STATE OF THE NATION ADDRESS
8TH FEBRUARY, 2007
SALUTATION
Mr Speaker, the Constitution of the Fourth Republic prescribes that the
President of the Republic delivers to Parliament a message on the
state of the nation at the beginning of each session. This is what I
have come to do this morning.
Mr Speaker, as I look around the House, I see empty seats on the
Minority's side.
It is a sad day that members of that side have chosen to absent
themselves. It is sad again that they have resorted to this course of
action, apparently in reaction to the judgement of a duly constituted
court of law. It is even sadder that they seem to ignore the fact that
the due process of going through appeals, as provided for by the
Constitution, is yet to be exhausted, in this particular case.
Mr Speaker, I want to use this occasion to ask them to reconsider their
withdrawal from the House and come back to play their part to uphold
the integrity of the House. I make this appeal in the light of the
sincerity with which government is committed to the reconciliation
process it has initiated for healing the wounds of the nation and to
make for a fresh start.
Mr Speaker, let me at this point acknowledge Mr Abu Bonsrah, the
honourable member for Fomena, who has taken his seat in the House
from the recent by-election. I wish him a very successful term.
About two weeks ago, our own brother and compatriot, Mr Kofi Annan,
who has successfully completed two terms as Secretary-General of the
UN Organisation returned home to Ghana to a hero's welcome. He has
since delivered a thought-provoking lecture which is the first in the
series of the Golden Jubilee Lectures. I am sure the whole nation joins
me in wishing him a happy return home, after his distinguished service
for humanity.
Mr Speaker, later, I shall talk about Ghana's unanimous election to the
Presidency or Chairmanship of the African Union during this very
auspicious year. Let me however thank the many well-wishers from
around the country and beyond for their kind sentiments. The honour
belongs to the entire nation.
INTRODUCTION
Mr Speaker, when the 2006 budget was read in November 2005, many
thought the practice would be a nine-day wonder. Happily, the
tradition is being sustained and this year's budget was read last
November. As a result, government's policies and financial plans for
the year, as contained in the budget statement, have already been
approved by the House. So, this morning I am addressing:
1. Key challenges within the socio- economy,
2. Issues of good governance, and
3. The on-going Golden Jubilee celebrations and their aftermath.
GHANA ON THE RISE
Mr Speaker, my government assumed office in 2001 and had its
mandate renewed for a second term in 2004. All too soon, it has
reached the mid-point of this second term. All over the world, this
period is considered critical for governments which are about to end
their tenure, in that, they tend to engage in dispassionate assessment
of their performance with a view to correcting their mistakes and
consolidating their achievements for the time left. In this respect, this
government is no different.
Propitiously, in our case, this critical mid-term analysis is coinciding
with the Golden Jubilee Anniversary of Ghana's Independence, as a
sovereign state. This reinforces the need for the government and the
entire society to engage in stock-taking and re-setting of national
vision and goals for advancement. Therefore, I expect subsequent
discussion of this State of the Nation Address to be conducted in the
spirit of candour and sincerity from all sides.
Happily, Mr Speaker, the government's assessment of the nation's
political, economic and social conditions of the state indicates that, on
balance, GHANA, THE BLACK STAR OF AFRICA, IS ON THE RISE
AGAIN. This should make all of us nationals happy about the various
contributions and sacrifices we have made, individually and
collectively, to bring the nation this far. The obvious challenge now is
how to accelerate the development for the betterment of the entire
society. This appreciation should strengthen our resolve to work
together in overcoming existing problems and drawbacks like:
• The energy crisis that is plaguing industrial and economic
activities.
• The pockets of conflict in the country, arising mainly from
chieftaincy disputes,
• The low salaries, wages and productivity, with their attendant
high unemployment within the economy,
• The impact of Globalisation on socio-economic development
programmes.
Mr Speaker, it is within our power to overcome most of these
challenges in the short to medium term. This is why we Ghanaians
must will ourselves to work harder than we have ever done in the past
50 years.
Fortunately, our path to success is benchmarked by our national vision
of attaining a middle income status through a growth rate of 8% GDP
annually, which translates to over US$1,000 per capita income within
the next decade.
Happily, this vision also coincides with the Millennium Development
Goals set by the UN to reduce global poverty by half by the year 2015.
