Osei Kyei-Mensah-Bonsu
Members of Parliament (MPs) have approved a request for waiver of Import Duties, Import VAT, GETFund Levy, NHIL, EXIM Levy, Special Import Levy and Domestic VAT amounting to the Ghana Cedi equivalent of €24,174,437.00 for the construction of a new 330-bed maternity block at the Korle-Bu Teaching Hospital (KBTH) in Accra.
The taxes, made up of €20,476,372.00 on imports and €3,698,065.00 on local purchases, are on materials, equipment and works to be procured in respect of the construction of the project.
The request was laid in the House on Tuesday, November 3, 2020 by the Minister for Parliamentary Affairs, Osei Kyei-Mensah-Bonsu on behalf of the Minister of Finance, which was referred to the Finance Committee for consideration and report.
Background
The government through the Ministry of Health is seeking to reconstruct the Maternity Block at Ghana’s premier hospital to provide medical care at the tertiary level.
The project, which has seven components, includes construction and equipping of a new 330-bed maternity block with all ancillary facilities; comprehensive rehabilitation of the existing maternity block with a floor area of 40 square metres; and provision of a two-year Post Defects Notification Period Maintenance Programme for medical equipment supplied.
Also in the project are the Training and Technical Assistance for selected medical equipment, procurement of start-up equipment related consumables, installation of ICT infrastructure and human resource training.
The maternity block at KBTH is identified as one of the critical health infrastructures that will enhance the health delivery system in the country. The hospital’s current operating conditions suffer from massive congestions, lack of operating theatres and delivery beds amongst a myriad of other issues, according to the government.
As a result, about 100 mothers lose their lives annually and an average of four babies die each day.
The Finance Ministry said the Standard Chartered Bank UK had offered to provide the needed funds for the construction and equipping of the maternity block. The credit facility is both critical and complementary in mobilising resources to complete the maternity block to enhance quality of healthcare delivery in the country.
The completion of the KBTH maternity block will fill a great void for maternal and child care and will offer the latest healthcare technologies, providing a new standard of healthcare for the general populace of Ghana.
Chairman of the Finance Committee, Dr. Mark Assibey-Yeboah said the facility is expected to be completed in accordance with international standards.
In a report to the plenary, he indicated that the loan had been secured to facilitate the financing and completion of the long abandoned maternity block to enhance healthcare delivery in the country, especially maternal and child healthcare.
The project will boost the provision of healthcare infrastructure. It is also in fulfilment of the government’s commitment to ensure universal healthcare to all citizens in Ghana and attainment of the Sustainable Development Goal 3.
By Ernest Kofi Adu, Parliament House