Help develop workable domestic revenue mobilization strategy – Akufo-Addo to NDPC

President Akufo-Addo has tasked the newly inaugurated forty-nine (49) member National Development Planning Commission (NDPC) to as a matter of priority, develop a strategy that will help the country widen its domestic revenue mobilization above its current 14 percent tax to Gross Domestic Product (GDP) ratio.

Addressing the newly constituted NDPC governing body at the Banquet Hall of the Jubilee House, today the 23rd of November 2021, after administering the official oath and the oath of secrecy, President Akufo-Addo tasked the NDPC to “identify the ways and means to help enhance significantly the country’s capacity for domestic revenue mobilization to realize her development potential and thereby create opportunities for the vibrant and dynamic youth and to improve the livelihoods of all Ghanaians.

“Ghana’s tax-to-GDP ratio of 14.3% compares unfavorably with our peers in ECOWAS and the world over. Ghana as the second largest economy in ECOWAS should not have one of the lowest tax-to-GDP ratios in the community.”

“The average tax-to-GDP ratio in West Africa stands at 18% and indeed, the recommended ratio for ECOWAS member states is a minimum of 20%,” the President said.

“The average for OECD countries (Organisation for Economic Co-operation and Development) is 34%. It is thus no surprise that the developed nations of the OECD can readily find the means to fund their own development, particularly, their infrastructure development, whereas we are constantly struggling to do the same. The NDPC should have this issue as a special focus,” President Akufo-Addo added.

Synergy and Duplication

President Akufo-Addo in his statement indicated that he expects that the NDPC will synchronize and harmonize the multiple frameworks in existence such as Ghana at 100, Ghana Beyond Aid, and the CARES Obaatanpa Programme into the national medium term development policy framework 2022–2025, for purposes of national development.

“We also need to develop pointers and tools to eliminate duplication in implementation of policies and plans across all sectors and at all levels.
“I want to see results, therefore development planning must drive the following, agenda for building back better, agenda for youth development, agenda for entrepreneurial development, and ultimately, agenda for jobs,” President Akufo-Addo noted.

Chairman’s Response

Chairman of the National Development Planning Commission, Professor George Gyan-Baffour, in his acceptance speech on behalf of the Commission noted that considering the diverse nature of the Commission, the members pledge to bring to bear on the work of the NDPC, their expertise to help develop the nation.

“Together with my members, we will work acidulously to put together a framework that captures the aspirations of our people taking into consideration the technical, political imperatives of development,” Gyan-Baffour said.

“On behalf of my fellow commissioners, and on behalf of the Director General of the NDPC Secretariat, I wish to inform you that we have accepted the responsibility placed on us with all humility,” he added.

Constitutional Mandate of NDPC

The National Development Planning Commission (NDPC), per Article 86 and 87 of the 1992 Constitution, is responsible to the President and required “to advise the President on development planning policy and strategy”.

According to Article 87 (2), “the Commission shall, at the request of the President or Parliament, or on its own initiative;

(a) study and make strategic analyses of macro-economic and structural reform options,

(b) make proposals for the development of multi-year rolling plans taking into consideration the resource potential and comparative advantage of the different districts of Ghana;

(c) make proposals for the protection of the natural and physical environment;

(d) make proposals for ensuring the even development of the districts of Ghana by the effective utilisation of available resources; and

(e) monitor, evaluate and co-ordinate development policies, programmes and projects. The Commission is also authorized to perform such other functions relating to development planning as the President may direct.

Membership of the Commission

The forty-nine (49) member commission is chaired by Professor George Gyan-Baffour. The members include the Director General of the NDPC, Dr. Kodjo Esseim Mensah-Abrampa. It also includes Ministers of State responsible for Finance, Health, Education, Food and Agriculture, Local Government, Decentralization and Rural Development, Energy, Trade and Industry, Employment and Labour Relations, Environment, Science, Technology and Innovation, as well as Gender and Social Protection.

The Commission also has the Governor of the Bank of Ghana, Dr. Ernest Addison, and the Government Statistician, Professor Samuel Kobina Annim as members.

Representatives from all sixteen regions of the country are also part of the commission as well as development experts, economists, governance experts, environment experts and spatial planning experts.

Wilberforce Asare

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