Ghana is therefore not alone, like a long distance runner in search of a
better life. Our task is made lighter in the knowledge that there are
other nations around the world being encouraged and assisted by the
international community to move alongside us in the same direction in
overcoming these challenges.
Mr Speaker, within our category of developing nations, Ghana is being
acknowledged as among the leaders in the pursuit of these goals.
Thus, government is determined to consolidate and build on the
achievements made so far and to turn the massive tide of goodwill
that Ghana is enjoying worldwide to maximum advantage to facilitate
this undertaking.
ENERGY AND POWER
Mr Speaker, I shall start my message with a report on the current
crisis in the supply of energy in the country. I believe this will go a
long way in reducing the anxiety and the fears of the business
community and the public in general.
The problem of inadequate energy supply has crept up on the nation
since the construction of the Akosombo dam. With it, the whole nation
was lulled into believing that the dam will be an inexhaustible source
of power. The first signs that this belief was naive appeared toward the
mid 1980s when the nation suffered the first load shedding from
Akosombo.
Alas, the economy was in no shape to support any serious solutions to
the problem. There was a recurrence after the mid 1990s. It was then
that resort was made to thermal plants like Aboadze. Fuelled by crude
oil, these plants have proved extremely costly to run.
On assumption of office in 2001, government decided to find long-term
solutions to this problem. Accordingly, it initiated action to raise
US$40million, being Ghana's equity, for commencement in 2003, of
the construction of the West African Gas Pipeline project. This had
been on the drawing board for many years. The project, which will
produce large volumes of relatively cheaper and sustainable source of
energy, was expected to be operational by December last year.
Unfortunately there has been some constructional delay and is now
programmed to be operational in August this year.
Mr. Speaker, in anticipation of this flow of gas, the establishment of
gas turbine thermal plants is being undertaken by public and private
interests.
In the interim, government has taken short to medium term measures
to put an end to the embarrassing and expensive load shedding of
electricity to which society and industry have been subjected to over
the past six months. These measures include supply from the West
Africa Power Pool arrangement whereby, within the next fortnight,
Ghana will benefit from supplies from Nigeria and Cote D'Ivoire to the
tune of 200 megawatts.
The Volta River Authority is poised to establish a 300 megawatt plant
in Tema.
The same company is building another emergency plant to supply 126
megawatts of power by August this year.
The Osagyefo Power barge which has been standing idle will be
empowered to produce 120 megawatts in the course of the year.
A private sector Ghanaian-Chinese joint venture company is in the
offing to produce, in two phases, up to 600 megawatts of power by the
end of next year.
Government has also contracted three American companies to produce
up to 110 megawatts by the end of April this year.
This arrangement would altogether provide at least 500 megawatts
which is far in excess of the present shortfall to end the outages
strategies next month.
I should acknowledge at this point, the consortium of mining
companies which has offered to build a plant at Tema, to be completed
by June, to supply 80 additional megawatts of power.
Mr. Speaker, additional to these ventures, government has initiated
action to build another hydro-electric dam, the Bui dam. As we speak,
there is a high powered delegation in China to conclude an agreement
with the Chinese Exim bank for assistance towards the construction of
this dam which is designed to generate 400 megawatts of electricity in
the Brong Ahafo Region.
So, Mr Speaker, government has not been remiss in its
responsibilities. On the contrary, it has taken steps to give both short
and long term solutions to the problem. Within the next five years,
the energy level will be doubled in capacity to cater for the industrial
and economic requirements of the nation for the next 20 years.
Mr Speaker, I should add that efforts are on-going to find alternative
sources like solar, wind as well as biological plants like the jetropha
whose seed is used to produce diesel oil.
Mr Speaker, permit me to use this occasion to appeal once again to
our entire society to be economical in the use of electrical appliances
and also learn to conserve energy within public offices and
installations.
ECONOMIC PERFORMANCE
Mr Speaker, despite the perennial problems of the energy sector,
including the highest price ever of crude oil last year, this nation has
registered very impressive achievements during the past six years in
the management of its macro-economy.
Counting on the support and goodwill of Ghanaians, government has
implemented various policies and programmes which have enabled it
to transform the macro economy from years of stagnation to the
current growth rate of 6.2%. From 40.5% in 2000, inflation now
stands at 10.2%; while the commercial banks' lending rate which
stood at over 50% five years ago is now around 20% and is still
falling.
