Bawumia Boys worried at govt’s unpopular policies but confident

Reports picked up by The Herald, indicate a growing sense of dissatisfaction within the camp of the New Patriotic Party’s (NPP) flagbearer, Dr Mahamudu Bawumia, regarding the policies implemented by the Akufo-Addo government.

Despite their discontent with the government’s policy directions in an election year which sparked the feud, they have chosen to remain tight-lipped.

The key figures among Dr Bawumia’s handlers, including Fred Oware, former Chief Executive Officer of Bui Power Authority, Gideon Boako, the Policy Advisor and Spokesperson of the Vice President, Anthony Karbo, ex-Deputy Minister of Roads, Sammy Awuku, Director General of the National Lotteries Authority (NLA), Dr Mutaka Alolo, Technical and Economic Advisor at the Office of the Vice President and Augustine Blay, Secretary to the Vice President.

They are reportedly displeased with the rising hostilities between the Akufo-Addo government and the NPP leadership.

The heightened tensions, have been fueled by recent Emissions Levy and Value Added Tax (VAT) on electricity consumed by homes. The Ghana Revenue Authority (GRA) has been implementing these policies at the behest of Finance Minister, Ken Ofori-Atta.

The group seen as Bawumia’s kitchen cabinet, is said to be discontent with the breakdown of communication between the party, the government and the NPP flagbearer.

Many within this inner circle, believe that President Akufo-Addo, having achieved his lifelong dream of becoming Ghana’s President, may not prioritize Dr Bawumia’s interest.

Despite these challenges, Fred Oware, Anthony Karbo, Mutaka Alolo, Augustine Blay, Gideon Boako and Sammy Awuku, who are currently the Tano North and Akuapim North NPP parliamentary candidates, are said to be confident in a Bawumia victory, even in the face of unpopular policies from the Akufo-Addo government.

The Herald’s insiders explained that they have opted to maintain a tight-lipped approach, aiming to shield Bawumia from troubles, while strategizing for his 2024 campaign and victory.

Most of them, have held leadership positions in the party in the past, and know the ins and outs of the party and prefer to focus on strategies to secure victory for Dr Bawumia.

The Herald, has noted that, the growing dissatisfaction is not limited to the inner circle of NPP flagbearer.

Seth Terkper, former Finance Minister under the John Mahama administration, has stated that the current tax regime in Ghana is the most severe and punitive in the nation’s history.

His party the National Democratic Congress (NDC) Minority side in Parliament, insists that the Nana Akufo-Addo government has introduced 50 new taxes since 2017, bringing too much burden on the already impoverished Ghanaian.

Economist and Professor of Finance, Prof Godfred A. Bokpin, has repeatedly stated that the government’s incessant imposition of taxes is a lazy approach to raising revenue and state-sponsored robbery which essentially leaves citizens financially repressed.

The Herald, interestingly, learned that some members of the NPP flagbearer’s inner circle, feel that President Akufo-Addo, may not prioritize the interests of Dr Bawumia, who played a crucial role in securing the NPP’s victories in 2016 and 2020, having achieved his lifelong dream of becoming Ghana’s president.

They have also opted to leave the issues raised to be dealt with by the NPP national leadership led by National Chairman, Stephen Ayensu Ntim.

There is a growing belief that these economic decisions could potentially harm Dr Bawumia’s chances.

Dr Bawumia, himself has presented a composed front, smiling in public despite his inner hurt and disappointment at the Emissions Levy, VAT on electricity consumed by homes, as well as the E-levy.

Presently, the group has been helping the NPP flagbearer focus on his speech at the University of Professional Studies Accra (UPSA) today February 7, 2024, by encouraging and organizing support from all wings of the party, corporate Ghana, Civil Society Organizations (CSOs), Captains of Industry, and stakeholders from both the Formal and Informal Sectors.

Interestingly, attempts to get comments from some of them on the insider happenings have proven futile, they either did not answer their calls or refused to be mentioned and even quoted when The Herald reached them yesterday ahead of today’s programme.

But it remains evident that tensions within the NPP extend beyond Bawumia’s camp, as seen in General Secretary Justin Frimpong Kodua’s call for ministerial reshuffle and the National Organizer, Henry Nana Boakye’s urgent appeal for the withdrawal of controversial taxes on vehicle emissions and electricity.

The internal dynamics are evolving, setting the stage for potential shifts in the party’s fortunes come December 2024, despite the “Breaking The 8” mantra.

Over the weekend, it was reported that there was a unanimous decision at a Cabinet meeting on Friday, February 2, 2024, to abandon the 15percent Value Added Tax (VAT) on electricity.

The Trade Union Congress (TUC) and other workers’ unions, had threatened to demonstrate against the government.

Furthermore, the government has agreed to engage in discussions with the International Monetary Fund (IMF) to reach a consensus on compensating for the anticipated revenue shortfall resulting from the abandonment of the VAT on electricity policy.

However, the IMF, is urging Ghana not to deviate from the course of its fund programme to ensure that the country reaps the full benefits of the ongoing bailout package.

The Fund requires effective implementation of structural reforms, following the release of the $600 million second tranche and at a time when the government is said to be considering engagements with the IMF for a consensus on the anticipated revenue shortfall over the planned suspension of the VAT on electricity.

But the IMF, insists that Ghana adheres to the agreed-upon austerity measures to manage its way out of the economic crisis.

“What I can say is that going forward, it would be really, really important that Ghana continues to implement the program that they have developed as envisaged. That is really critical. These programs are designed to be implemented over three, four years. And it is important that Ghana sticks to the course and sees the program being implemented over the next three years,” says Abebe Selassie, Director of the African Department at the IMF, who has been speaking about Ghana’s program in Washington, DC.

In late January, the Bank of Ghana acknowledged receipt of US$600 million as the second tranche for budget support and stabilization of the local currency, bringing the total to US$ 1.2 billion out of the $3 billion approved under the three-year extended credit facility in May 2022.

The IMF has stated that Ghana is performing well under the program, with reforms bearing fruit and signs of economic stabilization emerging.

“Ghana’s program is being implemented effectively. We just went to the board recently with the first program review following, of course, the policies that the government has been putting in place to address the huge imbalances Ghana was facing through last year. And of course, the official creditors are signaling that they will provide debt relief, consistent with what Ghana needs. So, we just went to the Board a couple of weeks ago. We look forward to continuing to support Ghana, consistent with program implementation,” Abebe Selassie added.

Ghana’s next IMF programme review is scheduled for June 2024 for the third tranche of approximately US$ 360 million.