Upload
others
View
4
Download
0
Embed Size (px)
Citation preview
CommentaryGrowth and Stability towards a “Better Ghana”
Among the many challenges faced bythe new Government when they tookoffice in January 2009 were theeffects of a global recession on thecountry, a period of unusually highfood prices, pressure on the GhanaCedi and a significant budget deficit.It was therefore not surprising that2009 was dedicated to taking controlof the Government machinery,appraising the available resources,obligations and commitments andstabilising the economy.
The outlook for 2010, however, doesappear a little more optimistic: Ghanais still enjoying the benefits of apeaceful political transition, gold andcocoa prices are at or near all timehighs, and the world is beginning toemerge from the worst recession inrecent history. Furthermore, Ghanais still attracting foreign directinvestment, the Ghana Cedi has inrecent months stabilised somewhatagainst the major internationalcurrencies and the country is gearingup for the first production of oil andgas in the last quarter of 2010.
Given these positives and a targetGDP of 6.5% (as against an actual of4.7% at September 2009), one wouldhave expected bolder and moreaggressive initiatives in 2010.However, the Government’s policiesfor the coming year appear slantedtowards sustained stability whilepursuing moderate growth.
The question remains then: to whatextent does the 2010 budget createthe necessary enabling environment
for the sustained growth required forthe envisaged “Better Ghana”?
The macroeconomic policies pursuedso far have stabilised the economy,though inflation and interest rates arestill relatively high. Increasing oil andfood prices may well re-emerge aschallenges to bringing down inflationin 2010. The Government will alsohave to maintain the macroeconomicequilibrium in order to continue toattract the private capital necessary topartner the Government in itsprogrammes, especially in theenvisaged public private partnershipsfor infrastructure projects.
Prudent Government spending islaudable but the Government needsto find the right balance betweenincreasing spending on key projectsthat drive the economy while keepinginflation in check. Single digit inflationwithout reasonable and sustainableeconomic activity may not generatethe necessary growth level for therealisation of the middle class percapita income envisioned by 2020.
It is generally accepted that somedegree of protectionism for localindustries and agricultural subsidiesmay be necessary to nurture andgrow these industries and theGovernment initiatives on these are inthe right direction. The true economicimpact of the restoration of duties onselected food items and textiles willbe dependent largely on the ability ofthe Government to prevent illegalsmuggling of these products and thecapacity of local industry to fill thepotential production gaps.
2010 Budget Highlights*
*connectedthinking
The 2010 BudgetStatement andEconomic Policy wasdelivered toParliament onWednesday, 18November 2009 by DrKwabena Duffuor,Minister of Financeand EconomicPlanning.
We outline in thispublication some ofthe principal matters inthe Budget Statement.
In this Issue:
Commentary
Overall Summary
The Economy
Direct Taxationand VAT
Customs & Excise
Sectoral Outlook
Glossary
We will point out thatin prior years, changeshave often been madeto the proposals in theBudget Statementbefore the relevantbills have beenpublished andenacted.
PricewaterhouseCoopers Ghana Budget Highlights: Commentary 2
Commentary
Against this backdrop, the proposedmodernisation of the agriculturalsector should make a positivecontribution to food production andemployment creation.
The Government should expediteaction on the proposed establishmentof the framework for ensuringtransparency and accountability inrelation to oil revenues andcompliance with the ExtractiveIndustries
Transparency Initiative (EITI)principles. It is imperative that theframework also provide a levelplaying field for all stakeholders. Theframework should be dynamic andproactive in identifying possibledifficulties and provide a mechanismfor incorporating any requiredchanges during implementation.
Much of the Government’s recentinitiatives to raise revenues appear tohave been focused on certain specificindustries. The introduction earlierthis year of the National FiscalStabilisation Levy, which is applicableon accounting profit before tax, was amajor surprise for those in the mining,communications, insurance, breweryand the banking and non-bankingfinancial industries. The 2010 budgethas added to the burden for themining industry by raising theminimum royalty percentage to 6%and the brewery industry will also beaffected by the reversion from specificto ad valorem excise duty.
Whilst the Government rightly needsto identify ways to mobilise revenues,it should be cognisant of not sendingthe wrong message to current andpotential investors. It is important torecognise that for the capital intensiveindustries such as mining andtelecoms, the investments made ininfrastructure and plant are bothsignificant and long-term. Theperception that Government mayincrease rates of taxes and introducenew levies frequently will raiseconcerns therefore for long-terminvestors. Of course the newestindustry in Ghana, oil and gas, alsofits into this category. It is hoped thatthe Government will recognise thatallowing long-term investors to
become profitable will lead toincreased tax revenues andincreased employment opportunities.
The Budget Statement also appearsto be silent on a number of otherimmediate concerns of CorporateGhana which hoped to see:
Significant revision to thewithholding tax system includinglowering the rate and allowingselected taxpayers to pay byinstallment, especially largetaxpayers;
Re-instatement of losses carriedforward for at least 5 yearsminimum for all sectors as thiswill ensure equity and fairness toall taxpayers and allow Ghana tobe competitive as compared toother countries;
Speeding up the process forobtaining tax clearancecertificates;
Elimination of the NationalHealth Insurance Levy, whichwas introduced five years ago asa temporary measure, now thatthe new Pension Scheme is inplace; and
Simplification of Value AddedTax procedures/arrangementsfor oil contractors andsubcontractors under therespective PetroleumAgreements.
Finally, we wish to note that speedyimplementation of Government’spolicies is of the essence. CorporateGhana, though optimistic, hasexpressed concern about the rate ofprogress in “jumpstarting” theeconomy.
PricewaterhouseCoopers Ghana Budget Highlights: Commentary 3
Commentary
It is our hope that as the budgetprocess enfolds and as the enablinglegislations are tabled, the quantumof several of the new revenueproposals will be quantified and thelinkages between the 2010 Growthand Stability initiatives and thecreation of a “Better Ghana” througha “transformed and prosperousnation” will be visibly and amplydemonstrated for all.
PricewaterhouseCoopers Ghana Budget Highlights: Overall Summary 4
Overall Summary
The Economy
This is the second budget of theNational Democratic Congress (NDC)Government under the leadership ofH.E. Professor John Evans Atta-Millsand the first in the Government’sMedium Term Growth Strategy (2010-2012).
With this budget the Government isseeking to set itself on the course toachieving the vision of creating a‘Better Ghana’ through a transformedand prosperous nation.
2009 performanceTarget2009
Actual(projectedto end of2009)
Real GDPgrowth
5.9% 4.7%
12-monthCPIinflation(average)
15.3%
19.1%(revised)
19.5%
End periodinflation
12.5%
14.6(revised)
17.5%
Grossinternational reserves
More than 2months ofimport cover
2.5 monthsof importcover
Overallbudgetdeficit
9.4% of GDP 10.2% ofGDP
Source: GoG 2010 Budget Statement
2010 Vision
The Government’s economic policiesand fiscal management in 2009 helpedin achieving some levels of stabilityafter the initial decline. The 2010budget aims at growing the economythrough job creation intended toimprove the quality of life of thecitizenry. The Government hopes toachieve growth and stability in 2010by:
Sustaining the macroeconomicstability and fiscal disciplineachieved in 2009;
Positioning Ghana for sustainedgrowth through the modernisation ofagriculture, key infrastructure, oiland gas projects, ICT and privatesector development; and
Delivery of social programmestargeted at poverty reduction.
2010 Fiscal Year Objectives
The key economic and financialobjectives of the budget are:
Real GDP growth of 6.5%;
Average inflation of 10.5%;
End of period inflation of 9.2%;
Gross international reserves notless than 2.5 months of importcover; and
Overall budget deficit of 7.5% ofGDP.
Overall Summary2010 Budget: “Growth and Stability”
2010 Budget Highlights*
*connectedthinking
PricewaterhouseCoopers Ghana Budget Highlights: Overall Summary 5
Overall Summary
Taxation
The Government’s drive tosignificantly increase revenue fromtaxation will continue in 2010. Thetwo-pronged approach is to improvegeneral tax administration throughthe consolidation of the three taxagencies into one – GhanaRevenue Authority (GRA), whilstimplementing specific policies toblock areas of leakage and broadenthe coverage of the customs andexcise tax regime.
The tax administration reform will bein two phases. The first phase willinvolve improving the servicedelivery of the Large Taxpayer Unit(LTU) under the GRA to guaranteea true one-stop service deliverypoint. In the second phase, a Smalland Medium Taxpayer Unit will beestablished and the integration ofthe Internal Revenue Service (IRS)and VAT Service into the GRA willbe implemented.
Direct Taxation
The Government proposes toreview the personal income taxthresholds to achieve fair andequitable taxation.
Additional tax revenue is expectedfrom the change in the mineralroyalty rate from a range of 3% to6% to a fixed rate of 6%. TheGovernment also expects morerevenue from an improvedadministration of theCommunications Service Tax.
Value Added Tax
The Government plans to undertakesome measures to ensure itachieves its VAT target in 2010.These include substantiallyincreasing the VAT threshold inphases, withdrawing someexemptions granted and simplifyingthe VAT laws to encouragecompliance.
Customs & Excise
Some key policies will beimplemented in 2010 to increaserevenue generation from customs &
excise duties. These are broadlyaimed at reducing or eliminatingsome tax exemptions anddiscretionary waivers that arecurrently being granted toorganisations and certain groups ofindividuals: diplomats, healthofficials, parliamentarians andteaching staff. In addition,exemptions granted on theimportation of some food itemsintroduced during the period ofincreasing food prices in 2008, suchas rice, wheat and vegetable oil willalso be reversed. TheGovernment’s target is to reduceimport exemptions by 20% in 2010.
