Parliament makes efforts to scrap car loan after public outrage
Parliament to scrap car loan arrangement following pressure from Ghanaians
Parliament has moved to scrap the car loan for MPs and Council of State members after public outrage.
They contained this in a report of the Finance Committee recommending to the House to discontinue the practice where the government facilitates loans for Members of Parliament and Council of state members to purchase cars for official duties.
Government usually pays 60 per cent of the loan with the accrued interest, while the beneficiaries pay forty per cent, although sometimes some MPs default in repayment.
“Accordingly, the Committee strongly recommends to Parliament the discontinuation of the current vehicle loan arrangement for MPs and Council of State Members. Members of Parliament and Members of the Council of State should have similar duty post vehicle arrangements as other Article 71 Office Holders. And the Committee respectfully recommends that Parliament and the Parliamentary Service take the steps to ensure that this happens.”
“The instant vehicle loan arrangement for MPs and Council of State Members before us today should therefore be the last one the state is sponsoring,” it said.
The Finance Committee wants this new recommendation to be implemented in the future.
However, MPs and Council of State members will still benefit from the current loan agreement of $28 million and $3.5 million respectively tabled by the Finance Ministry.
It will be the last time Parliament would approve such a vehicle loan for MPs and Council of State members if legislators on either side of the aisle adopt the recommendation.
There has been a huge public backlash about the loans amidst the economic challenges in the country.
The Committee is thus urging Parliament and the Parliamentary Service to take the steps to ensure the car loan provision is discontinued.
By: Stella Annan | myactiveonline.com Twitter @activetvgh
