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20 hours ago

TRUTH BEHIND REDUCING MINISTRIES: IS IT ABOUT SAVINGS OR SENTIMENT?

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20 hours ago




Bright Simmons, Honorary Vice President of IMANI Africa, has sparked an interesting debate by suggesting that President John Mahama's decision to reduce the number of ministries from 30 to 23 is more about responding to public sentiment than achieving actual cost savings. According to Simmons, the public's disdain for a bloated government stems from optics, and the reduction serves as a symbolic gesture to portray a listening and responsive government.


Simmons argues that the process of merging or separating government ministries is often arbitrary and inconsistent. He cites examples of past administrations, where decisions to cluster certain sectors have been inconsistent and seldom explained. For instance, the Kufuor government merged 'youth and sports' with 'education,' while the Mills government disagreed.


The real cost drivers in government, Simmons notes, remain unaddressed. Agencies like the Police, Ghana Educational Service, and Ghana Revenue Authority have a far greater impact on spending efficiency than ministerial titles. State-owned enterprises like the Ghana National Petroleum Corporation (GNPC) and the Electricity Company of Ghana (ECG) also play a significant role in spending efficiency.


Simmons questions whether the reduction in ministries will lead to actual savings. He argues that past reductions have not resulted in lower costs, and the expense tends to increase year on year regardless. The disproportionate budgets of some ministries, such as Education and Health, are the real budget giants. Education, for instance, receives over $2 billion annually, accounting for more than 20% of the total government budget.


To achieve significant savings, Simmons suggests that true reform requires more than cosmetic changes. It means addressing debt management, capital expenditure, and procurement. The reduction of ministries, he argues, is merely a symbolic gesture, and the real work lies in implementing meaningful reforms.


President Mahama's decision to reduce the number of ministries has been met with praise from many Ghanaians, who believe it's a step in the right direction towards a leaner and more efficient government . However, Simmons' arguments raise important questions about the actual impact of such reductions on government spending and efficiency.

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