To address the problem ofleakages, the Government intendsto improve the controls on thegranting of exemptions to NGOs.
It is also proposed that in 2010, theissuance of permits shall becomputerised. This is to simplifythe issuance process and eliminateleakages associated with thecurrent manual process.
Sectoral Outlook
Information CommunicationTechnology (ICT)
The Government wishes toestablish a scheme of serviceaimed at attracting and retainingqualified information technology/information management (IT/IM)personnel in the public sector asenablers and drivers of the publicsector reform. The scheme will alsoserve as a framework for ICTtraining institutions. The ultimategoal is to achieve IT literacy andbuild capacity.
The Government will pursue thedevelopment of policy guidelines forthe IT industry such as thedevelopment of a Technology Parkunder the MSME project and an e-Government Points of Presence tolink all district capitals to thenational high speed broadband.
PricewaterhouseCoopers Ghana Budget Highlights: Overall Summary 6
Overall Summary
Telecommunications
The Government intends to improvethe operations of thetelecommunications sector throughmonitoring and collaboration withthe industry players.
The Government’s plans for thesector in 2010 include:
Completion of the NationalCommunication Backbone fromTamale to the rest of northernGhana; and
The installation of aConsolidated NationalGateway Monitoring System toaccelerate the development ofmobile telephony throughoutGhana.
The Government will monitor theimplementation of the recentlypassed Communications SectorActs.
Energy
The Government continues to focuson expanding the country’s energygeneration capacity. Projects toboost energy production include thecompletion of a 49.5 megawattTema Thermal 2 Power Project(TT2PP).
To promote renewable energy, theGovernment intends to implementthe Electricity market rules, NationalElectricity Grid Code of Practice andRefrigeration Efficiency Project. TheGovernment will continue toenhance the solar electrificationprojects across the country andimplement grid-connected solar PVand wind systems, rehabilitate thegrid-connected solar system anddevelop a licensing and monitoringframework for the industry.
Oil production is expected to start atthe Jubilee fields in the third quarterof 2010. Exploration will continue atthe Deep Water Tano and WestCape Three Points Contact Areas.The Government also intendssetting up the necessaryinfrastructure to ensure optimisation
of natural gas resources from thesefields.
Education
The Government intends toencourage pre-school educationacross the country by constructing200 classroom blocks with ancillaryfacilities in 170 cost centres. It alsoplans to provide free education fordisabled children of school goingage. At the tertiary level, there areplans to establish two newuniversities through Public PrivatePartnerships.
A National Youth Law will beenacted to replace NRCD 241 of1974. The objective is to create aCommission on Youth to give theNational Youth Council theautonomy to perform its functions.
The Government has targeted theengagement of 100,000 youths onthe NYEP with emphasis on thefollowing modules:
Trade and Vocation;
Mobile Phone Repairs;
Assembling Module;
Youth in Agriculture; and
Youth in Construction.
Health
The Government is to strengthenthe emergency health services. TheGovernment will also focus oncomplementary and supplementaryfeeding of infants, children,pregnant women and nursingmothers as part of a nutritionalprogramme.
PricewaterhouseCoopers Ghana Budget Highlights: Overall Summary 7
Overall Summary
Operations of the National HealthInsurance Scheme (NHIS) are to beimproved in areas of claimsmanagement and coverage of thepoor. The NHIS will also be linkedwith the Livelihood EmpowermentAgainst Poverty (LEAP)programme. The Governmenthopes to conclude preparatoryactivities for the implementation ofthe one-time payment of premiumspolicy.
The Ministry of Health willundertake infrastructural projects toimprove the sector, including:
Completion and commissioningof the Korle-Bu TeachingHospital Medical Block and theGhana Health Service LearningCentre at Pantang;
Construction andcommissioning of 5Polyclinics/Health centres in theNorthern Region; and
A 100-bed general hospital withmalaria research centre atTeshie.
Agriculture
The Government continues to placeemphasis on agriculture as thebackbone of the economy byproposing to improve on foodsecurity and increasing foodproduction. This is to be achievedby effective monitoring of marketprices through maintenance ofbuffer stocks and improving thetechnology used by small farmers,developing fishing infrastructure,and establishing one mechanisationcentre in each district.
In partnership with the AfricanDevelopment Fund, theGovernment is determined torevamp the cotton industry and hasagreed to conduct a diagnosticstudy of the opportunities andconstraints facing the industry.
A grant has been contracted tofinance a feasibility study on theAccra Plains Irrigation Project.
The Government will continue tosupport the cocoa sector byintroducing new producer prices,bonus payments and a SpecialHousing Scheme and byestablishing a Social Security Fund.
Trade and industry
The Government plans to expeditethe implementation of an ElectronicPermit Insurance System (EPIS)and National Traceability System(NTS). The EPIS is expected toimprove speed of clearance at portsof entry as well as reducepaperwork. The NTS will help trackand trace all fresh and processedfood products from Ghana.The Government will also continueto implement programmes in linewith the Trade Policy to support thegrowth of non-traditional exports.
Other policy initiatives
Other key policy initiatives for 2010include:
Implementation of a SingleSpine Pay Policy in January2010;
Operational review of the LEAPto improve its instruments,structures and procedures;
Establishment of a QualityAssurance Review Scheme(QARS) at the Ghana AuditService and five other MDAs;
Implementation of the 2009Domestic Violence NationalPlan of Action;
Interface the NationalIdentification Programme withuser agencies such asImmigration, Police andFinancial Institutions;
Computerisation of theChamber and Committeerooms of Parliament;
Introduction of GSM / GPRS e-monitor system to trackcollections for MDAs;
PricewaterhouseCoopers Ghana Budget Highlights: Overall Summary 8
Overall Summary
Facilitation of the enactment ofrelevant legislation to provide aconducive legal, regulatoryand policy framework forPublic Private Partnershiptransactions in the energy(refineries, expandingpetroleum distribution pipelinenetwork) and transport (roads,railways, airport, sea ports)sectors;
Implementation of the newPension Scheme from 1January 2010, which willrequire additional contributionsfrom both employers andemployees of 0.5%;
A GCEDA will be established in2010 to identify, train andmentor Ghanaian investors;and
Establishment of the PensionsRegulatory Authority tofacilitate the implementation ofthe Pensions Act, 2008 (Act766).
Implementation Challenges
The Government recognises thefact that the successfulimplementation of the budget maybe adversely affected by thefollowing domestic and externalfactors:
The possibility of crude oil pricerising above the expected levelsin 2010;
Delay in the recovery of theglobal economy.
Unexpected fallout from theimplementation of the SSPP.This policy entails significantfinancial outlay on the part ofthe Government, hence theneed to roll it out in phases overa five year period.
PricewaterhouseCoopers Ghana Budget Highlights: The Economy
Overall Summary
The Economy“A better Ghana” – the st
The Economy in 2009
Following a wide range of initiativesand interventions by theGovernments and multinationalinstitutions, the global economyfinally showed signs of recovery,albeit at a slower pace thanexpected.
The Ghanaian economy, however,continued to suffer from the pass-through effect of the crisis, causingincreased inflation, which peaked at20.6% in June 2009, and acorresponding increase in the PrimeRate, which was raised by the BoGto 18.5% in February 2009.
The Standard Bank Carry Traderanking for October 2009 rates theGhana Cedi as the most preferredcurrency for trade, out of 24emerging countries’ currencies
Key indicators reported in thebudget statement were:
Preliminary real GDP growthbased on a mixture of provisionalactual data and projections up toSeptember 2009 is estimated at4.7% against a year and target of5.9%;
Inflation rate was 18% at the endof October 2009, higher than theyear end target of 12.5%;
2010 Budget Highlights*
*connectedthinking
Real GDP grew by4.7%
Inflation rate at end ofOctober 2009 was 18%
Overall budget deficit of10.2% of GDP isprojected for 2009compared to a target of9.4% of GDP
The overall budgetdeficit as at September2009 is 6.4% of GDPwhiles the projected tothe end of the year is10.2% of GDP for 2009
9
ory so far
Gross international reserveswere about 2.4 months of importcover of goods and services asat the end of September 2009compared to a year end target ofmore than 2 months coverage;and
Overall budget deficit as atSeptember 2009 was 6.4% ofGDP and was projected at10.2% of GDP for the periodended December 2009 asagainst a target of 9.4% of GDP.
Although the Government should becommended for its efforts atreducing the overall budget deficit,its inability to meet its 5.9% realGDP growth target will requireaggressive growth strategies toattain its real GDP growth ratetarget of 6.5% in 2010.
Fiscal Performance
Total receipts for 2009 are projectedto be GH¢8,659.3 million, 13.8%below the target estimate ofGH¢10,045.9 million.
This decrease is due to thefollowing factors:
Receipts from tax revenue forthe first three quartersamounted to GH¢3,249.0million, against a target ofGH¢3,633.5 million, 10.6%below budget; and
PricewaterhouseCoopers Ghana Budget Highlights: The Economy 10
The Economy
Receipts from non-tax revenueamounted to GH¢352.7 million,14.4% below the budgetedamount of GH¢412.2 million.
