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Saturday, February 24, 2024

LI on import restriction breaches terms in IMF programme – Ato Forson –

Dr. Cassiel Ato Forson, the Minority Leader, has raised concerns about the potential breach of the International Monetary Fund (IMF) agreement due to the proposed Import Restriction Legislative Instrument (LI)

The LI aims to prohibit the importation of 22 essential items into Ghana, a move that Dr. Forson argues contradicts the terms of the current IMF program that Ghana is engaged in.

Dr Ato Forson said this during the Moment of Truth series by the National Democratic Congress (NDC) in Accra on Wednesday December 6, 2023.

He explains that under the IMF programme, the government is required not to sign onto any policy that restricts trade.

“This breaches the IMF agreement that says Ghana cannot sign on to an import restriction policy,”he said.

Dr. Forson went on to highlight a critical issue, stating that Ghana lacks the capacity to produce the majority of the 22 items listed in the proposed L.I.

Using the example of sugar, he noted that the presently, the country cannot generate enough quantity to meet local consumption demands.

“…It is instructive to note that, currently, Ghana does not have any significant local capacity to produce some of the “strategic products” listed under the First Schedule of the proposed LI such as sugar, among others. Neither has the government outlined any specific interventions or incentives to promote the local production of such products. This completely belies the government’s claim that the proposed regulations are intended to promote local production of the affected products and conserve foreign exchange” he added.


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