. He thinks otherwise, and you are entitled to yours.
Yes, Hon Forson, please continue.
Mr Forson 6:47 p.m.
Mr Speaker, I am not surprise because the Hon Member is fond of doing that. He always tries to come in unwarranted without knowing what he is talking about.
As I said, the records are clear, that the NPP promised to remove the Special Import Levy. Today, the extension of this tax would mean that
they would take an amount of GH¢641.6 million from the imposition of the levy. This would mean that for a period of only one year, GH¢641.6 million would be accrued.

Mr Speaker, the Hon Minister for Finance was here not long ago, and the informed us that as a result of Governments decision to relieve Ghanaians of certain taxes, they have put into our pockets an amount of GH¢12.3 billion. By imposition of this tax, he has indeed taken GH¢641.6 million from our pockets according to his own logic from taxation to production.

I rather see a reversal of Government policy from production to taxation because taxes increase by the day, and today, they have decided to re-impose a tax that has ended according to the Hon Minister for Finance's own promise to us; that this tax would not be increased or extended by the end of 2019.

Mr Speaker, with these words, I support the Motion.
Minister for Monitoring and Evaluation (Dr Anthony Akoto Osei) 6:47 p.m.
Mr Speaker, I would want to assure my Hon Colleague that he should not worry about the issue of Kantanka. The policy is not meant for foreign importers. For every
company that is in the programme -- Kantaka is in the programme so he should not worry.
However, on a lighter note, raising GH¢661 million and giving away GH¢551 million - the net would not be GH¢661 million, so he cannot say that the Government has taken GH¢661 million out of people's pockets and would lose GH¢55 million.
On the net basis, the GH¢661 million is not the final figure. As an accountant, he should know that GH¢661 million minus GH¢50 million would be a figure less than GH¢661 million. So he cannot get up in Parliament and say that the Government would take GH¢661 million when he has the information. He should have taken it as a net number -- so he should correct himself.
Mr Joseph Yieleh Chireh (NDC - Wa West) 6:47 p.m.
Mr Speaker, the Hon Member who just spoke said that Hon Forson, “cannot get up in Parliament” - if not in Parliament, where else could he say it? -- [Laughter] --
Mr Speaker, the point I want to raise is very important. In paragraph 755 on page 141 of the Budget Statement, under the Ministry of Trade and Industry, it says that:
“In addition, an Automobile Industry Development Unit (AutoUnit) was established at the Ministry of Trade and Industry to act as One-Stop- Shop to coordinate the implementation of the programme ...”.
The Ghana Automotive Manufacturing Programme was mentioned in the Memorandum, then down the line, it became Automotive Manufacturing Policy. “Programme” and “Policy” - these are important documents which we would make a law based on it, so I believe that the best that Hon Ministers and the Government could do is to bring these documents. If there is a policy, it has to be presented in Parliament for Hon Members to understand what the Government has under each sector.
When a Bill is brought to the House for consideration, we would be informed adequately as to what is in that policy. However, in this same Memorandum, they talked about “Programme” and Policy” - which is which? Are they the same? Yet we want to pass a law to give advantage to people who would come and assemble and to also manufacture.
Mr Speaker, I want to urge that Hon Members should have copies of
Mr First Deputy Speaker 6:47 p.m.
Yes, available Hon Leader?
Mr Ameyaw-Cheremeh 6:47 p.m.
Mr Speaker, we may take item numbered
28.
Mr First Deputy Speaker 6:47 p.m.
Very well. Item numbered 28.
BILLS -- SECOND READING 6:47 p.m.
Chairman of the Committee (Dr Mark Assibey- Yeboah) 6:47 p.m.
Mr Speaker, I rise to support the Motion, and in so doing, I present your Committee's Report.
1.0 Introduction
The Income Tax (Amendment) Bill, 2019 was first presented to Parliament and read the first time on Monday, 2nd December, 2019 by Mr Kwaku Kwarteng, an Hon Deputy Minister for Finance on behalf of the Hon Minister for Finance.
Rt Hon Speaker referred the Bill to the Finance Committee for consideration and report in accordance with the 1992 Constitution and the Standing Orders of Parliament.
The Committee met with an Hon Deputy Minister for Finance, Hon Charles Adu Boahen, and officials from the Ministry of Finance, Ministry of Trade and Industry and the Attorney-General's Department to consider the Bill.
The Committee is grateful to the Hon Deputy Minister and the team of officials for attending upon the Committee.
The Committee referred to the following documents in the consideration of the Bill:
1. The 1992 Constitution;
2. The Income Tax Act, 2015 (Act 896);