Total payments comprisingstatutory and discretionarypayments amounted to GH¢6,266.4million, equivalent to 29.7% ofGDP, against a budget ofGH¢7,189.9 million, equivalent to33.2% of GDP.
The revenue shortfall coupled withthe Government’s commitment tosettle a considerable amount ofarrears it inherited, implies that itwill be a challenge to fullyimplement all its projects in 2010.
Monetary Policy
The Government’s fiscalconsolidation stance and tightmonetary policy together with animproved food harvest led to thereduction of inflation from its peak of20.7% in June 2009 to 18.0% byend of October 2009.
BoG raised its prime rate from 17%in December 2008 to 18.5% inFebruary 2009, maintaining it at thislevel through to the end ofSeptember 2009.
The benchmark 91-day Treasury billrate firmed up marginally to 25.9%in the third quarter compared to25.3% and 25.8% in the first andsecond quarters respectively.
The Ghana Cedi has weakenedagainst major foreign currencies forthe first six months of the year.However, in recent months theGhana Cedi stabilised against theUS Dollar.
Broad money supply (M2+) sloweddown significantly from 40.2% inDecember 2008 to 25.8% inSeptember 2009.
Although the Ghana Cedi hasstabilised in recent months againstthe US Dollar, its stability may bethreatened by external factors such
as the potential increase in worldcrude oil prices.
Balance of Payments (BoP)Outturn for 2009
Ghana’s balance of paymentsimproved significantly over the firstthree quarters of 2009, recording anoverall deficit of US$29.5 million,compared to a deficit of US$716.8million in the first three quarters of2008.
Provisional estimates of exportearnings are US$4,229.7 million inthe first three quarters of the year,reflecting a 3.8% increase over the2008 level. The increase is as aresult of price increases in thecountry’s major exports, mainlycocoa and gold.
Total imports declined by 23.4%from US$7,834.1 million in 2008 toUS$6,003.5 million in the first threequarters of the year.
Total oil imports are estimated atUS$1,083.9 million in the first threequarters of 2009 compared withUS$2,017.6 million for the sameperiod in 2008, reflecting a drop of46.3%.
The cost of crude oil importsdeclined substantially fromUS$1,190.1 million for the first threequarters of 2008 to US$294.8million for the same period in 2009due partly to lower prices. Non-oilimports declined by 15.2%, fromUS$5,816.5 million in 2008 toUS$4,919.6 million in 2009.
It appears that increases in theprices of cocoa and goldsignificantly contributed to thecountry’s balance of paymentposition. Given the unpredictablenature of these prices on the worldmarket, the Government shouldtake steps to improve other sectorsof the economy to sustain this trend.
Bank of Ghana’sprime rate remainedconstant at 18.5%from February 2009to end of September2009
The 91-day Treasurybill rate increasedmarginally in the thirdquarter to 25.9%
In recent months theGhana Cedi stabilisedagainst the US Dollar
Ghana’s balance ofpayments improvedover the first threequarters of 2009,recording an overalldeficit of US$29.5million, compared to adeficit of US$716.8for the same period in2008
PricewaterhouseCoopers Ghana Budget Highlights: The Economy 11
The Economy
Summary of SectoralPerformance
The following sectoral outturns areprojected for 2009:
2009Outturn
2009Target
Agriculture 6.2% 5.7%
Services 4.6% 6.6%
Industry 3.8% 5.9%
The lower-than-expected growth inthe Industry sector was explainedprimarily by a contraction of activityin the construction sub-sector,whilst that of the Services sectorwas mainly due to the poorperformance of the Wholesale &Retail, Restaurants & Hotels andGovernment Services sub-sectors.
The Government aims to moderniseand diversify agriculture. This iscrucial for the achievement of theGovernment’s growth and stabilityobjectives as the agriculture sectorcontinues to be the backbone of theeconomy. Modernisation of thesector will further enhance foodsecurity and provide avenues for jobcreation.
Developments in West AfricanMonetary Zone (WAMZ)Countries
The average weighted real growthfor the region was projected at5.5%, compared to 6.7% in 2008.
Growth weakened in 2009 relativeto the past three years for countriesin WAMZ as a result of the impactof the global economic crisis andsocio-political upheavals. Theimpact of these factors wasparticularly severe in Guinea.
Low export earnings and lowremittances weakened the capacityof most countries to earn enoughforeign exchange. These forcedcountries to draw down on their
foreign reserves to meet importneeds. Consequently major localcurrencies like the Naira and theLeone lost 25.9% and 7.4% againstthe US Dollar, respectively of theirvalue between December 2008 andthe end of June 2009.
Due to the continuing challenges inrelation to the adoption of the ECOcurrency, a new deadline of 1January 2015 was set for theintroduction of a single currency andmonetary union in the WAMZ.
Since previous deadlines have notbeen met it remains to be seenwhether the countries in the WAMZwill be able to meet the requiredconvergence criteria by the planneddate of 1 January 2015.
The World Economy
Developments in 2009 andOutlook for 2010
The October 2009 World EconomicOutlook (WEO) projects that theglobal economy will contract byabout 1.1% in 2009 and expand byabout 3.1% in 2010, well belowrates achieved before the crisis.
Annual growth in 2010 for advancedeconomies is projected to be about1.3%, following a contraction of3.4% in 2009.
In emerging and developingeconomies, growth is projected at5.1% in 2010 up from 1.7% in 2009.The rebound will be driven mainlyby China (9.0%), India (6.4%),Africa (4.0%) and a number ofemerging Asian economies.
Inflation Rate
Generally, the world’s inflation rateis expected to slowdown in 2009.The Euro zone is expected to close2009 with an inflation rate of 4.7%,declining to 4.2% by the end of2010. Average inflation in Africa isprojected to fall from 9.0% in 2009to 6.5% in 2010.
Agriculture, Servicesand Industry sectorsgrew by 6.2%, 4.6%and 3.8% respectively
A new deadline of 1January 2015 for theadoption of the ECOhas been agreed upon
Growth in 2009 forcountries in WAMZweakened as a resultof the impact of theglobal economic crisis
PricewaterhouseCoopers Ghana Budget Highlights: The Economy 12
The Economy
Oil
From a low of US$36 per barrel inFebruary 2009, oil prices climbed toUS$76 per barrel by earlyNovember 2009.
Gold
Average international gold priceincreased from US$909 per ouncein the first quarter of 2009 toUS$960 per ounce in the thirdquarter and further increased toUS$1,043 per ounce in October2009.
Cocoa
Cocoa price moved sharplyupwards from the first quarter of2009 from an average price ofUS$2,597 per tonne to US$3,360per tonne in October 2009. Theprice increase has been drivenpartly by a shortfall in production inCote d’Ivoire, the world’s largestproducer, and a weaker US Dollar.
Overview of MacroeconomicFramework for 2010
To consolidate the gains achievedfrom the implementation of itsstrategy of macroeconomic stabilityand growth, it is the intention of theGovernment to attain the followingkey macro-economic targets in2010:
Real GDP Growth of 6.5%;
Overall budget deficit equivalentto 7.5% of GDP;
Average inflation rate of 10.5%;
End of period inflation of 9.2%;and
Gross international reserves ofnot less than 2.5 months ofimport cover.
Overall, the 10.5% average inflationtarget appears to be optimisticconsidering the volatility of crude oilprices in recent years and its impacton the economy. As a net crude oilimporting country, a substantial risein the average price of crude oil asthe world economy recovers, willadversely affect the economy.
Real Sector
In order to achieve the target GDPgrowth rate of 6.5% the followingsectoral growth rates have beenprojected:
Sector Rate
Agriculture 6.0%
Industry 6.6%
Services 6.8%
The crops and livestock subsectoris expected to see high growth of7% on the backdrop of improvedcrop productivity through the use ofhigh yield crops, improved irrigationmethods and the use of pesticides.
The increase in the producer priceof cocoa will encourage higherproduction which will also supportthe projected real GDP growth.
The projected 6.6% growth in theindustry sector is largely due to theexpected pick-up in constructionactivities related to railways, roadsand oil and gas envisaged in 2010.
The projected 6% outturn foragriculture is conservative,considering the 6.2% outturnachieved in 2009.
Fiscal consolidation measures in2010 and beyond
To enhance revenue mobilisationand expenditure management, thefollowing structural reforms initiatedin 2009 to achieve fiscalconsolidation will be continued in2010.
PricewaterhouseCoopers Ghana Budget Highlights: The Economy 13
The Economy
Treasury Single Account
The Government has started theimplementation of the TreasurySingle Account program outlined inlast year’s budget. A number ofMDA bank accounts have beenclosed at the Bank of Ghana and aTreasury Single Account has beenopened to link all the Governmentaccounts to ensure efficientmonitoring and use of cashbalances.
Financial Management andInformation System
The existing Budget and PublicExpenditure Management System(BPEMS) is being upgraded andexpanded under a user drivenGhana Integrated FinancialManagement Information System(GIFMIS).
Monetary Policy, Exchange RatePolicy and Financial SectorIssues
The medium term objective for thefinancial sector is to deepenfinancial markets and improveefficiency of the Government’s debtoperations.
Supervisory functions of the BoGwill be enhanced in order to ensurethe safety and soundness of thebanking industry.
BoG will implement the Basel IIframework in collaboration with theDeposit Money Banks.
The challenge in the event ofreduced influence and donorsupport will be for the Governmentto exercise fiscal discipline and notresort to greater domestic borrowingthan projected. Any increasedborrowing is likely to result in theupward movement in interest ratesin the short to medium term.
