A former Attorney General under the erstwhile Rawlings administration, Dr. Obed Yao Asamoah has predicted doom for the Ghanaian economy if government fails to cut the number of public servants.
According to him, there are so many people on government’s pay roll who are unproductive and therefore should be cut-off.
[contextly_sidebar id=”qrC9tnmXydz3RLanwKdTNo8bZzq2HKXd”]Reports have shown that Ghana spends more than 70 percent of its revenue on wages alone.
In 2013, for instance, wages and salaries alone accounted for GH¢4.3 billion or 64.2 percent of the tax revenue.
Some economists have expressed concerns about the amount of money spent on public wage bill.
They say Ghana will be heading to the point where its revenue from taxes will not be enough to cover compensation if the trend does not change.
The Minister of Finance and Economic Planning (MoFEP), Mr Seth Terkper, disclosed this when he took his turn to present the fiscal imbalances in the economy, partly caused by the rising wage bill, to labour unions, government agencies and other social groups at the just-ended two-day presidential stakeholders’ forum.
Speaking to Citi News after the launch of his book “The Political History of Ghana 1950-2013: The Experience of a Non-Conformist”, Dr. Asamoah who also doubled as Minister of Foreign Affairs during the same period, said the current trend of a bloated public service is unsustainable.
“We should cut down on the number of people on the public services…We must try to create a productive avenues, not people just sitting in offices and collecting salaries…”
“Left to me alone, certain amount of discipline and regimentation is just necessary for this country to prosper… that rare situation in which our 65 percent of the revenue is used in paying salaries that public service are bloated,” he stated.
By: Marian Efe Ansah/citifmonline.com/Ghana