3. The Interpretations Act, 2009 (Act 792); and

4. The Standing Orders of Parliament.

2.1 Urgency of the Bill

The Committee determined and hereby certifies that the Bill is of an urgent nature and therefore may be taken through all the stages of passage in one day, in accordance with article 106 (13) of the 1992 Constitution of the Republic of Ghana and Order 119 of the Standing Orders of the House.

3.0 Object of the Bill

The object of the Bill is to amend the Income Tax Act, 2015 (Act 896) to revise the rates of income tax for individuals, increase some of the reliefs available to individuals and provide for a tax holiday for automobile manufacturers and assemblers.

4.0 Structure of the Bill

The Bill is divided into three clauses.

Clause 1 amends the First Schedule to Act 896 to include the new minimum wage. Clause 2 revises the Personal Income Tax Schedule, while

clause 3 is on tax holidays for automobile manufacturers.

5.0 Observations

5.1 Rationale for the Bill

The Committee was informed that Government has increased the minimum wage for the year 2020. In view of this and the need to equate the minimum wage to the tax free portion of income to reflect Government's policy, the Personal Income Tax Schedule is being revised accordingly.

Further on, Individual tax reliefs have not been revised for a while, causing the reliefs to lose value. Government is amending the levels to make them a bit more attractive and encourage taxpayers to file their returns.

The Committee learnt that Government has introduced the Automotive Manufacturing Develop- ment Policy to support the Automotive Industry, and as part of the Policy, Cabinet has approved some tax holidays for automobile manufacturers and assemblers. This Bill reflects to the policy decision.

5.2 Fiscal impact of the Bill

The Committee was informed that the review of the Personal Income Tax

rates and the upward adjustment of the reliefs will lead to a reduction in revenue of approximately one hundred and thirty-three million, two hundred and fifty thousand Ghana cedis (GH¢ 133,250,000.00). Additionally, the tax holiday for the automobile manufacturers and assemblers is estimated at fifty million, two hundred and ninety-two thousand Ghana cedis (GH¢50,290,000.00).

6.0 Conclusion

After a careful consideration, the Committee is of the view that the bill is in the right direction, and therefore recommends to the House to adopt its report and pass the Income Tax (Amendment) Bill, 2019 in accordance with the 1992 Constitution and the Standing Orders of the House.