Resource Mobilisation
Total revenue collection for 2010 isprojected at GH¢9,628.5 million,equivalent to 37.1% of GDP. Thisrepresents a 33.4% increase overthe projected outturn for 2009. Thedomestic revenue component isestimated at approximatelyGH¢8,264.0 million, a 37.8%increase over the projected outturnfor 2009.
Total tax expected to be collectedby the three revenue agencies isGH¢6,072.2 million, representing23.4% of GDP.
The Government’s resourcemobilisation targets appear to beoptimistic, given the relative slowdown in business activity and thefact that 2009 revenue targets arenot likely to be met.
Resource Allocation
Total payments are estimated atGH¢10,777.7 (excluding arrearsclearance and tax refunds). Of thisamount, recurrent and capitalexpenditure account for 70.7% and26.3%, respectively. HIPC andMDRI-financed expendituresaccount for the remaining of about3% of total payments.
Personal emoluments are estimatedat about 40.8% of recurrentexpenditure as well as 33.7% ofdomestic revenue.
Domestic-financed capitalexpenditure, comprising statutorypayments into Ghana EducationTrust Fund, the District AssembliesCommon Fund and otherdiscretionary cash expenditurerepresent about 46.2% of totalcapital expenditure. Foreign-financed capital expenditure, basedon expected inflows from thedisbursement of project loans andgrants is projected to account forapproximately 53.8% of capitalexpenditure.
Bank of Ghana aimsto implement theBasel II framework incollaboration with theDeposit Money Banks
Medium term objectivefor the financial sectoris to deepen financialmarkets and improvesefficiency of theGovernment’s debtoperations
PricewaterhouseCoopers Ghana Budget Highlights: The Economy 14
The Economy
HIPC and MDRI-financedcapital expenditures representapproximately 2.7% of totalcapital expenditure.
Total expenditure excludesarrears clearance and taxrefunds estimated at GH¢795.9million. Included in this amountis an estimate of GH¢754.0million representing outstandingarrears of GH¢474.0 millioncontracted in 2008 and 2009commitments totallingGH¢280.0 million expected tobe fully settled in 2010.
The overall budget deficit isexpected to be 7.5% of GDP.This is expected to be financedfrom domestic sourcesestimated at 4.9% of GDP andfrom foreign sources estimatedat 2.6% of GDP.
The Government’s plannedincrease in capital expenditureby approximately 16%compared to the 2009 projectedoutturn is indicative of itsdetermination to accelerate thepace of infrastructuraldevelopment, following itsefforts at fiscal discipline andstability. However, the fact thatsuch a large proportion of thecountry’s capital budgetexpenditure is externally fundedis worrying.
Balance of Payments
Balance of paymentsprojections for 2010 indicates a6% growth in exports withearnings from cocoa projectedto grow by 2.8% as a result ofan expected increase in exportvolumes. Gold exports areexpected to increase by 14.5%,on account of projectedincreases in both price andvolumes.
Imports are expected toincrease by 16.8%.
The current account balance isprojected to record a deficit ofUS$2,362.1 million financed byan expected net inflow ofUS$2,437.0 million from thecapital and financial accountleading to a balance ofpayments surplus of US$74.9million.
As noted earlier, theGovernment should develop theother productive sectors of theeconomy, particularly themanufacturing and agriculturalsectors, in order to boost theexport earnings potential of thecountry. This will also act as acushion against the effects ofreductions in gold and cocoaprices on the economic growthof the country.
Balance of paymentsprojection for 2010 shows a6% growth in exports
Imports are expected toincrease by 16.8%
Overall budget deficit isexpected to be 7.5% ofGDP
PricewaterhouseCoopers Ghana Budget Highlights: Direct Taxation and V
Direct TaxatioOverhaul of the tax revenue aminimising revenue collectio
Direct Taxation
Overview
The 2010 budget statement did notcontain any specific amendments toeither corporate or personal incometax rates.
It was indicated that the personalincome tax brackets and thresholdswill be revised but no guidance hasbeen provided on the time lines forthese amendments.
Continued administrative reforms
The establishment of the GhanaRevenue Authority (GRA), whichwas initially proposed in 2009, isongoing and approval will be soughtfrom Cabinet in early 2010.
The GRA is to merge the IRS andVAT Service and possibly theexcise unit of CEPS. The GRA willbe responsible for domestic taxeswhilst CEPS will continue to beresponsible for customs duties andpreventive services.
Once established, the GRA willstreamline the domestic taxadministration on an operationallevel and simplify and codify the taxlaws.
2010 Budget Highlights*
*connectedthinking
No significantchanges incorporate orpersonal income taxrates
Continued focus onadministrativereform initiatives
Expected approvalfor establishment ofa new revenueauthority
Establishment of anintegrated taxcomputer system
AT 15
n and VATgencies and a focus on
n leakages
Other proposed administrativereforms to be implemented in 2010include:
Increased monitoring ofCommunication Service Taxcompliance;
Broadening the existing LTU andestablishing a small and mediumtaxpayer unit;
The support of the Tax PolicyUnit of MoFEP in assessing thecurrent tax laws, focusingspecifically on natural resourcetaxation, tax exemptions,property taxation and thetaxation of the informal sector;
The involvement of the TaxPolicy Unit in recommendingmeasures to streamline thecurrent tax legislation andensuring transparency andconsistency; and
The redesign andimplementation of the TaxIdentification Number as part ofthe establishment of anintegrated tax computer system -The e-Ghana Project.
Price
Direct Taxation and VAT
The GRA will undertake tax auditsof destination inspectioncompanies. The Government hasalso indicated a desire to focus onthe audit of companies within thetelecommunication and petroleumsectors to enhance compliance.
The proposed reforms are viewedas a positive step towardsimproving efficiencies within thecurrent revenue organisationsallowing for greater focus onwidening the tax base and ensuringcompliance.
It is now imperative that thisinitiative be implemented on atimely basis as it has beenproposed repeatedly in the past.
Personal Income Tax
The Government aims to achievefair and equitable taxation andproposes to revise the personalincome tax threshold.
The computerisation of personalincome tax payments, which beganin 2009, will be fully implemented.
There will be increased monitoringof self-employed persons,especially members of professionalbodies. The number of tax auditswill be increased to ensure taxcompliance and to increaserevenues.
The successful monitoring of self-employed persons will help broadenthe tax base and reduce the currentlevel of dependence on largercompanies and their employedworkers for tax revenue.
The Government intends to reviewthe system of diplomaticexemptions. There is a perceptionthat the current approval processdoes not fall in line with a consistentinterpretation of the ViennaConvention. A lack of control over
expected to have a positive impacton direct tax revenues.
Corporate Income Tax
Whilst there was no specificreference to corporate income tax inthe 2010 budget, the Governmenthas stated that several taxexemptions and discretionarywaivers will be eliminated from thebeginning of the 2010 fiscal year.
Time limits will be placed on futureParliamentary exemptions andrenewals of special permits will besubject to approval from theMinister of Finance and EconomicPlanning.
This proposal will be a concern forthose industry groups which maylose their exemptions withimmediate effect and those who willhave time limits now imposed uponthem. Clear communication isrequired from the Government toallow entities to plan effectively.
In addition, this raises questionsover whether various privateagreements, such as the PetroleumAgreements and Deeds ofWarranty, will be reviewed.
Any revision of previously signedagreements without mutual consentof both parties will send negativesignals to future investors.
Government institutions and taxexemptions
From 2010, MDAs will be obliged tocollate data on the exemptions theyhave granted and increasedscrutiny will be placed upon them tomonitor this tax expenditure as partof their budgeting requirements.
NGOs are now required to seekapproval on an annual basis fromappropriate sector ministries for
Personal income taxthresholds to bereviewed
Increased focus ontax compliance ofself-employedindividuals
Process forapproving andgranting taxexemptions andwaivers to bereviewed
.
waterhouseCoopers Ghana Budget Highlights: Direct Taxation and VAT 16
diplomatic imports and purchaseshas increased revenue shortfallsand greater coordination is
exemptions on taxable goods.
PricewaterhouseCoopers Ghana Budget Highlights: Direct Taxation and VAT 17
Direct Taxation and VAT
Approved activities of NGOs will berestricted to priority sectors.
Furthermore, NGOs will be requiredto present an approved programmeof activities to the appropriate sectorministry in order to substantiatetheir eligibility for tax breaks.
The increased scrutiny on MDAs tojustify their tax expenditure mayimpact on the number of taxexemptions being granted.
Whilst these measures widen thetax net, the need for full exemptionshould not be overlooked, asindividual circumstances may meritit.
NGOs failing to renew their statusmay find themselves subject tocorporate income tax on anyincome earned and to gift tax ondonations.
New Pension Scheme
The new Pension Scheme will beimplemented from 1 January 2010.
The Government believes thatimplementation of the scheme willdirectly benefit the economythrough an annual injection of fundstotalling over GH¢ 1 billion.
Employers will now be required tocontribute 13% for employees,which represents a 0.5% increasecompared to the existing scheme.
Employee contributions will now be5.5%, which also represents a 0.5%increase.
To aid in the effectiveimplementation of this scheme, theGovernment will have to publish thelist of approved Pension SchemeManagers.
Supporting guidance needs to beprovided since most employers arenot fully aware of their obligations.
Aside the numerous benefits of thenew scheme, employers shouldconsider the impact on employeeswho will face a reduction in theirmonthly take home salaries.Employers may want to produceemployee communications to pre-empt any employee queries.
