Back and Next - Back and NextNAMs, business community discuss financial crisis
Tuesday, January 13, 2009
As the global financial crisis, credit crunch and the price escalation of commodities continue to hit the entire world, the Office of the Speaker of the National Assembly, yesterday conveyed a dialogue meeting between Members of the National Assembly and the business community, at the Assembly Chambers in Banjul.
The aim of the dialogue which was the first of its kind in the history of the National Assembly, was to discuss as a family, the likely impact of the global financial crisis on the Gambia’s economy and how to make contingency plans and prepare for any eventualities as it calls for concerted efforts from both government and the private sector.
The forum brought together GCCI top brass, National Assembly members, top representatives from the Association of Accountants, Clearing and Forwarding Agencies, Manufacturing Companies, Pharmaceutical Companies, Bankers Association, Agriculture/horticulture Association among others.
Welcoming officials at the start of the meeting, Hon. Fatoumatta Jahumpa-Ceesay, speaker of the National Assembly said, the global financial system is now facing turbulent times, and the financial markets are uncertain as highlighted by the secretary of state for Finance and Economic Affairs in the 2009 budget. She quoted SoS Gaye in his 2009 budget Speech saying “the current financial crisis seems to be more severe and we are seeing a tsunami of credit crunch in the United States, Europe and some parts of Asia, where banks cannot extend credit even to each other.
The Gambia which is part of the international community, will be affected directly or indirectly in terms of remittances from abroad, aid flows, foreign direct investment ,and tourism receipts”.
According to Speaker Jahumpa-Ceesay, the crisis has shaken even bigger and stronger economies in the world, and attentions are being focus on how to overcome these challenges. She said that The Gambia as a small economy, cannot be left out in the process. “For this reason, we in the National Asembly and as people’s represntatives, felt the need to engage all stakeholders to discuss these issues and strategise a way out.
We have all witness the rising food prices in the markets and we all know what that means on the average Gambians. Each and every one of us is affected directly or indirectly” she said.
She then acknowledged the noble efforts of the President of the Republic, Prof. Alh. Dr. Yahya AJJ Jammeh for ably maintaining The Gambia’s economy stability and peace on a sound footing despite all odds. She also saluted the secretary of state for Finance and Economic Affairs and his technical team for presenting a realistic budget and also informing the assembly on the remedial measures taken by government to address the likely impact of the global financial crisis on our economy.
She further acknowledged and commended the efforts of the private sectors particularly in the area of price stability despite the existance of some unscrupulous businessmen whose main aim is to maximise profit at the detriment of The Gambian people.
She also implored on the secretaries of state to come up with policy papers to be laid before the National Assembly for adoption to help NAMs to go back to their constituencies and sensitise the electorates and quickly recognised the efforts President Prof. Alh. Dr. Yahya AJJ Jammeh, the Vice President and the Secretary of State for Basic and Secondary Education for always tabling policy documents before the National Assembly and also working closely with Assembly Committees.
Bai Matarr Drammeh, president of the Gambia Chamber of Commerce and Industry (GCCI) applauded Speaker FJC’s initiative in inviting the private sector to such a forum noting that this signals the fact that the private sector is considered vital in the country.
On the current credit crunch, rising food prices and financial crises, he quoted SoS Bala Gaye of Finance and Economic Affairs’ comment in the budget speech that the Gambia cannot acertain the credit crunch and financial crises but may be directly or indirectly affected. With this, he said, contingency plans should be place to avoid serious consequences.
He quoted President Abdoulaye Wade of Senegal that ‘this crises will be limited for Africa’ expressing believe that if Africans have enough to eat, the rest did not matter. According to him, in Africa alone, statistics have shown that 44 million people will suffer from the financial crises. He then cited the rising food prices as a big case that needs to be look into and welcomed the innovation for such an interactive forum.
Mam Cherno Jallow, chief executive officer of the Gambia Chamber of Commerce and Industry gave a detailed presentation of the global economies compared to The Gambia as well as the World Bank projections towards the Gambian economy in the current days of the global financial crises.
During his presentation, he stated that global GDP will drop from 2.5 per cent to 0.9 per cent in 2009 and exports from developing counties will equally fall. He added that oil prices will also rise to 32 per cent, food prices will also rise by 25 per cent in 2009 on wards.
On the performance of The Gambian economy over the years, he said that the economy has been growing steadily and the telecommunication and tourism sectors have contributed a lot to the economy but performance of the agriculture sector has been mixed, due to poor rainfall. He also highlighted the investment obstacles in The Gambia such as electricity, credit, land access among others, saying that if such problems are over come, it will attract more investments into the country.