The Cedi has stabilised and maintained its value against major
currencies, thus encouraging the Bank of Ghana to initiate a process
by July this year, towards its re-denomination. This is to make
accounting procedures and monetary transactions less cumbersome
for everyone and also, to reduce the cost of printing money or the
burden of carrying huge amounts of money around.
Mr Speaker, this outstanding performance of the macro-economy is
boosting the confidence of both domestic and foreign investors, which
is already in the upsurge. Ghanaians no longer feel the need to
transfer their money abroad nor change it into foreign currency to
preserve its value. Further, all over the country, there is evidence of
vigorous construction work which must be taken as a sign of a growing
economy.
Another manifestation of confidence is in increased remittances from
Ghanaians living abroad, which totalled over US$4 billion last year.
On the financial front, 4 new banks, Guaranty Trust, Fidelity, Zenith
and Intercontinental, have been established within the past 2 years.
Meanwhile, the bill for the establishment of an International Financial
Services Centre, a partnership between the Government of Ghana and
the Barclays Bank, is ready to be placed before your house. This is to
further the policy of making Ghana an international financial hub. I
encourage Honourable Members to give the bill the necessary backing
and ready approval.
In the case of the mining sector, I am happy to announce that I
commissioned the operation of Newmont Gold mine at Kenyasi in the
Brong Ahafo Region last year. It has already poured its first gold.
Barry Callebaut Ghana has also installed a new multi-million dollar
cocoa processing line to expand its product range.
In the mean time, Cargill International, a US company, which is also a
global agro-processing company has started the construction of a new
Cocoa Processing Facility in Tema, which involves over US$50 million
in new investments.
Golden Exotic Company is the local subsidiary of the world renowned
Compagnie Fruitiere of France. It started its operations in the country
in 2003. From a first export of 3,600 metric tonnes of pineapples in
the year 2005, the Company projects to export 17,000 metric tonnes
this year. Such is the high performance which investors are now
recording within our economy.
Mr Speaker, in addition to such well-organised Private Sector
companies, there is a host of others within the informal section of the
sector whose potential is yet to be fully realised. Government will
continue to direct various policies and measures to identify them, to
assist them raise their production level and create more job
opportunities, using micro as well as small and medium credit lines.
This will not only improve their businesses, but also, help widen the
tax net an bring them into the formal sector of the economy.
PUBLIC SECTOR REFORMS.
Mr Speaker, last year, I appointed a Minister to oversee the critical
reforms needed in the Public Sector. The reforms are to rationalise
operations in the sector, enhance the capacity of both the agencies
and their staff and restore discipline and pride of work among the
MDAs of Government.
A well functioning public sector should also become more supportive of
the Private Sector, in the spirit of Public- Private Sector Partnership,
which should be the cornerstone for the acceleration of the desired
socio-economic development.
Last year, government adopted a new wage reform policy to set up a
framework to ensure equal pay for work of equal value across the
spectrum of the Public Sector. To operate, this new policy, a Fair
Wages Commission has been set up to rationalise the entire sector's
salaries by removing distortions which, in the past caused confusion
and disaffection among Public Servants.
The exercise which was preceded by substantial increase of salaries
across the Board in this year's budget has put a strain on
government's financial targets. Government however sees the
increases as necessary investments to inspire public servants and
change their mindset towards higher productivity.
HUMAN RESOURCE DEVELOPMENT
Mr Speaker, in pursuit of the policy of Human Resource Development,
the government is embarking on ambitious schemes in capacity
building, skills acquisition, vocational training and application of
science and technology. The centre-piece of this policy is the New
Educational Reform to be launched in September, this year.
Already, following the introduction of measures like the Capitation
Grant, School Feeding Programme, and School Bussing Programme,
great strides have been made in school enrolments. It is expected that
by the year 2015 Ghana would have reached 100% enrolment of
pupils.
SECONDARY EDUCATION
At the secondary level, during the year, Government will commission
the first batch of model Secondary Schools, numbering thirty-one
(31), that have had their facilities upgraded. Contracts for the second
phase of the upgrading programme, involving twenty-five (25)
schools, have also been awarded; and construction has begun in many
places.