Currently no Board has beenestablished, yet the Pension Act willbe implemented from 1 January2010. It is unlikely that the Boardwill be able to effectively implementthe new rules and answer all of thequestions businesses have unlessimmediate action is taken by theGovernment to put in place theappropriate support structure.
Mineral Taxation
The Government expects direct taxrevenue to remain consistentlystrong, driven in 2010 by anincrease in the minimum mineralroyalty rate from 3% to 6%. Thiswill be a fixed rate for all miningentities.
The mining industry seems to befeeling the brunt of theGovernment’s recent revenuemobilisation efforts, with the royaltypercentage increase coming sosoon after the introduction of theNational Fiscal Stabilisation Levy.
Value Added Tax
The Government plans to undertakethe following measures:
Continue with the upgrade ofthe VAT InformationProcessing System and theElectronic Cash RegisterSystem;
Reduce exemptions granted onimport VAT;
Simplify the VAT Laws toensure transparency andimprove the level ofcompliance; and
Continue VAT audits.
Increased scrutiny tobe placed on theexpenditure ofMDAs
New requirementsintroduced for NGOsapplying for taxexemptions
Introduction of theNew PensionScheme from 1January 2010.
Changes announcedto Mineral RoyaltyRates
Ongoingimprovements in thesimplification of theVAT laws
PricewaterhouseCoopers Ghana Budget Highlights: Direct Taxation and VAT 18
Direct Taxation and VAT
As part of the tax administrationreform programme, the Governmentalso intends to substantiallyincrease the VAT threshold in aphased manner.
It is unclear what the Governmentmeans by threshold. Does it refer toincreasing the minimum amount ofrevenues from the sale of goods,which is currently set atGH¢100,000?
Will the threshold also be onservices, since currently all entitiesengaged in the supply of serviceshave to be registered, whatever therevenue generated from thoseservices?
Communications Service Tax
To improve the administration of theCommunications Service Tax(CST), the VAT Service has set upa special CST unit to identify,register and educate eligiblecompanies.
The VAT Service has also begunacquiring telecommunicationsmonitoring equipment and softwareto track CST payments being madeby companies.
The Government will have toincrease its educational outreachprogrammes to companiesexpected to comply with the CSTprovisions, as many companies arestill facing implementationchallenges.
The Governmentfocuses on themanagement of CST.
PricewaterhouseCoopers Ghana Budget Highlights: Customs & Excise 19
Customs & ExciseMeasures introduced to enhance revenue
The following measures wereintroduced to enhance revenues for2010:
Reversion from specific to ad-valorem excise duty
It has been announced that the VATService will take responsibility for areversion from specific to ad-valoremexcise duty on alcoholic beverages,non alcoholic beverages andtobacco.
Whilst the VAT Service is responsiblefor the roll out of this measure, it isrecommended that CEPS is given themandate for its strategicimplementation and setting of ratesgiven CEPS overall responsibility forexcise duties.
The re-introduction of ad-valoremexcise duties may lead to increasedcosts, which will either impactproducers’ profitability or lead tohigher prices for the consumer. Thismay put pressure on inflation andreduce customer demand therebyimpacting on the overall aim ofenhancing revenue.
Therefore, when consideringapplicable rates of ad-valorem exciseduty, the Government should takeinto account the views of producersand other industry stakeholders inorder to arrive at an acceptable ratethat will optimise revenue as a whole.
The drink and tobacco industryseems to be feeling the brunt of theGovernment’s recent revenuemobilisation efforts, with the exciseduty coming so soon after theintroduction of the National FiscalStabilisation Levy.
Full vehicle duty exemption to bephased out
The Minister proposed thestreamlining of import exemptions byrestricting the exemptions granted toselected Health and EducationService personnel on vehicle importsto GH¢2,000. These exemptions areexpected to be fully phased out in2011.
Parliamentary exemptions for dutieson vehicles will also be subject toabsolute cash limits of GH¢2,000 andwill be reviewed periodically.
Restoration of duties on fooditems
The Government removed importduties on certain food products, suchas rice, wheat, crude vegetable oiland yellow maize in 2008 to mitigateexpected higher food prices causedby outside world events. However, itis believed that this policy has notbenefited consumers as expected assavings were not passed on toconsumers. The 2008 measureshave therefore been discontinuedand import duties are expected to berestored in 2010, once Parliamentaryapproval is obtained.
2010 Budget Highlights*
*connectedthinking
Shift from specificto ad-valoremexcise taxes onselectedcommodities
Streamlining importexemptions byrestrictingexemptions onvehicle imports
Restoration ofimport duties whichwere removed in2008 on foodproducts
PricewaterhouseCoopers Ghana Budget Highlights: Customs & Excise 20
Customs & Excise
Despite the 2008 measure notproducing expected results, importersmay well pass this restoration of dutyon to consumers and thesepotentially higher prices will fuel foodinflation.
Duties on imported products
The Government seeks to rationalisethe import duties on textiles andpoultry products to prevent dumpingof such goods on the Ghanaianmarket.
Electronic issuance of permits andexemptions
It is also proposed that in 2010 theissuance of permits shall becomputerised. This is to eliminateleakages associated with manual andpaper based issuance. All MDAs willbe computerised to carry out thisprocess.
It is expected that this proposal willbe included as part of the overallcomputerisation of the revenuecollecting agencies, which is currentlyunderway. However, clear guidanceis required as to how this process willwork in practice.
Gross payment account facility
A gross payment account facility forwarehousing of bulk imported cargowill be introduced in 2010. Under thefacility, bulk importers will be able tomake deposit payments for aproportion of the total duty liability onwarehoused goods.
Importers will welcome this measurebecause it may ease theirdependence on borrowing to pre-finance duty liability. However, thepiecemeal payment process mayintroduce further administrativeburdens.
Strengthening of CEPS
To enhance recovery of revenue, theGovernment will strengthen CEPScapacity to combat smugglingactivities, prevent diversion of goodsand undertake post clearancemonitoring activities.
Furthermore, the commodityclassification and valuation andimport examination task teams ofCEPS will be strengthened toenhance revenue mobilisation.
Intensify monitoring of Free ZonesOperators
Attention will be focused on FreeZones Operators by intensifying themonitoring and audits to checkrevenue leakage.
The practical implementation of thismeasure should be communicated toaffected parties as propercoordination and planning will berequired to ensure that this initiativeis targeted and does not deterpotential Free Zone entrants.
Computerisation ofpermit issuanceprocedures in 2010
Requirement forbulk importers tomake depositpayments for dutyon warehousedgoods
Strengthening ofCEPS to combatrevenue leakage
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 21
Customs &Excise
Sectoral Outlook
Ministry of Food and Agriculture
The Government continues to focuson food production to enhance foodsecurity and improve income earningcapacity. It is the Government’sintention to put the followingmeasures in place in 2010:
Establish a Buffer StockManagement Agency which willbe responsible for holding foodsecurity buffer stocks. The aim ofthis agency will includeintervening in markets to maintaincompetitive prices;
Improve fishing infrastructure byconstructing 2 fishing harboursand 12 landing sites along thecoastal strip;
Add value to cash crops,livestock and fisheries bydeveloping commercially viableproducts and facilitatingcontractual arrangementsbetween producers andmarketers in the industry; and
Establish well equippedmechanised agricultural centresin each of the 170 districts by theend of 2010.
Cocoa Industry
The Government proposes tocontinue to implement policymeasures within the cocoa sub-sector focusing on the use ofimproved planting materials,
application of appropriate fertiliserand payment of remunerative pricesto cocoa farmers.
Additionally, new producer prices forcocoa, as well as payment ofbonuses for farmers, have beenannounced.
The Government has expressed itscontinued support of the SpecialHousing Scheme for Cocoa Farmersby establishing a revolving fund forthe scheme. In addition, theGovernment has established a SocialSecurity Fund for Cocoa Farmers andhas set aside GH¢15 million as thefund’s seed money.
The decline in cocoa production didnot have an adverse effect on theGovernment’s cash inflow because ofthe favourable cocoa prices on theworld market. The focus on the cocoaindustry is encouraging and activesteps taken to reverse the recentdecline in yield will supportstakeholders.
Cotton Industry
In partnership with the AfricanDevelopment Fund, the Governmentis determined to revamp the cottonindustry and has agreed to conduct adiagnostic study to understand theopportunities and constraints facingthe industry.
2010 Budget Highlights*
*connectedthinking
Increasing foodproduction continuesto be a primary targetof the Government
Significant resourcesto be channelled intothe cocoa industry
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 22
Sectoral Outlook
Ministry of Lands and NaturalResources
The Government is focusing onensuring that the country’s lands andother natural resources are protectedwhilst being managed effectively forsustainable growth.
Lands Sub-Sector
Major programmes to be undertakeninclude:
Complete the process for theenactment and implementationof a new Lands Act, asannounced in 2009, which willprovide greater clarity on landownership and administration,land management, surveyingand mapping;
Institutional reforms will also becompleted to improve access toland administration services aswell as development of adatabase for land information;and
Develop and implement policieson outstanding compensation forlands acquired by the state.
Forestry and wildlife Sub-Sector
The Government is embarking on thereforestation of degraded forest andintends planting about 26 millionseedlings during the year comparedto 4 million planted last year.
Mines Sub-Sector
The Government aims to reduceillegal mining, pursue reclamationinitiatives and plantation developmentin areas mined illegally.
