Business News of Thursday, 4 November 2021
Source: www.ghanaweb.live
2021-11-04What some MPs recently said about removal of taxes on construction materials
Prices of cement and other buildings materials have been surging in the past months
• Prices of cement and other buildings materials have been surging in the past months
• Kwaku Kwarteng rejects calls to remove taxes on construction materials
• Prices of cement products is selling over GH¢50 per bag
The debate over the rising cost of building materials in the past months of
Read full articlethis year keeps raging on.
Prices of cement, sand, irons rods and other materials have been surging astronomically with calls on government to probe the reason behind the recent hikes.
The Ghana Chamber of Construction Industry has particularly cautioned that Ghanaians are likely to struggle to rent and acquire houses if a solution to the high price hikes are not resolved.
To find a resolution to the hikes, some members of Parliament have expressed concern over the rising cost of construction.
Yussif Sulemana who is a Bole Bamboi lawmaker is one of many who have called on the government to immediately take measures to mitigate the price of construction materials especially cement.
“In 2019, the President cut sod for the construction of the Military Housing project at the cost of US$100 million. At the time, cement was selling about GH¢32 per bag.”
“Today, with over GH¢50 per bag, the cost of this project will automatically go up by an extra US$100 million in the least,” Yussif Sulemena addressed Parliament on Wednesday.
Reacting to an earlier call made by his colleagues in the House, Chairman of Parliament’s, Kwaku Kwarteng who initially backed calls for government to probe the price hikes has now rejected calls to remove taxes on construction materials particularly cement.
Similarly, on Wednesday November 3 2021 the Obuasi West MP attributed the price hikes as a result of the coronavirus pandemic hence a move to remove the taxes will not be supported.
As part of efforts to address the issue, Kwaku Kwarteng said the matter was before his Finance Committee with a report expected to be tabled to plenary.
“In my respectful opinion, it is insensitive to the economy. I say so because we have just come from the year 2020 in which the revenue shortfall was some GH¢14 billion,” he said.