TECHNICAL AND VOCATIONAL EDUCATION
The same attention is being given to technical and vocational
education. Government is embarking on an accelerated programme of
construction, rehabilitation and equipping of technical and vocational
institutes, and polytechnics throughout the country.
TERTIARY EDUCATION
On tertiary education, government will continue with its programme of
expansion of infrastructural development to keep pace with enrolment.
Mr. Speaker, government acknowledges the contribution of the Private
Sector in this area, especially the sprouting of universities established
by religious bodies. Given the rapidly increasing population of
students, running into hundreds of thousands throughout the country,
the institutions are faced with demand for hostel facilities. Government
appreciates the role the GETFund is playing. Government is inviting
also the Private Sector to assist in meeting this need.
A scholarship scheme has been fashioned under the GetFund
Manpower Development Scholarship Scheme, to train faculty. In
2005/2006, some 60 faculty of tertiary institutions were sponsored for
overseas training. Conditions of service to attract bright young people
to make a career of lecturing at this level are also under consideration.
TEACHER EDUCATION
Mr Speaker, the entire reform is hinged on the central role of teacher
education. Thus, government is committed to upgrading all the 38
Teacher Training Colleges in the country. As part of the process, a
diploma programme was introduced in Teacher Training Colleges in the
2003/04 academic year. The first batch of teacher trainees will
graduate in June this year.
Central to the improvement is the emphasis on the study of science,
mathematics and technology. Indeed, 15 colleges have been selected
for extra specialisation in the teaching and learning of these three
subjects.
Vehicles and teaching and learning materials have been provided to all
teacher training colleges to facilitate the realiation of this project.
SCIENCE
The whole purpose of the reform is to encourage the development of a
scientific and development outlook throughout the nation and towards
this end. During the year, work on the establishment of two Biotechnology
Centres and a National Accelerator Laboratory will
commence. Construction of a Library and Computer Centre for the
newly established College of Nuclear Sciences will also begin.
SPORTS
The policy of the government is to re-position sports as the
embodiment of the spirit of the new Ghana. This should enhance a
sense of integration, peace and development. Government is
committed to sustaining the huge gains made at the 2006 Soccer
World Cup tournament as well as propelling the nation's sports
generally to new heights.
CAN 2008
In this regard, the country is gearing up for the hosting of the
continent's biggest football fiesta in the year 2008. The construction
of two new stadia at Sekondi and Tamale is on schedule and the
rehabilitation of the Accra and Kumasi stadia is also progressing
steadily. Arrangements for funding to support the construction of the
Cape Coast stadium are being finalized and construction is expected to
commence in the course of this year.
The senior national team, the Black Stars, will be given the motivation
and encouragement it needs to prepare adequately for the CAN 2008.
Did somebody say that we trounced a team from a neighbouring
country in London 2 years ago lately? This portends well for CAN 2008
and the 2010 world Cup later in South Africa.
MANPOWER DEVELOPMENT AND DEPLOYMENT
Mr Speaker, on the labour front, the National Youth Employment
Programme which was launched during the latter part of last year,
remains on course. Lessons learnt from 2006 will be fed into this
year's programme to explore both short term and long term
opportunities.
Other projects and programmes for the year include preparation of a
National Employment Policy Implementation of the Programme of
Action for eliminating the worst forms of Child Abuse; and Finalization
for submission to Parliament of the NGO and Trust Bill and the Persons
with Disability Bills.
PROVISION OF SOCIAL SERVICES
Mr Speaker, water supply has as high a priority as energy, as far as
this government is concerned. Towards this end, it has caused
boreholes, hand-dug wells and pipe system in their hundreds to be
constructed for rural water delivery.
For urban water delivery, never in the history of this country has a
more massive scale of construction of water projects been embarked
upon.
Outstanding among the projects is the one in Cape Coast, in the
Central Region, a 36.9 million Euro project to bring water from the Pra
River at Hemang is 58% complete. When commissioned in November
this year, water shortages that have so often disrupted the towns in
the area and the school calendar in Cape Coast and its environs will be
a thing of the past.
Similarly, rehabilitation of the water treatment plant at Kwanyaku, also
in the Central Region is about 95% complete and should be
commissioned before June this year. It will guarantee water for
Kwanyako, Swedru, and 30 to 40 small and medium towns and
villages in Gomoa and other parts of Ghana.