The Government is committed tostrengthening the ExtractiveIndustries Transparency Initiative andaims to ensure transparency infinancial management in theextractive sector during the year.
The Government will enforce existingenvironmental laws and regulations
including the passage of regulationsunder the current Minerals andMining Act 2006 (Act 703).
Revisiting the current legislation onmining and the environment will bringthe stakeholders in line with bestglobal mining practices and protectthe environment.
Ministry of Trade and Industry
The Government aims to support thegrowth of non-traditional exports.
To avoid overlaps in standard settingand regulation enforcement, atechnical regulation policy will bedeveloped.
An effective National TraceabilitySystem to track and trace all foodproducts exported from Ghana, aswell as those sold on the domesticmarket, to be established.
The tracking system will provideuseful information on products andwhich can be used in developingmarketing strategies.
Ministry of Tourism
The Government aims to use tourismas a tool for poverty reduction andensure that Ghana’s investmentpromotion programmes remainfocused and continue to attractinvestors.
The Government therefore intends topromote and mobilise privateinvestment to bridge the gap in up-market tourist facilities.
Tourism is a potential growth sectorin the economy and the recognition ofthis is commendable. TheGovernment’s commitment fundingthis sector to promote Ghana as thepreferred West African touristdestination is a step in the rightdirection.
New Lands Act to beenacted
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 23
Sectoral Outlook
Ministry of Energy
Power Sub-Sector
The Government aims to achieveuniversal access to electricity supplyby 2020, through transmission anddistribution systems as well asscaling up rural electrification.
This policy is expected to enhancethe standard of living in rural areasand is welcome.
Petroleum Sub-Sector
The Government will continuedeveloping two additional fields in theDeep Water Tano and West CapeThree Points Contract Areas.
In addition, gas gathering andprocessing infrastructure is expectedto be established to ensure optimumutilisation of natural gas.
Furthermore, in an effort to reducereliance on fuel wood, a national LPGprogramme will be developed.
The regulatory framework for thissector of the economy should beestablished to provide clarity onguidelines for investors and othermarket players. The frameworkshould extend to downstreamactivities.
Ministry of Environment Scienceand Technology
Environmental Management
The Government will continue tofocus on legislation andimplementation of necessarystandards and codes. Other projectsand activities planned for the yearare:
Re-launch of the NationalEnvironmental Fund and a reviewof fees and levies charged by theEnvironmental Protection Agency(EPA);
Build capacity in the use ofStrategic EnvironmentalAssessment (SEA) tools andmainstream application into theDistrict Medium Term Plans; and
Establish and enhance onlineregistration of environmentalassessment activities.
There is the need for policies to guidethe implementation of the NationalEnvironmental Fund to ensuretransparency and accountability. TheThe Government will also need toensure the ICT infrastructure forMDAs is operational to enable thesuccessful implementation of theonline registration of environmentalassessment activities.
Town and Country Planning
The Government will embark onstreet naming and numbering ofhouses for emergency and securityoperations, postal and taxi services,revenue collection and businessoperations.
It is expected that this initiative will beimplemented in 2010 as it has beenon the drawing board since last year.
Scientific, Industrial Research andDevelopment
The Government aims to promoteproduction of bio-fuels (fromagricultural waste) for poweringgenerators and also support theconstruction of hybrid solar/windenergy systems for households toreduce over dependence on thenational power grid.
There is the need for the Governmentto come up with clear modalities onhow this initiative will be achieved.
Rural electrificationto be scaled
The Governmentwill embark onstreet naming andnumbering ofhouses
The Governmentwill continue tofocus on legislationand implementationof necessaryenvironmentalstandards andcodes
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 24
Sectoral Outlook
Ministry of Water Resources,Works and Housing
Rural Water
The Government hopes to achieve atarget of 60% rural water coverage inthe year 2010. Its focus for the yearwill be on increasing the provision ofsafe and potable water in ruralcommunities through the sinking of1,474 new boreholes, rehabilitation of225 bore holes, construction of 1,093hand dug wells and construction of34 small town and 134 smallcommunity pipe systems.
Urban Water
The capacity of treatment plants invarious parts of the country havebeen earmarked to be rehabilitatedas part of measures to improve urbanwater supply.
Housing
The Government will continue withthe following in 2010:
Seek funding to complete the5,140 safe, decent and lowincome Government AffordableHousing units at Borteyman,Nungua; Kpone, Tema; Asokore-Mampong, Kumasi, Wamale,Tamale, Koforidua and Wa;
Construct the third phase of theaffordable housing units at Ho,Sekondi/Takoradi, Sunyani andCape Coast;
Construct 10,000 safe, decentand low income affordablehouses at Nsakina, Amasaman inthe Ga East District; and
Support the private sector inhousing delivery.
Ministry of Transport
Rail and Maritime
The Government aims to completethe ongoing feasibility study on theWestern Corridor and also seek
private sector investment torehabilitate the line.
Cabinet and Parliamentary approvalwill also be sought to establish theRailway Levy as provided in theRailway Act 2004, Act 779 to raisefunds for maintenance anddevelopment of railway assets.
Other projects to be undertaken bythe Ministry are:
Complete the review of themaster plan for the Ports of Temaand Takoradi and source forfunds from the private sector toundertake dredging andexpansion of the ports; and
Address regulatory issues inrespect of the oil find by enactingtwo new maritime laws; MarinePollution Act and MarineInsurance Act and amend theMaritime Security Act.
Road Transport Services
A new Road Traffic Regulation will beenacted to enhance road safety andto facilitate the implementation of theRoad Traffic Act 2004, Act 682. Thiswill introduce among others:
Prohibition of usage of mobilephones while driving;
Mandatory use of seat belts; and
Prohibition of conversion of cargobuses to passenger buses.
Driver and Vehicle LicensingAuthority (DVLA) – Vehicle LicensePlate Renewal
All vehicles will be re-registered everytwo years in an effort to validate allregistered and genuine vehicles. Thiswill commence in 2010.
Other projects include the completionof the Process Automation of theDVLA to enhance service delivery.
It remains to be seen whether thisnew initiative will cause anythingother than added bureaucracies.
Enactment of twonew maritime laws;Marine Pollution Actand Marine InsuranceAct in 2010
A new Road TrafficRegulation to beenacted in support ofthe Road Traffic Act2004, Act 682
DVLA will introducere-registration of allvehicles every twoyears in 2010
Prohibiting usage ofmobile phones whiledriving andmandatory use ofseat belts
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 25
Sectoral Outlook
Aviation
Key projects and programmes are asfollows:
Encourage private sectorparticipation in the investmentand management of aviationinfrastructure and services;
Ratify various internationalConventions; and
The establishment of a stronghome based carrier to supportthe Aviation Hub concept.
Ministry of Roads and Highways
The Government will embark on thefollowing projects among others:
Expanding the electronic tolling ofroads to improve revenuegeneration for the Road Fund;and
Exploring Public PrivatePartnership (PPP) scheme in thefinancing, construction andmanagement of roadinfrastructure to reduce the heavyburden road infrastructure has onthe national budget.
This is a prudent financing model topursue, given The Government’s netdomestic borrowing constraints, in itsbid to achieve stability. It may beprudent for The Government toreview and where appropriatecontinue with the PPP initiatives itinherited, in order to avoid reinventingthe wheel and duplicatingexpenditure.
Ministry of Communications
The Government acknowledges thatattracting and retaining qualified IT/IMpersonnel in the public sector asenablers and drivers is key to publicsector reform. The Governmentintends to support ICT literacy andbuilding capacity. The Governmentwill pursue the development of policyguidelines for the IT industry withobjectives to develop:
Uniform ITES Skill SetStandards;
Blueprint of ITES/ BPOcurriculum based on aninternationally recognised skillset; and
Procedure for matching grants tosupport private and publicinstitutions.
The Government will pursue thedevelopment of a Technology Parkunder the MSME project to stimulatejob creation in the ICT/ITES areas.
Through the e-Government Points ofPresence, district capitals will belinked to the national high speedbroadband infrastructure.
The success of these initiatives willlargely depend on how the variousinstitutions are equipped in areassuch as capacity building and ICTinfrastructure to achieve the neededbenefits.
Sustaining the projected growth ratemay be a challenge given the currentlevel of IT literacy.
Telecommunication
The Government will continue tomonitor and collaborate with TelecomIndustry Operators to address servicedeficiencies observed in operations’networks.
The Government’s actions in thesector will be directed towards:
Collaborating with industryplayers to work out the technicalfeasibility and define the technicalparameters for the smoothimplementation of the MobileNumber Portability solution;
Migrating from analogue to digitalbroadcasting; and
The Government willimprove theoperations of thetelecommunicationssector throughmonitoring andcollaborations
Communicationpenetration in ruralareas to increase toat least 50% by 2014
The Government iscommitted toattracting andretaining qualifiedInformationTechnology/InformationManagementpersonnel in thepublic sector
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 26
Sectoral Outlook
Revoking and reallocatingunutilised licenses to operatorswho are ready to serviceunderserved communities.
Consolidating the NationalGateway Monitoring System toaccelerate the development ofmobile telephony throughoutGhana;
Initiating the process for users oftechnology services to file andreport complains online;
Completing the second phase ofthe National CommunicationBackbone from Tamale to therest of northern Ghana; and
Monitoring the operator tocomplete the fibre optic backboneinfrastructure.
The Government will monitor theimplementation of recently passedCommunications Sector Acts toprotect users and operators oftelecommunication networks.
