Govt fires wide on social targeting

The government has explained that the regular adjustment in utility tariffs and fuel prices “is to correct the inefficiencies in the untargeted nature of the subsidies where the subsidies tended to benefit the rich more.” 

It said the policy was also to free more resources for the implementation of poverty-reducing interventions to benefit the poor. 

“We wish to emphasise that the implementation of the policy on frequent adjustment of fuel tariffs and utility prices does not completely remove subsidies,” the Ministry of Finance said in statement released in Accra on February 11 in response to recent concerns raised by the Trades Union Congress (TUC) on the management of the economy.

The statement issued by its Public Relations Unit of the ministry said the government was currently pursuing a more diversified social intervention programmes in areas such as education, health and energy.

Social interventions

It outlined some of the social inter