The Irish: Copy Cats of Prez. Mills’ Austerity Measures

Ireland’s finance minister, Brian Lenihan is planning an initial $8billion of cost cuts in the toughest budget in the country’s history as reported by BBC on the 7^th of December this year.

This brings to memory, the path our president John Mills chose in order to save the economy as claimed by him; the path of austerity.

Since the coming into office of Prez. Mills, his government has always maintained that the 2009 and 2010 budgets that was approved by parliament were austerity budgets necessitated by the fact that the government needed to bring home the economy that was experiencing increasing inflation, destabilization of the cedi, high debt rates among others.

Another budget that is the 2011 budget has been read and approved by parliament. Though the finance minister Dr. Kwabena Duffuor claims this year’s budget is one that will foster economic growth and create more jobs, some tax components have been revised with the opposition alarming that the budget will rather make the citizens poorer.

Comparing what we have been through and hopefully coming out of to that of current happenings in Ireland, I think the Irish government has taken a cue from Prez. Mills’ policies.

The Irish finance minister is slashing down on child benefit and social welfare spending by 5%. Also thousands of public sector jobs will go, civil service pay freeze will be imposed and a reformation of the tax system that will bring more Irish people in the tax net.

These measures are not too different from those undertook by our government; freeze on public sector employment, introduction of new taxes, just to mention a few.

Even statements made by government officials from both sides concur. An Irish independent member of parliament  Mr. Michael Lowry said “ This budget is going to be harsh, it’s going to be extremely difficult”. He also said “People will be angry but if we are to survive into the future and if we want to restore our economy, these difficult and harsh decisions have to be made.”

Putting the MP’s statements side by side to that made by Prez. Mills and his vice that Ghanaians should fasten their belts for the tough times to come and after that economic growth.

Some people in Ghana are very comfortable comparing everything we do in our country to that done in the west. These people criticized strongly Mills’ measures and added that the president lacked initiatives because he did not go the path the westerners went in order to save the country such as bailing out the economy.

With these same policies coming from the west adding to that of Greece and the UK, I want to know if these people think that our president is vindicated or still lacks initiatives.

God bless our homeland Ghana.