Respectfully submitted.
Mr First Deputy Speaker 6:57 p.m.
Yes, Hon Ranking Member?
Mr Cassiel A. Forson (NDC -- Ajumako /Enyan /Essian) 6:57 p.m.
Mr Speaker, one of the pillars of this amendment is to ensure that minimum wage is indeed exempted from
taxation. Often times, that has been the case, and it is important to continue on that path.
The other leg is what we have said already on the Ghana Automotive Manufacturing Development policy. I will once again urge that there is the need for us to have the opportunity maybe, to see the policy or to debate and make an input.
Mr Speaker, this would enhance policy making processes and to ensure that some input that will come from the House, will be embedded in the policy. We all intend and wish that the automotive industry is developed in a way that as a country, we can benefit from.
More so, to use Ghana as a hub to sell to other West African countries, and therefore there is the need for us to support a policy that will ensure that Ghana becomes a hub for the automotive industry thus selling to our West African neighbours.
I would support this any day to ensure that at least, some employment will be created in the economy, and in the end, I believe that the country will benefit.
Mr Speaker, with these few words, I beg to support the Motion.
Dr A. A. Osei 6:57 p.m.
Mr Speaker, I rise to commend my dear Friend and Hon
Mr First Deputy Speaker 6:57 p.m.
Very well.
Question put and Motion agreed to.
The Income Tax Amendment Bill, 2019 was accordingly read a Second time.
Mr Anim 6:57 p.m.
Mr Speaker, we may take item numbered 29 on page 13.
BILLS -- SECOND READING 6:57 p.m.
Chairman of the Committee (Dr Mark Assibey-Yeboah 6:57 p.m.
Mr Speaker, I beg to support the Motion ably moved by the Hon Deputy Minister, and in so doing, I present your Committee's Report.
1.0 Introduction
The Value Added Tax (Amend- ment) Bill, 2019 was first presented to Parliament and read the first time on Monday, 2nd December, 2019 by Mr Kwaku Kwarteng, the Hon Deputy Minister for Finance on behalf of the Hon Minister for Finance.
Mr Speaker referred the Bill to the Finance Committee for consideration and report in accordance with the 1992 Constitution and the Standing Orders of Parliament.
The Committee met with an Hon Deputy Minister for Finance, Mr Charles Adu Boahen, and officials from the Ministry of Finance, the Ministry of Trade and Industry and the Attorney-General's Department to consider the Bill.
The Committee is grateful to the Hon Deputy Minister and the team of officials for attending upon the Committee.
2.0 Documents Refered to
The Committee referred to the following documents in the consideration of the Bill:
1. The 1992 Constitution;
2. The Value Added Tax (Amendment) Act, 2015 (Act890);
3. The Value Added Tax (Amendment) (No.2) Act, 2017 (Act954);
4. The Interpretations Act, 2009 (Act 792); and
5. The Standing Orders of Parliament.
2.1 Urgency of the Bill
The Committee determined and hereby certifies that the Bill is of an
Chairman of the Committee (Dr Mark Assibey-Yeboah 6:57 p.m.


urgent nature and therefore may be taken through all the stages of passage in one day, in accordance with article 106 (13) of the 1992 Constitution of the Republic of Ghana and Order 119 of the Standing Orders of the House.

3.0 Object of the Bill

The object of the Bill is to provide for the exemption from the payment of value added tax of imports of plant and machinery designed specifically for use in the automotive industry and kits imported by automotive manufacturers and assemblers who are registered under the Ghana Automotive Manufacturing Develop- ment Programme and management fees for services provided by fund managers to private equity funds, venture capital funds and mutual funds.

4.0 Structure of the Bill

The Bill contains a clause.

The clause amends the First Schedule to Act 870 by adding the imports of plant and machinery designed specifically for use in the automotive industry and kits imported by automotive manufacturers and assemblers who are registered under the Ghana Automotive Manufacturing Development Programme to the list

of items exempted from the value added tax.

Provision has also been made for the management fees charged by a local fund manager for the management of a licensed private equity fund, a venture capital fund or a mutual fund to be exempted from value added tax.

The Bill also consolidates previous amendments to the First Schedule and seeks to correct an error in the numbering of the paragraphs of the First Schedule, which was occasioned as a result of the amendments to the First Schedule in the Value Added Tax (Amendment) Act, 2015 (Act 890) and the Value Added Tax (Amendment) (No.2) Act, 2017 (Act

954).

5.0 Observations

5.1 Rationale for the Bill

The Committee was informed that Government, in August, 2019, launched the Ghana Automotive Manufacturing Development Pro- gramme. The rogramme is to develop a vibrant automotive and allied industry that will feed local demand and that of the West Africa sub-region. Under the programme, Government has put in place some concessions to support the Industry in its teething

stages. The exemption from Value Added Tax (VAT) on imported plants, machinery and kits will help to lower initial costs of production.

