All Annotations of Pambazuka News - Ghana: Why the North Matters[Preview]

saved byArabica Robusta on 2008-07-03

• With the introduction of structural adjustment, projects and activities depending on the government were scaled down. While the idea of privatisation could somehow work in the South, as there was an elite and foreign companies to take over these activities, such conditions did not apply in the North. The factories ground one by one to a halt. Commercial farms went into receivership. Employment and income collapsed. The market players, who were to exploit the opportunities afforded by the withdrawal of the government, simply were not ready for it. Whatever economic elite had started to develop either sank back into obscurity or joined their brethren in the south.
• National policies, ostensibly designed so as not to favour specific parts of the country, end up disadvantaging the North. The Ghana School Feeding Programme (GSFP) was originally conceived as a programme focusing on ‘Hunger Hotspots’, and was therefore targeted at the North. For obvious political reasons, the government decided instead to make it a national policy benefiting all districts equally. But with programme management using its discretionary powers, individual districts were able to lobby for additional schools. Inevitably, such districts were politically well connected and close to the physical and political centre. With as end result that Greater Accra, Ashanti and Brong Ahafo Regions receive a whopping 70 % of the total funding for school feeding (leaving the other 7 Regions to fight over the remaining 30 % of the funds). The three northern Regions, home to 30 % of the total poor in Ghana, receive a paltry 7 % of the funding!
• The distribution of HIPC funding tells a similar story. The Highly Indebted Poor Country (HIPC) initiative was an attempt by the World Bank and IMF to reduce the debt burden of the world poorest countries. One of the first major policy initiatives of the new NPP government when it attained power in 2001 was to apply for HIPC status. A special account was opened, whereby the money which otherwise would have been used for debt re-payment would be channelled to special spending targeted at the poor. But once again the reality was different. While the Ghana Poverty Reduction Strategy 2003-2005 planned that almost half of the HIPC funds would be used in northern Ghana, in reality this was only 17 %, just about one third of what was planned! The remaining 83 % of the projects went to southern Ghana, for which only 52 % had been planned.
• It cannot be denied that northern Ghana has recorded considerable progress since independence.