The real work begins now!

Given the emphatic victory of the President-elect and the overwhelming parliamentary majority of over 180 seats declared so far, it only points to high expectations of the incoming government on account of its promises to Ghanaians.

The rhetoric coming from the leadership of the winning party is certainly good for media “sound bites” and points to a government waiting to hit the ground running, come January 7.

Words like “we cannot disappoint Ghanaians” are encouraging. Ghanaians are eagerly waiting for the implementation of policies, programmes and projects that will improve their living conditions.

But the reality is that while there are higher expectations from the populace on the government to deliver on its promises,  the economy may not be able to support a lot of the initiatives. For instance, the scrapping of what has been termed nuisance taxes could be counter-productive.

We have an ongoing programme with the IMF that is hinged on balancing our books-that is, lowering expenditure and maximising revenue. 

In retrospect, we do not have room to manoeuvre when it comes to tax cuts under the current deal, therefore, the talk about renegotiating the programme with the IMF is in order.

The IMF has always insisted that programmes with its development partners are country-driven, therefore, the opportunity to review the economy is not out of place. 

Interestingly, the current 17th programme with the IMF is yielding some positives, the Gross Domestic Product has rebounded according to the latest economic data 
released last week. Inflation has dropped but not at the expected end-year projected figure. Generally, indications are that the economic fundamentals are taking shape for economic growth.

It is with this in mind that the Graphic Business supports the idea that the government-elect has decided to engage our development partners within the context of bridging the gap between its policies and the current IMF extended facility.

We must be mindful that a review of the existing programme with the IMF will take the shape of “give-and-take”— which means, the government will be required to shore up any revenue source for every tax it intends to scrap.  

The government may want to re-introduce the road tolls for instance if it intends to scrap the e-levy for instance. There may be other creative ideas on how the government can raise additional funding to balance the budget. Going to the international market could be one example.

The government may also want to review the Public Procurement Act to ensure value for money in government procurement. Reports indicate that this policy has become an avenue for public corruption on account of the exploitation of the sole sourcing concept, instead of the Act being the very tool to check corruption.

The government-elect’s decision to also limit ministerial appointments to 60 as promised and as part of its expenditure cuts will also get the thumps up from our development partners and Ghanaians alike. 

The optics will look for government’s PR machinery even though there are real tangible benefits of such expenditure cuts will eventually bring to the economy in general.

The business-as-usual posture of many a government where it is forced to appoint party apparatchiks should not hold sway under the incoming government. We have an economy to build into the future that generates growth and benefits everyone and not just a few.

Equally important is the “versed” issue of funding sources for the Free SHS programme. The acknowledgement of the fact that this policy is a widely popular one and one that cannot be scrapped is positive for the future of the next generation.

Whatever form it may take, a “review” or a “reset”, there will be implications for the larger population.

Comments last week by former Finance Minister, Seth Tekper that the current funding of the Free SHS programme is not sustainable is a source of worry for many.

The subsequent clarification from the President-elect that the policy will rather be secured financially is positive. Many experts and parents are eager to know how the government intends to support this policy going forward.

It is not beyond us, it's possible to review the existing programme that fits into the government’s programme without having to alter it substantially to the detriment of beneficiaries yet unborn. 

The caution though is that we tread carefully, be innovative and pursue reforms that cut away the waste in public service and pass on savings in government expenditure cuts to support one of the biggest social interventions that touches every household in the country.

It is a balancing act that the incoming government has to face as it strides to fulfil its campaign promises and we dare say, the work begins now.