The Committee was also informed that the current situation of subjecting the management fees of fund managers of private equity, venture capital and mutual funds to VAT discourages institutional and other investors, both local and foreign from investing such critical funds in the private sector for growth.

The Committee was informed that the exemption of the management fees for these funds from the payment of VAT is to encourage the establishment of private equities, venture capital and mutual funds, as well as improve the ecosystem for start-up businesses with regard to the availability of funds. It will also improve the accumulation of long-term funds in the economy to support growth and the creation of jobs.

5.2 Fiscal Impact of the Bill

The Committee observed that the estimated revenue loss from implementing the policies under the Automotive Manufacturing Development Programme is twenty- two million, five hundred and eighty-seven pesewas (GH¢22,584,461.97) per year for

the first three years. The revenue loss as a result of the exemption of management fees from value added tax is estimated at thirty-six million Ghana cedis (GH¢36,000,000.00) per year.

6.0 Conclusion

After a careful consideration, the Committee is of the view that the Bill is in the right direction and therefore recommends to the House to adopt its Report and pass the Income Tax (Amendment) Bill, 2019, in accordance with the 1992 Constitution and the Standing Orders of the House.

Respectfully submitted.
Mr Cassiel A. Forson (NDC -- Ajumako /Enyan /Essian) 6:57 p.m.
Mr Speaker, my good Friend, the Hon Chairman of the Finance Committee can sometimes take some jabs, but that is not the case.
Let me say once again that the intention here is one, to exempt the Ghana Automotive Manufacturing Development Programme from the import Value Added Tax (VAT). It was not clear in the Memorandum that it was for import VAT, and it is important that we stress that point so that the automotive manufacturing companies will not think that they are also going to be exempted from
Mr Cassiel A. Forson (NDC -- Ajumako /Enyan /Essian) 7:07 p.m.


domestic value added tax. The intention here is to exempt only the import VAT on the kits as and when they bring them into the country.

Mr Speaker, the second point also relates to the fact that the Government is asking us to approve VAT to be exempted on the fees that are charged from mutual fund and asset management companies. I have a strong objection to this.

We are gradually reducing the base of our VAT Act. The exemptions of the VAT is becoming too much, and I believe Government should have a second look at this.

Mr Speaker, I do not believe that mutual fund companies should be exempted from VAT as and when they charge fees. I believe this is a policy that would backfire. The Government should think about it again. Taxes are important. Government relies on taxes to survive. So when you are to remove taxes that already exist, you have to do proper analysis to find out the impact. I believe this would rather generate deadweight cost in the economy, and it would not be efficient.

So there is the need for us to revisit this very item. It would bring inefficiency into the economy. We

should reject this. I see no reason why we should exempt mutual fund companies as and when they charge fees. I do not think this is productive. We should reject it.

Thank you very much, Mr Speaker.

Question put and Motion agreed to.

The Value Added Tax (Amendment) Bill, 2019 accordingly read a Second time.
Mr First Deputy Speaker 7:07 p.m.
Yes, Hon Leader?
Mr Anim 7:07 p.m.
Mr Speaker, we have done a lot for the day. We have virtually gotten to where we targeted to reach. We would want to thank Hon Members for their resilience and good work done. I would therefore beg of you to adjourn the House till tomorrow at 10.00 a.m.
Mr Bernard Ahiafor 7:07 p.m.
Mr Speaker, the law puts adjournment at this time entirely in your hands and at your discretion.
Mr First Deputy Speaker 7:07 p.m.
Hon Members, the House is adjourned till tomorrow at 10 o'clock.
ADJOURNMENT 7:07 p.m.
  • The House was adjourned at 7.10 p.m. till Thursday, 12th December, 2019 at 10.00 a.m.