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14th July, 2009

CUTTING DOWN COST

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IN his early days as President, Professor John Atta-Mills, made it clear that the days of frivolous spending were past and gone and that his administration was going in for the cost-cutting policy, if the economy was to be put on a sound track.

Seven months into his rule, one does not need to have the eye of an economist to state that indeed the Ghanaian economy is facing serious challenges and that the President’s call should be seriously embraced by all.

And in heeding to the President’s call one area which the Ghanaian Times thinks the government should take a critical look at, is the Ministry of Foreign Affairs and Regional Integration.

As the name implies, this is one ministry that eats and drinks foreign exchange and if there should be any cost cutting in the entire system it should start from there.

The ministry should seriously examine its traditional system and ways of doing things to conform to other jurisdictions which are better endowed.

First of all, we suggest the country should of necessity cut down the number of foreign missions currently established.

Much as we admit that establishing diplomatic ties could help strengthen co-operations we also submit that economic considerations should be of paramount importance.

Secondly, the number of years spent by officers on posting should be cut down from the current four to two or maximum three years.

It used to be so about 15 years ago. A substantial savings would be made there.

If implemented, the policy will not in anyway affect the overall postings of officers.

Rather it would give an opportunity for new recruits to also serve outside.

Another sure way of cutting down cost is to discourage frivolous spending at some of our missions, in areas like expensive vehicles and renovations.

The ministry should engage the services of a qualified consultant or recruit somebody from the Ministry of Water Resources, Works and Housing to supervise this project of rehabilitation and renovation, an exercise which saw over-loaded estimates in the past.

It, is also, important that certain establishments, such as the Bank of Ghana, the Armed Forces, the Ministries of Finance and Foreign Affairs reduce the number of travels by their officers.

The sector Ministers should have the sole responsibility of authorising such travels.

This should not be transferred to any other officer.

The Times is also aware that certain postings are not necessary.

What is the point in posting a secretary, for instance, to a mission where not more than two letters are typed a week.

Or sending accounting officers to do a job which can be verified in Accra?

In this day and age, all A officers should be able to type their reports and do basic expenditure and remittance accounting from where headquarters takes over.

We, sincerely believe, that if such steps are taken, Ghana should be able to make close to 50 per cent savings on our current expenditure at the Foreign Ministry, for instance.
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