Also in the Central Region, Baafikrom, near Mankessim is a water
Project that has been going since 2006 and is to be completed in
2008. The project will provide potable water to meet demand into
2020 for Mankessim and towns in the area.
In Tamale, in the Northern Region, a 45.0 million Euro water project is
scheduled for completion in 2008. It will increase production capacity
to 9.3 million gallons daily, enough to meet demand up to 2015. All
the communities along the transmission line including Nyankpala,
Vitting, Shishegu, Savelugu, Kumbungu, Yapeligu, all the way to Pong
Tamale, Yoggu, Datoyoli and Walewale will benefit from the project.
Further, in the Eastern Region, another 35.8 million Euro project in
Koforidua is to be completed in early 2008. It will have an output of 3
million gallons a day, to meet demand up to 2025. Besides Koforidua,
the beneficiary communities include Ketenkye, Asokore, Oyoko,
Avalalikope, Kasakorpe, Bukuonor, Galorba Oterkpolu, Pleyo, Okper,
Odorkrom and Aboabo.
Mr. Speaker, another project which will make a big difference to
access to water is the Accra East-West Interconnection which is on
going and should be completed in 2008. It is designed to transport
water from Weija to the Okponglo booster station to augment supply
to Adenta, Madina, East Legon, Ashaley Botwe, Kwabenya, Asongman
and Dome.
Meanwhile, government is negotiating a credit line for work to start in
the second quarter of 2007 to desilt the Kpong Dam. This is the
second phase to the Accra East-West Interconnection. It will guarantee
sustained supply to the entire Accra-Tema Metropolis for decades to
come.
In view of the many water projects being undertaken, the fight against
water borne diseases has a better chance of success than ever before.
HEALTH CARE DELIVERY
Mr Speaker, our manpower development programme is seriously
compromised wherever ill-health intervenes. To guarantee soundness
of body, Government's programme for 2007 is one of
_ Promoting healthy lifestyles and healthy environment
_ Improving access to quality health, reproduction and nutrition
services
_ Capacity development for health delivery and also
_ National Health Insurance Scheme
There is little point to having excellent programmes and facilities that
for reasons of cost cannot be accessed by those who need health-care
the most. It is precisely for addressing the state that the National
Health Insurance Scheme is of utmost concern to this government.
Mr. Speaker, I am happy to report that, as at the close of 2006, the
number of District Mutual Health Insurance Schemes stood at 134, 11
more than the previous year. I can report further that 34% of the
population, had registered by the end of the year; 25%, had either
paid up their premiums fully or belonged to exempt groups; and close
to 18% had been issued with ID cards, entitling them to free access to
health services covered by the Scheme. This year, the Scheme is
expected to achieve 55% coverage.
Mr. Speaker, in present circumstances, I dare say that there is no
more affordable alternative to NHIS. Whatever our political affiliation
may be, we must value the health of our constituents sufficiently to
bring them on board the Scheme as soon as possible. Government is
aware of the problems the scheme is facing and is working on them.
Mr Speaker the fight against HIV/AIDS is succeeding and the
prevalence rate is down to 2.7 from 3.1 last year. Malaria is being
combated by a combination of Insecticide Treated Nets, preventive
medication, and advances in anti-malarial drugs. 100 per cent
coverage for measles immunisation in children is the national profile.
Emergency and Ambulance Services have benefited from the strategic
distribution of 50 ambulances and the establishment of 20 accident
stations in 8 regions of the country. A fully operational National
Accident and Emergency Centre is also coming up at the Komfo
Anokye Teaching Hospital in Kumasi.
DEVELOPMENT OF THE PRIVATE SECTOR
Mr Speaker, six years ago, when government announced the policy to
make the Private Sector the main engine for economic growth, it
sounded overly ambitious. So familiar were the seemingly intractable
problems which had made the sector unattractive to many an
otherwise potential entrepreneur. Today, as a result of the stabilising
macro-economy, improved public/private sector partnership which is
expected to be enhanced further through the on-going Public Sector
Reforms; conditions within the private sector are becoming more
conducive to business.