Mousa Gibriel Bala Gaye, secretary of state for Fianance and Economic Affairs thanked Speaker Jahumpa-Cesay for initiating the forum. He dilated on the food prices in the year ended saying “the Gambia in 2008, rice stock was available and government ensured that the rice was available. President Jammeh also had a meeting with rice importers in Kanilai and assurance was given to the level of rice importation’.
In the increase in productivity, he called for the introduction of the tidal and pump irrigation systems as well as the need to look for finance for famers, build warehouses, markets to compliment their efforts to ensure sustainability.
On tax, he said, The Gambia is applying the Ecowas common agreement system and the situation is reasonable. According to him, there is no import duty nor the sale tax in rice, all aimed at maintaining price levels of imported rice into The Gambia. He then confirmed that The Gambia has a good tax system and called on the business community to pay their dues to government. ‘Do business and also pay your obligations. But here, people want to do business, levy any price but do not want to pay tax to government.
This culture should change’ he urged. Abdou Colley, secretary of state for Trade, Industry and Emplyment also highlighted the financial crises noting that it will affect the Gambia in one way or the other. On taxation, he said there is still room for improvement. He said the World Bank tax or cumulative tax statistics shows that The Gambia is one of the countries with high tax rates and urged that the tax system of the country be administered again to attract more investments as well as favour the small businesses.
Fabakary Tombong Jatta, Majority leader and NAM for Serrekunda East also commended the speaker for the forum. He also thanked the Central Bank of The Gambia for maintaining the country’s economy, the GRA for collecting taxes over the years and assured them of their support to the private sector. He also admitted the high cost of electricity in the country and hope that it will soon be a thing of the past. He also complained of the millions pumped in agricultural projects over the years which went in vein.
Momodou Sanneh, Minority leader and NAM for Kiang West raised the issue of tax deposits as well as the high cost of electricity in the country and urged authorities to consider it for the benefit of the masses. He also called for the establishment of agricultural banks since there are commercial banks to support the sector.
Other speaker at the interactive forum included Bamba Saho, governor of the Central Bank of The Gambia, Bakary Sanyang of The Gambia Revenue Authority, Mohammed Sillah of Sankung Sillah and Sons Manufacturing Company, Kebba Singhateh on behalf of the pharmaceutical companies, Sulayman M Joof, secretary general of the Association of Clearing and Forwarding Agencies among others.
The aim of the dialogue which was the first of its kind in the history of the National Assembly, was to discuss as a family, the likely impact of the global financial crisis on the Gambia’s economy and how to make contingency plans and prepare for any eventualities as it calls for concerted efforts from both government and the private sector.
The forum brought together GCCI top brass, National Assembly members, top representatives from the Association of Accountants, Clearing and Forwarding Agencies, Manufacturing Companies, Pharmaceutical Companies, Bankers Association, Agriculture/horticulture Association among others.
Welcoming officials at the start of the meeting, Hon. Fatoumatta Jahumpa-Ceesay, speaker of the National Assembly said, the global financial system is now facing turbulent times, and the financial markets are uncertain as highlighted by the secretary of state for Finance and Economic Affairs in the 2009 budget. She quoted SoS Gaye in his 2009 budget Speech saying “the current financial crisis seems to be more severe and we are seeing a tsunami of credit crunch in the United States, Europe and some parts of Asia, where banks cannot extend credit even to each other.
The Gambia which is part of the international community, will be affected directly or indirectly in terms of remittances from abroad, aid flows, foreign direct investment ,and tourism receipts”.
According to Speaker Jahumpa-Ceesay, the crisis has shaken even bigger and stronger economies in the world, and attentions are being focus on how to overcome these challenges. She said that The Gambia as a small economy, cannot be left out in the process. “For this reason, we in the National Asembly and as people’s represntatives, felt the need to engage all stakeholders to discuss these issues and strategise a way out.
We have all witness the rising food prices in the markets and we all know what that means on the average Gambians. Each and every one of us is affected directly or indirectly” she said.
She then acknowledged the noble efforts of the President of the Republic, Prof. Alh. Dr. Yahya AJJ Jammeh for ably maintaining The Gambia’s economy stability and peace on a sound footing despite all odds. She also saluted the secretary of state for Finance and Economic Affairs and his technical team for presenting a realistic budget and also informing the assembly on the remedial measures taken by government to address the likely impact of the global financial crisis on our economy.
She further acknowledged and commended the efforts of the private sectors particularly in the area of price stability despite the existance of some unscrupulous businessmen whose main aim is to maximise profit at the detriment of The Gambian people.