Ministry of Education
Effective teachers who are pursuingdistance education will benefit from aGH¢100 Government subsidyannually.
The Government will embark onconstruction of additionalinfrastructural facilities for SHS andTechnical Institutes.
The Government will expand theMobile Library Services to cover twomore districts in each region.
The Government intends to construct200 pre-school educational facilitiesin collaboration with DistrictAssemblies and other non-stateorganisations.
The Government intends to establishtwo new universities, one in the VoltaRegion and the other in the BrongAhafo Region through Public PrivatePartnerships.
The Government also plans toconstruct 165 schools in 2010 toaccommodate schools currentlyunder trees.
In addition, it is the intention of TheGovernment to construct and furnish250 schools by the end of 2010.
This is a laudable initiative. However,efforts should be made to acceleratethe design of incentive schemes inorder to attract teachers to deprivedareas.
Ministry of Youth and Sports
The National Youth law will beenacted to replace NRCD 241 of1974.
The Government will engage 100,000youth on the NYEP and enact alegislation to streamline theoperations of the programme as wellas establish the NYEP Fund.
Ministry of Employment and SocialWelfare
The Government intends to promoteeffective labour-management and co-operation. Activities in this area willinclude:
Addressing the labour-management relations that mayarise in various institutions thatwill be established in the WesternRegion in view of the oil find;
Educating the private sector(including Free Zones Enclave)and labour market players in theWestern Region on labour laws;
Establishing Regional PilotTripartite Committees in Sekondi-Takoradi, Kumasi and Tamale todeal with labour administrationmatters.
Implementation ofSingle Spine PayPolicy in January2010
The Government is toestablish two newuniversities throughPublic PrivatePartnerships
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 27
Sectoral Outlook
This initiative has been pending formany years and therefore setting animplementation date of January 2010is welcome news but the challengewill be to ensure it is actuallyimplemented.
Single Spine Pay Policy (SSPP)
The SSPP has been finalised and willbe implemented effective January2010.
A five year implementation plan hasbeen adopted with the first sixmonths being devoted to addressingpotential technical bottlenecks thatmay be associated with the policy.
A surge in GoG domestic expenditurearising out of the implementation ofthe SSPP may undermine TheGovernment’s expenditure plans.
Employment creation
Activities to be undertaken include:
The validation of the reviewedEmployment Policy beforesubmission to Cabinet forapproval; and
Sensitisation workshops toempower MDAs to promote jobcreation in various sectors of theeconomy.
Ministry of Health
The Ministry’s programmes for 2010include:
Providing complementary andsupplementary feeding of infants,children, pregnant women andnursing mothers;
Strengthening emergency healthservices by training staff andequipping and upgradingselected accident and emergencycentres throughout the country;
Partnering the private sector inhealth care delivery andpharmaceutical support;
Introducing new malaria controlmeasures;
Undertaking an HIV sentinelsurvey and early infant diagnosisof HIV; and
Commencing preparatoryactivities towards the introductionof two new vaccines –Pneumonias I & Retrovirus in2011.
The Government will establish newambulance stations and provide freeambulance services for each district.
Twenty-nine additional compoundswill be constructed for the CommunityBasic Health Planning and Services(CHPS) in 2010.
National Health Insurance Scheme
The operations of the NHIS are to beimproved in areas such as:
Claims management;
Communication;
Coverage of the poor; and
Preparatory activities for theimplementation of the one-timepayment of premiums.
Traditional Medicine Practice
The Government is to expandand strengthen institutions oftraditional and alternativecomplementary medicines toincrease access to herbal andcomplementary medicine.
The Government also expects todevelop databases and scientificinformation on herbal medicinesto enhance the rational and safeuse of approved medicines.
SSPP to take effectin January 2010
Claims managementprocess under NHISto be improved
The Government tointroduce two newvaccines –Pneumonias I andRetrovirus in 2011
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 28
Sectoral Outlook
Health Infrastructure
Projects to be undertaken in 2010include:
Construction of offices andlaboratories for Food and DrugsBoard;
Upgrade of 3 Health Centres inDistrict Hospitals with fundingfrom OPEC;
Development of MIS and ICTinfrastructure of the NHIS;
Construction and commissioningof 5 Polyclinics/ Health Centres inthe Northern Region at Karaga,Kpandi, Tatale, Janga andChereponi;
Construction of a 100-bedgeneral hospital with malariaresearch centre at Teshie Accra;and
Completion and commissioningof the Korle-Bu Teaching HospitalMedical Block and the GHSLearning Centre at Pantang.
Ministry of Women and Children’sAffairs
Key programmes and activities to beundertaken in 2010 include:
Facilitating the implementation ofthe Domestic Violence NationalPlan of Action;
Implementing Ghana’s actionplan on critical areas of theBeijing Platform for Action andthe Convention on Elimination ofall forms of Discrimination againstWomen (CEDAW);
Implementing the Ghana GenderResponsive Skills andCommunity Development Project;and
Developing a Gender M&EFramework to assess progressand evaluate policy outcomesrelating to gender.
Ministry of Local Government andRural Development
Key highlights include:
Review of the DistrictDevelopment Fund;
Consolidation of the 2008 FOATResults and identification ofCapacity Building Needs;
Integration of 17 decentraliseddepartments into DistrictAssemblies; and
Staffing of the variousdirectorates of the LocalGovernment Service Secretariat.
Community Development
The Government is to facilitate skillsdevelopment and training as follows:
Provide technical assistance todevelop basic house buildingskills;
Train 600 rural artisans onappropriate technology; and
Vocational, technical andentrepreneurial developmenttraining for the youth andwomen.
Births and Deaths Registry
The Government’s programmes forthe year include:
Registration of births and deathstargeted at 75% and 35%,respectively; and
Construction andcommissioning of 5Polyclinics/ HealthCentres in theNorthern Region
The Governmentaims at formalregistration of at least75% of births and35% of deaths
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 29
Sectoral Outlook
Securing of funds for theacquisition of high speedscanners to be used in the 10regional Registration Offices tofacilitate data capture.
Ghana School Feeding Programme
The Government has targeted anadditional 250,000 pupils to beconsidered under the School FeedingProgramme in 2010.
Farmer Based Organisations at thecommunity level will supply farmproduce to facilitate the retention ofabout 80% of the projected feedingcost in the community.
The decision to expand theprogramme to include more schoolswill to some extent assist theGovernment towards theachievement of the MillenniumDevelopment Goals and GhanaPoverty Reduction Strategy. Theseobjectives can only be achieved withthe effective participation andinvolvement of key stakeholders andcollaborating Ministries such asEducation, Food and Agriculture andHealth in the monitoring and policyformulation of the Programme.
The District Assemblies CommonFund (DACF)
For year 2010, the Government is toundertake the networking of theDACF’s systems to enable interactionwith systems being set-up throughoutthe District Assemblies.
Public Services Management
Key objectives to be pursued toensure effective human resourcemanagement and development in thepublic service include:
Development of a comprehensivehuman resource policy;
Pursuance of a new performancereview and appraisal system to
make public servants moreappreciative; and
Creation of a comprehensivedatabase to facilitate humanresource planning andmanagement, as well as tostrengthen recruitmentprocedures.
Performance Monitoring andAccountability
Key highlights of programmes to beundertaken include:
Establishment of a QualityAssurance Review Scheme(QARS) at the Ghana AuditService and five other MDAs; and
Enhancement of Internal AuditAgency’s inspectorate activitieswith focus on issues of fraud,embezzlement and breaches ofother financial discipline.
National Identification Programme
Key activities to be undertaken by theGovernment during 2010 include:
Conduct registration in Ashanti,Northern, Upper East, UpperWest and Greater Accra; and
Begin the production ofregistration cards and interfacewith user agencies likeImmigration, Passport, Police andFinancial Institutions.
Parliament
To accelerate the creation of gooddemocratic governance, Parliamentintends to computerise the Chamberand Committee rooms in order todigitise the production of the officialreports of proceedings and reduceconsiderably the reliance on paper.
Internal AuditAgency’sinspectorate activitiesto focus on fraud,embezzlement andbreaches of otherfinancial discipline
Interface of theNational IdentificationProgramme with useragencies likeImmigration,Passport, Police andFinancial Institutions
The Governmenttargets additional250,000 pupils underthe School FeedingProgramme
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 30
Sectoral Outlook
Ministry of Foreign Affairs andRegional Integration
The Government will carry out thefollowing activities to minimise thenegative impact and optimise thepotential benefits of migration:
Facilitate the formulation of anational migration anddevelopment policy;
Establish a database ofGhanaians in the diaspora; and
Set up data-capturing centres inregional capitals to decentralisethe biometric passport issuingprocess.
Ministry of Finance and EconomicPlanning
To ensure the formulation andimplementation of sound macroeconomic policies, the followingactivities will be carried out by theMinistry and sub-agencies:
As part of its programme for 2010 theMinistry will coordinate and monitorthe implementation of the mediumterm financial programme beingundertaken with the IMF and theWorld Bank to ensure that agreedtargets are achieved and soundmacroeconomic outcomes accrue tothe country.
Headcount of public sector workers
The Ministry will continue the headcount of public sector workers acrossthe country.