VENTURE CAPITAL FUND; MEDIUM & SMALL SCALE LOANS
SCHEME
The sector is being invigorated further through the provision of various
form of funding. In addition to various micro credit funds already in
the system, and the Venture Capital Fund introduced earlier, the
Micro-credit and Small Loans Scheme (MASLOC) was also launched
last year to give a further boost to the sector. MASLOC has offices in
all regional capitals and is in the process of establishing 345 subdistrict
desks throughout the country to make their services easily
accessible to potential beneficiaries. Government is considering setting
up an apex authority to oversee the administration of all these funds
to ensure efficient and focused implementation. The objective is to
empower the Private Sector further.
AGRICULTURE
Mr Speaker, agriculture the largest section of the private sector,
continues to be the mainstay of the national economy. Government's
policy is to enhance productivity of the sector through application of
science and technology and best practices. These include provision of
irrigation facilities, improved planting materials, effective extension
services and various forms of credit.
This approach was adopted in the cocoa industry; and the result has
been phenomenal, recording the highest production ever, of over
740,000 tonnes, during the 2005-2006 cocoa seasons. The target of
COCOBOD is to hit the one million tonnes mark within the next 3
years; and this will not be at the compromise of the world acclaimed
quality of the of the Ghana cocoa bean.
This policy of applying science and technology together with best
practices is being applied to the cultivation of legumes, cereals,
vegetables, staples like plantain and yam, and horticultural produce
like mangoes, pineapples and pawpaw. It explains their year-long
presence in the markets at fairly reasonable prices even during offseason
times these days.
THE MILLENNIUM CHALLENGE ACCOUNT
One of the highlights of the year 2006 was the signing in Washington
of the Compact of the US Millennium Challenge Account between
Ghana and the US. This has made Ghana beneficiary to an amount of
US$ 547million a pure brand for modernisation of her agriculture and
the transformation of her rural economy.
Mr Speaker, in this one huge project we are afforded the model of
what our agriculture should be. The vision is that the success will spill
over and be replicated throughout the country.
I commend the House for working with dispatch on the approval of the
MCA bill. The Authority to manage the Programme has been
established. Government will maintain oversight interest to ensure
that the objectives of the programme are met.
Let me call on the whole nation to show interest in this programme
which is expected to generate allied businesses like storage and
warehousing, sales and marketing, transportation and processing and
thereby create more than 2 million jobs for individuals both within
and outside the project districts.
TRADE AND INDUSTRY
Mr Speaker, this government initiated the President's Special Initiative
(PSIs) to promote the policy of making Ghana a leading agro-industrial
nation. The PSI is designed to showcase the best example of
Public/Private partnership. Government acts as facilitator for the
private sector to access resources, know how and best practices to
guarantee success.
Despite the great enthusiasm on the part of both government and
participating farmers, the PSIs encountered difficult teething problems
which have provided invaluable lessons for the future. The potential of
the PSIs for generating employment and foreign exchange, as well as
transforming the rural landscape is however not in doubt.
Government is therefore taking the necessary steps to re-energize the
PSIs to make them more functionally efficient and competitive.
For instance, the Ayensu Starch Factory which was established at
Bawjiase in the Central Region fell on poor supplies of the raw material
and uncommitted personnel. Government has instructed a review of
the processes there; and expects that by April this year, the factory
will resume operations.
Similarly, at the PSI for Oil Palm, 50,000 acres of nurseries have been
frustrated by poor flow of working capital. Government has instructed
a thorough review of the problem so that the targeted 500,000 acres
can be reached within the next five years.
Under the PSI for Garments and Textiles, 9 factories have already
been established, with capacity to employ almost 4,000 people. 10
new factory units are also being established in Kumasi, Koforidua and
Tema. The primary export destination for the garment products is the
United States of America under the AGOA Initiative. Significantly, this
year, a major conference of all the countries enjoying the AGOA status
is being held under the joint auspices of the governments of US and
Ghana, in Accra.
In the case of the PSI for Salt, this year, some producers are making
major strides with their ventures. Those lagging behind will be
provided with credit facilities to expand their production units, whilst
others will be helped to improve their technology and production
operations.
Under the Government's programme for revitalizing distressed Stateowned
Enterprises, the Pwalugu Tomato Factory has been rehabilitated
and will resume production this year, with over 1,300 farmers being
supported to cultivate tomato to feed the factory.
