Government assures local businesses of better interest rates

Vice President John Dramani Mahama on Tuesday announced that government would through its Economic Management Team hold discussions with the Bank of Ghana and commercial banks to rationalise interest rates.

The move would allow industry and other corporate entities to borrow and engage in productive businesses.

This was the outcome of a five-hour marathon meeting he held with officials of the Trades Union Congress (TUC), Association of Ghana Industries (AGI), Ghana Employers Association (GEA) and National Petroleum Authority to find some respite for Ghanaians on the heels of high fuel prices.

Vice President Mahama who read the agreement reached by the meeting also tasked the Ministry of Energy to make available to the private sector and other stakeholders the quarterly bulletin on the movement of petroleum prices on the world market.

He said the meeting agreed to reconsider the current income tax threshold as presented by the TUC in their deliberations in order to bring relief to workers.

The Vice President said the meeting also tasked the Ministry of Finance and Economic Planning to publish in detail the Tema Oil Refinery debts as at December 2010 in order to ensure openness and transparency.

He said as part of the agreement, the Ministry of Transport would continue to engage the Road Haulage Association and other transport unions to facilitate the fixing of fares to control escalating food prices.

The meeting urged stakeholders in the determination of the National Minimum Wage and the implementation of Single Spine Salary Structure, to expedite action to ameliorate the plight of workers.

The agreement of the meeting was signed by Mr Kofi Asamoah, Secretary General of the TUC, Nana Owusu Afari, President of the AGI, Mr Alex Kwapong, Chief Executive Officer of GEA and Mr Fiifi Kwetey, Deputy Minister of Finance and Economic Planning.

Source: GNA