Other programmes of the Ministry in2010 are to:
Complete the provision ofcomputer interface with banksproviding on-site banking toenable MDAs, CAGD and theNon-Tax Revenue Unit to monitorrevenue inflows;
Develop a business continuityprogramme for all key centralGovernment Ministries;
Introduce GSM/GPRS e-monitorsystem to track collections forMDAs and collection points which
are unable to use on-sitebanking; and
Implement the e-monitor systemto allow MDAs, MOFEP andCAGD to access all transactions.
2010 Housing and PopulationCensus
The statistical service will beequipped to conduct the 2010population and housing census toprovide the Government with therequired data for policy analysis andstrategic planning.
Ministry of Interior
The Ministry will strengthen andmodernise immigration facilities andservice delivery by seeking anamendment to the currentImmigration Law to reflect the currenttrends and scope of operations in aproposed new 5-year strategic plan totake account of the expected influx ofimmigrants into a petroleum basedeconomy.
The Government will also embark onan e-immigration system under theWorld Bank e-Governmentprogramme to enhance effective andefficient service delivery.
The review of the Immigration Lawshould also take account of some keywork/residence permit requirementsof the Ghana Immigration Servicewhich are not part of the law.
Ministry of Justice
Registration of businesses at theRegistrar General’s Department
The Ministry plans to implementadditional programmes and activitiesto further reduce the turnaround timefor business registrations.
Ministry plans tointroduce GSM /GPRS e-monitorsystem to trackrevenue collections
The Ministry ofFinance andEconomic Planningcontinue theheadcount of allpublic sector workers
The StatisticalService will beequipped toundertake the 2010population andhousing census
Implementation of ane-immigration systemunder the World Banke-Governmentprogramme
Immigration laws tobe amended to caterfor migrants intoGhana
PricewaterhouseCoopers Ghana Budget Highlights: Sectoral Outlook 31
Sectoral Outlook
Law Reforms
The Ministry will conduct researchinto the following:
Criminal Injuries CompensationLaw;
Law of Contract;
Minerals and Mining Law;
Securities and Exchange Law;and
Harmonisation of Marriage laws,Matrimonial Causes Act, Head ofFamily Accountability Law(PNDCL 112) and Registration ofCustomary Marriages (PNDCL114).
PricewaterhouseCoopers
Appendix 1
Comparison of 2010 revenue estimates with 2009 projected actuals
Items 2010(million GH¢)
ProjectedOutturn for
2009(million GH¢)
Variance(million GH¢)
A. Direct Taxes 2,235.4 1,719.3 516.1Company tax 881.8 698.8 183
Personal tax 938.8 762.3 176.5
Self employed 103.7 73.8 29.9
Other direct taxes 311.1 184.4 126.7
B. Indirect Tax 2,119.7 1,729.3 390.4Value added tax: imports 1,066.0 883.3 182.7
Value added tax: domestic 609.4 489.3 120.1
Petroleum tax 352.4 298.9 53.5
Other indirect taxes 91.9 57.8 34.1
C. International Trade Taxes 1,141.4 862.6 278.8Import duties 1,089.6 815.6 274.0
Export duty (duty) 51.8 47.0 4.8
D. Import Exemptions 237.2 464.8 (227.6)E. National Health Insurance Levy 480.9 392.0 88.9F. Other Revenue Measures 133.0 86.4 46.6G. Non Tax Revenue 1,916.4 743.8 1,172.6H. Grants 1,364.5 1,217.9 146.6Project grants 832.9 683.1 149.8
Programme grants 296.2 311.5 (15.3)
HIPC Assistance 131.6 130.0 1.6
Multilateral Debt Relief Initiative 103.8 93.3 10.5
I. Loans 1,308.5 (1,308.5)
Project Loans
Programme Loans
J. Exceptional financing (HIPC Relief) 134.7 (134.7)
TOTAL REVENUE 9,628.5 8,659.3 969.2
PricewaterhouseCoopers
Appendix 2
Comparison of 2010 expenditure estimates with 2009 projected actuals
Items 2010Projected
(million GH¢)
ProjectedOutturn for
2009 (millionGH¢)
Variance(million GH¢)
A. Statutory PaymentsExternal debts
Of which: Principal 537.9 (537.9)
Interest 307.9 317.2 (9.3)
Domestic interest 1,038.3 750.1 288.2
District Assemblies Common Fund 434.5 340.7 93.8
Transfers to households 591.2 499.5 91.7
Education Trust Fund 326.7 265.9 60.8
Road Fund 145.2 123.3 21.9
Petroleum related Fund 5.2 3.5 1.7
National Health Fund 480.9 392.0 88.9
B. Discretionary ExpenditurePersonal emoluments 3,113.0 2,265.9 847.1
VAT refund
Administration & Services 635.1 648.9 (13.8)
Domestic Investment 399.5 260.1 139.4
Foreign financed Investments 1,528.4 1,440.8 87.6
Reserve Fund and other Outstandingcommitments
558.3 626.5 -68.2
HIPC financed expenditure 209.3 141.7 67.6
MDRI-financed Expenditure 103.8 93.3 10.5
Other transfers 900.4 905.7 (5.3)
TOTAL EXPENDITURE* 10,777.7 8,659.3 2,118.4Source: GoG 2010 Budget Statement
*We will note that in the budget document, the figures provided do not agree with the totals.
Glossary
BoG Bank of GhanaBoP Balance of PaymentsBPEMS Budget and Public Expenditure Management SystemBPO Business Process OutsourcingCAGD Controller and Accountants General DepartmentCEDAW Convention on Elimination of all forms of Discrimination Against WomenCEPS Customs and Excise Preventive ServiceCHPS Community Health Planning ServicesCST Communication Service TaxDACF District Assemblies Common FundDVLA Driver and Vehicle Licensing AuthorityEDIF Export Development and Investment FundsEMCB Economic Management and Capacity BuildingEPA Environmental Protection AgencyFOAT Functional Organisation Assessment ToolFSR Financial Sector ReformGCEDA Ghana Citizens Entrepreneurial Development AgencyGDP Gross Domestic ProductGH¢ Ghana CedisGIFMIS Ghana Integration Financial Management Information SystemGNRA Ghana National Revenue AgencyGoG Government of GhanaGPRS General Packet Radio ServiceGRA Ghana Revenue AuthorityGSM Global System for Mobile CommunicationsHIPC Highly Indebted Poor CountryHIV Human immunodeficiency virusICT Information and Communications TechnologyIMF International Monetary FundIRS Internal Revenue ServiceITES Information Technology Enabled ServiceLEAP Livelihood Empowerment Against PovertyLPG Liquefied Petroleum GasLTU Large Taxpayers UnitM&E Monitoring and EvaluationMDA Ministries, Departments, and AgenciesMDRI Multilateral Debt Relief InitiativeMIS Management Information SystemsMNP Mobile Number PortabilityMoFEP Ministry of Finance and Economic PlanningMSME Micro, Small and Medium EnterprisesNCA National Communication AuthorityNCCE National Commission for Civic EducationNGO Non-Governmental OrganisationNHIL National Health Insurance LevyNRCD National Redemption Council DecreeNYEP National Youth Employment ProgrammeOPEC Organization of Petroleum Exporting Countries
Glossary
PIT Personal Income TaxPLHIV People Living with Human Immunodeficiency VirusPNDCL Provisional National Defense Council LawPPP Public-Private PartnershipQARS Quality Assurance Review SchemeSEA Strategic Environmental AssessmentSSPP Single Spine Pay PolicyTIN Taxpayer Identification NumberVAT Value Added TaxVIPS VAT Information Processing SystemWAMZ West Africa Monetary ZoneWAN Wide Area NetworkWEO World Economic Outlook
Contact us
COUNTRY SENIOR PARTNER
Felix Addo Partner (Direct Line: 761614) – [email protected]
ASSURANCE
Mark Appleby Partner (Direct Line: 761623) – [email protected] Asiedu-Antwi Partner (Direct Line: 761533) – [email protected] Egan (Direct Line: 761611) – [email protected] Amui Director – oseini.x.amui @gh.pwc.comSarah-Mary Frimpong Senior Manager – [email protected] Gomado Senior Manager – [email protected] W Amusa Senior Manager – [email protected] Karanja Senior Manager – [email protected] Brocke Senior Manager – [email protected] Darkwa Senior Manager – [email protected]
ADVISORY
Wyczynsky (Vish) Ashiagbor Partner (Direct Line: 761465) – [email protected] Tamattey Partner (Direct Line: 761578) – [email protected] Nipah Director – [email protected] Goza Senior Manager – [email protected] A Akufo Senior Manager – [email protected]
TAX
Darcy White Partner (Direct Line: 761576) – [email protected] Kwatia Director – [email protected] Adiasani Senior Manager – [email protected]
OPERATIONS
Barbara Coleman Senior Manager – [email protected] Nti-Appiah Senior Manager – [email protected]
© 2009 PricewaterhouseCoopers. All rights reserved. PricewaterhouseCoopers refers to the network of member firms ofPricewaterhouseCoopers International Limited, each of which is a separate and independent legal entity.
No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic,mechanical, photocopying, recording, scanning or otherwise, except with prior express written permission of PricewaterhouseCoopersGhana.
OFFICE LOCATION: No. 12 Airport CityUna Home 3rd FloorAccra, Ghana
MAILING ADDRESS: PMB CT42, CantonmentsAccra, Ghana
TELEPHONE: +233 21 761500
FASCIMILE: +233 21 761544
E-MAIL: [email protected]
WEBSITE: www.pwc.com/gh
For additional copies of this publication please contact Barbara Coleman, Senior Manager –