Under the same programme, the old Juapong Textiles Company is
currently being re-activated with some Chinese company and will also
commence full scale operations in April this year, employing about 800
people initially.
INFRASTRUCTURAL DEVELOPMENT
Mr Speaker, there is a popular saying that "businesses follow roads".
In line with this, government is extending a network of roads to all the
corners of the country, and even beyond to link us to our immediate
neighbours in the sub-region of West Africa. The work that has been
done in this respect in the past six years is phenomenal. Honourable
Members may from time to time want to drive through some of our
new roads like the Accra-Kumasi; Accra-Cape Coast; Accra-Sogakope;
Accra-Aburi-Koforidua; Agona Nkwanta-Tarkwa or the Kumasi-
Techiman and Bamboi-Tinga roads to see developments for
themselves.
Throughout the country, similar vigorous developments are occurring
in the case of trunk and feeder roads.
AVIATION
Mr Speaker, with respect to aviation, our vision is to make Ghana the
hub of the sub-region. The need to pursue this vision has become even
more urgent given the steady growth of the economy and the level of
investor interest. Towards this end, the ongoing developments of the
Kotoka airport will continue and the regional airports such as Kumasi,
Sunyani Bolga and Wa are all to be brought up to standard. This will
facilitate all weather movement around the country by tourists and
also for CAN 2008 football funs.
INFORMATION AND COMMUNICATION TECHNOLOGY
Mr Speaker, today the revolution of Information Communication
Technology is fundamentally changing the way the world works and
decreasing the marginal cost of production and raising productivity
across all industries. The Government will continue to place emphasis
on the potential of Information and Communications Technology (ICT)
to provide the foundation for transforming the nation's economy.
Government has accordingly integrated the Ghana ICT Policy for
Accelerated Growth as a driver and enabler, within the Growth and
Poverty Reduction Strategy (GPRS II).
To ensure that every District has access to high speed internet
connection and promote a wider penetration of ICT services
throughout the country, including distance education and telemedicine,
the Government has secured from the Government of China,
a concessionary loan facility of $30 million to construct a national Fibre
Optic Communication Backbone. This project will start this year and
will go a long way to mainstream our economy in the digital world.
Mr. Speaker, Government has secured another facility of $40 million
from the World Bank towards the Ghana project. The implementation
of this project is expected to increase employment through Business
Process Outsourcing (BPO), enhanced revenue collection, the
computerization of IRS and other revenue agencies and increased
human capacity development in the ICT enabled sector.
The National Information Technology Agency (NITA) will also be
established to coordinate the implementation of various e-government
projects throughout the country including the formulation of a national
enterprise IT architecture. Government intends to pass an e-
Transaction Bill this year. This will tackle issues of data protection,
cyber crimes, intellectual property and security. There will be positive
outcomes for business and for consumers, giving all parties greater
confidence in e-commerce.
The positive policies adopted by this government and sustenance of
competition have led to a tremendous increase in telephone
subscriptions in both the fixed and mobile sectors. From a figure of
215,000 subscribers in 2001, the number has shot up to about 4.5
million as of September 2006. Despite these increases, Government
intends to create a more competitive market structure by privatizing
WESTEL and Ghana Telecom in the course of this year.
Mr. Speaker, the ultimate aim of Government's strategy is to
transform Ghana into a country with sufficient and efficient,
communications infrastructure. This will be driven by appropriate
technological innovations accessible to all citizens.
NATIONAL IDENTIFICATION SYSTEM
The implementation of the National Identification System has reached
a critical stage. Mass Registration is about to take place for the
realization of this objective in the first quarter of this year.
Given the sensitive and security concerns associated with national
identification systems, a Bill will be presented to Parliament with a
view to regulating the processes.
The citizens identity card will address most of the issues of national
concern including the need for reliable data for national planning, for
poverty reduction programmes, Control of fraud, school enrolment and
planning; issuance of passports and drivers' licence, identification of
customers at banks and even for disaster management.
This is a very important national programme which needs the support
of all and sundry.
GOOD GOVERNANCE
Mr Speaker continued good governance is a top priority policy which
has underpinned all activities of this government for the past 6 years.
It has been extremely important to enhance citizens' participation in
governance at all levels and also, implement policies and programmes
that will enable them realise their full potential in an atmosphere of
peace and security.
