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We Must Rethink the Policy of Giving Everything For Free

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Editorial (The Daily Searchlight, Tuesday, 5th July, 2022)

www.ghanareaders.com

Mr Mark Agyemang, a ‘Project Consultant’, has suggested to the government use portions of the crude oil and mining revenues to finance free primary healthcare for the poor and vulnerable in the society.

“Just as the government is financing Free Senior High School with revenues from crude oil to improve education in the country, it could also consider implementing similar intervention for the health sector for the poor and vulnerable,” he said.

Mr Agyemang made the call on the sidelines of an engagement forum between Friends of the Nation (FON), a non-governmental organisation, and the Ministry of Finance, in Accra, to discuss issues relating to the extractive sector.

He made proposals to be considered when reviewing the Petroleum Revenue Management Act (PRMA) in order to make the legislation more pro-poor.

The FoN, together with some queen mothers from the Western Region, called on the Ministry on proposals to be considered during the amendment of the PRMA. 

This comes after the NGO went round the country to monitor some projects and programmes being financed with petroleum revenues.

It seems that of late, it has become fashionable to call on government to deploy most funds accruing to the State in giving out freebies to the ‘poor’ and ‘vulnerable’ without consideration as to qualification as to who is ‘poor’ and ‘vulnerable’, and how best the State can secure returns on investment on such expenditure.

Whilst we agree that the ‘have-nots’ in society should be assisted not to fall through the cracks, we believe that expenditure without discrimination will only lead to mediocrity and wasted effort and money.

In place of granting free basic health care for all, in the same manner that we grant the free secondary school concept, Ghana should rather invest in an adequate social welfare system across all public sectors and systems, where people who cannot afford certain privileges life health and education, can apply to be granted the privileges. Those who can pay, must be assisted to pay. Those who can plan, through taking precautions like health and education insurance, must be assisted and encouraged to do so.

We believe that such systems would save scarce funds to be invested in more programs, development and infrastructure.

The free SHS system is a huge investment. As a recurrent expenditure, it continues to be the wrecking ball in the economic management room every year. As economic managers we should give careful consideration before we add a second such ball, without consideration as to their effects, possible savings and future investment.

(This article was first published in the column EDITORIAL of the Daily Searchlight of Tuesday,, 5th July,, 2022. The Daily Searchlight appears on the newsstands of Ghana every working day and PDF versions are available for sale online twenty-four hours a day all day throughout the world on www.ghananewsstand.com).

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