The Director of the Institute of Statistical, Social and Economic Research (ISSER), Professor Felix Asante, has cautioned against a wholesale move to allow the various Metropolitan, Municipal and District Assemblies (MMDAs) to resort to the capital market to raise revenues for their operations.
[contextly_sidebar id=”C4mQf8IYtIo1SqihuDWydHjoHTXacNKs”]Arguments have been made impressing on the government to allow district assemblies access to the capital market to generate revenues.
This according to some analysts will ease the burden on the government’s budgetary allocation to the MMDAs.
Professor Felix Asante who describes the move as a laudable idea however warns government risks suffering in the long run if the necessary fundamentals are not put in place.
“The district assemblies trying to raise bonds and all, it is a good idea but I think we should be very careful with how we do it. We know how our district assemblies manage their things, fiscal decentralization that we have been talking about is still not where it should be. I think we should give ourselves sometime, work on some selected districts and use them as show case let us support them to make sure that their books are in good shape and let them go ahead with that,” he said.
Prof Asante added,“ There are some districts and metropolitan assemblies that should even be supporting development activities within their communities instead of looking up to government for that but we should be very careful because if it doesn’t go well, government will have to pay back whatever monies that they go in for.”
By: Pius Amihere Eduku/Citifmonline.com/Ghana