Government is facilitating the on-going local government system to
deepen citizen participation even further. At the moment, the
composite budgeting system has been introduced to enable Assemblies
to appreciate the quantum of funding available for their functions. This
system will enable Assemblies to prioritise their needs, and rationalize
their spending.
The Assemblies should also realise that that with the expansion of the
mandate of the Ministry of Local Government to cover the
Environment, they have received additional charge to manage their
own environment and sanitation.
Mr Speaker, for the past 6 years, government has invested huge sums
of money in training and equipping the police and also in increasing
the numerical strength of the staff to enhance the quality of policing
and the law and order situation in the country. In 2006 alone, 3,547
new police personnel were recruited into the service. This is reflected
in the improving law and order situation in the country.
Mr Speaker, I want to appeal to all our traditional societies with the
country to be mindful of the need for peace as the bedrock of our
development and as a result shun all matters that will degenerate into
conflicts and instability in their respective areas. I find it necessary to
make this appeal because of continued reports from all over the
country. As much as possible, all misunderstandings should be
resolved peacefully or in the final resort with recourse to the law.
I must also mention the menace of drug pushing and trafficking which
threaten not only our peace and security as a nation but also the
country's hard-won image and reputation.
Government in partnership with concerned international agencies is
determined to wage a relentless war to eradicate this menace. All
parents and responsible citizens should rally to support government in
this effort.
FOREIGN RELATION
Mr Speaker, last year, Ghana had the honour of chairing the UN
Security council. Just last week, at the African Union Summit in Addis
Ababa Ghana was elected unanimously to the Chair. This is certainly a
huge honour for our country. Clearly, our policies are yielding results
both locally and internationally. Ghana will use this unique opportunity
to advance the cause of peace and development on the continent.
Further, Ghana will remain committed to her international bi-lateral
and multi-lateral obligations. Our nation will maintain its policy of
good-neighbourliness at sub-regional and continental levels. Ghana
will also continue to play an active part in peace keeping programmes
in a bid to promote global peace.
Mr Speaker, I wish to use this occasion to thank our development
partners and the international community who have supported
Ghana's development efforts so far.
PRESIDENTIAL COMPLEX
Last year, I told the nation through this august House the need for a
befitting Presidential Complex for Ghana. I am happy to report that
work has begun on such a complex, at Flagstaff House. By the end of
the year, God willing, the project would be completed. Refurbishment
of Peduase Lodge is also on course.
GOLDEN JUBILEE CELEBRATION
Mr Speaker, I have noted with joy report of a special sitting of
Parliament on Monday, February 5, where young people held a "Mock
Parliament" as part of the Ghana at 50 celebrations. I understand the
House was full; and I hear that those who were privileged to witness
the ceremony left with the reassurance that the future of our country
would be safe in the hands of the young people who were the
parliamentarians for the day.
But side by side with this exuberance and hope for the future, isn't it
sad, Mr Speaker, that there are some people who are arguing that
there should be no celebrations to mark this jubilee year of our
nationhood? And the reason they cite is poverty. It is as though joy
issues exclusively out of money. Mr Speaker we should all as citizens
of Ghana be careful that we do not become known as those who know
the cost of everything but the value of nothing.
Yes Mr Speaker, we have had, and we still have difficulties; we have
had what might be called a chequered history and to quote
everybody's favourite teacher, "we could have done better". It is true
that as a nation we have fallen short of the high aspirations with which
Ghana was ushered into independence on March 6 1957.
But it is equally true that we have recovered our track and are making
headway. We therefore have cause to celebrate. Fortunately most of
us appreciate the values which have helped us to rediscover ourselves
as a nation and we should be thankful to the Almighty God for this
discovery.
Let us think of ourselves in the best possible terms; and use the
opportunity of this jubilee year to uplift our spirits and the national
psyche. We should be careful not to miss our way again. Let us resolve
to cherish our national Constitution and let us be each other's keeper.
This is the time to take pride in our land and in ourselves; let us
celebrate Ghana. After all, this is the land of freedom and justice.
And so Mr Speaker I say long live Ghana and with this, I wish Mr
Speaker, honorable Members of Parliament and all a happy yearlong
50th anniversary celebration.
Mr Speaker, thank you and may God bless Us All.