She also implored on the secretaries of state to come up with policy papers to be laid before the National Assembly for adoption to help NAMs to go back to their constituencies and sensitise the electorates and quickly recognised the efforts President Prof. Alh. Dr. Yahya AJJ Jammeh, the Vice President and the Secretary of State for Basic and Secondary Education for always tabling policy documents before the National Assembly and also working closely with Assembly Committees.
Bai Matarr Drammeh, president of the Gambia Chamber of Commerce and Industry (GCCI) applauded Speaker FJC’s initiative in inviting the private sector to such a forum noting that this signals the fact that the private sector is considered vital in the country.
On the current credit crunch, rising food prices and financial crises, he quoted SoS Bala Gaye of Finance and Economic Affairs’ comment in the budget speech that the Gambia cannot acertain the credit crunch and financial crises but may be directly or indirectly affected. With this, he said, contingency plans should be place to avoid serious consequences.
He quoted President Abdoulaye Wade of Senegal that ‘this crises will be limited for Africa’ expressing believe that if Africans have enough to eat, the rest did not matter. According to him, in Africa alone, statistics have shown that 44 million people will suffer from the financial crises. He then cited the rising food prices as a big case that needs to be look into and welcomed the innovation for such an interactive forum.
Mam Cherno Jallow, chief executive officer of the Gambia Chamber of Commerce and Industry gave a detailed presentation of the global economies compared to The Gambia as well as the World Bank projections towards the Gambian economy in the current days of the global financial crises.
During his presentation, he stated that global GDP will drop from 2.5 per cent to 0.9 per cent in 2009 and exports from developing counties will equally fall. He added that oil prices will also rise to 32 per cent, food prices will also rise by 25 per cent in 2009 on wards.
On the performance of The Gambian economy over the years, he said that the economy has been growing steadily and the telecommunication and tourism sectors have contributed a lot to the economy but performance of the agriculture sector has been mixed, due to poor rainfall. He also highlighted the investment obstacles in The Gambia such as electricity, credit, land access among others, saying that if such problems are over come, it will attract more investments into the country.
Mousa Gibriel Bala Gaye, secretary of state for Fianance and Economic Affairs thanked Speaker Jahumpa-Cesay for initiating the forum. He dilated on the food prices in the year ended saying “the Gambia in 2008, rice stock was available and government ensured that the rice was available. President Jammeh also had a meeting with rice importers in Kanilai and assurance was given to the level of rice importation’.
In the increase in productivity, he called for the introduction of the tidal and pump irrigation systems as well as the need to look for finance for famers, build warehouses, markets to compliment their efforts to ensure sustainability.
On tax, he said, The Gambia is applying the Ecowas common agreement system and the situation is reasonable. According to him, there is no import duty nor the sale tax in rice, all aimed at maintaining price levels of imported rice into The Gambia. He then confirmed that The Gambia has a good tax system and called on the business community to pay their dues to government. ‘Do business and also pay your obligations. But here, people want to do business, levy any price but do not want to pay tax to government.
This culture should change’ he urged. Abdou Colley, secretary of state for Trade, Industry and Emplyment also highlighted the financial crises noting that it will affect the Gambia in one way or the other. On taxation, he said there is still room for improvement. He said the World Bank tax or cumulative tax statistics shows that The Gambia is one of the countries with high tax rates and urged that the tax system of the country be administered again to attract more investments as well as favour the small businesses.
Fabakary Tombong Jatta, Majority leader and NAM for Serrekunda East also commended the speaker for the forum. He also thanked the Central Bank of The Gambia for maintaining the country’s economy, the GRA for collecting taxes over the years and assured them of their support to the private sector. He also admitted the high cost of electricity in the country and hope that it will soon be a thing of the past. He also complained of the millions pumped in agricultural projects over the years which went in vein.
Momodou Sanneh, Minority leader and NAM for Kiang West raised the issue of tax deposits as well as the high cost of electricity in the country and urged authorities to consider it for the benefit of the masses. He also called for the establishment of agricultural banks since there are commercial banks to support the sector.
Other speaker at the interactive forum included Bamba Saho, governor of the Central Bank of The Gambia, Bakary Sanyang of The Gambia Revenue Authority, Mohammed Sillah of Sankung Sillah and Sons Manufacturing Company, Kebba Singhateh on behalf of the pharmaceutical companies, Sulayman M Joof, secretary general of the Association of Clearing and Forwarding Agencies among others.
Author: by Alhagie Jobe
See Also - See Also