Workers from various ministries in Accra have complained that the government has failed to pay them arrears since October when their salaries were increased by 30%. The amount owed workers runs into billions of cedis.
This comes against the background of government’s readiness to release 15 billion cedis for the presidential re-run on December 28.
Apart from workers arrears, it is on record that the government owes the Social Security and National InsuranceTrust billions of cedis in workers social security contributions, utility arrears, not to mention the number of contractors yet to be paid their contract fees. The Centre for Policy Analysis has pointed out that the budget surplus the government declared in 1998 was due to its failure to honour its internal debts, which are piling up by the day.
Information going round also indicates that the ruling party has churned out an additional 10 billion cedis to influence the outcome of the second round. This brings the total to around 25 billion cedis supposed to be released into the economy in three weeks. Some concerned Ghanaians have suggested that these monies going down the drain could build new hospitals, schools, roads and equip many hospitals.
Questions on where government is likely to raise the money dominated financial discussions last week when the run-off was announced. Some financial analysts have raised eyebrows on government’s persistent borrowing from the private sector to finance its expenditure. The outcome of the excessive money supply this year could be damning for the economy. But do our politicians care about what happens next year?
